4%

Let's say I had $100k of savings and am not happy with the 1% return I'm getting from the bank. I am very risk averse, but would like to get ~4% return without locking my money up for more than 2-3 years.

This is over simplified, but I have money in other investments - primarily through my 401k. I am just looking for a safe way to earn a little more interest over the next few years until I need some of the money.

Any suggestions that are legal are welcome....

6 Comments
 

Verizon pays a 5.5% dividend.

Men are so simple and so much inclined to obey immediate needs that a deceiver will never lack victims for his deceptions. -Niccolo Machiavelli
 

accounting,

I agree with Mike's comment. CD rates are very low, and it's not worth it to extend your maturities. I would avoid bonds, especially long term bonds. You could put money into high yielding blue chips stocks that raise their dividends every single year and yo get the appreciation in the stock price as well.

 

Check out Lending Club. Eddie did a good post on his "CDO" that he created with Lending Club yielding around 12%. //www.wallstreetoasis.com/blog/build-your-own-cdo

- Capt K - "Prestige is like a powerful magnet that warps even your beliefs about what you enjoy. If you want to make ambitious people waste their time on errands, bait the hook with prestige." - Paul Graham
 

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