I am about to go for an interview with UBS Financial Services for an internship and I have a feeling I am going to be asked this question: "If you were given $1 Million today, how would you invest it?"
I figured I would write a post and see what others would say if they were asked the same question? What are your thoughts!
| +21 | Big 4 audit to IB - have I made a terrible mistake? | 9 | 1d |
| +17 | How to line up a “burnout” exit from PE? | 8 | 3d |
| +12 | Internal Referrals Not Even Working | 1 | 3d |
| +10 | Cold walking in to firms to drop off CV and intro myself.. Good idea or not? | 2 | 3d |
| +10 | KKR Insurance FT27 | 12 | 4d |
| Getting into quant ? | 1 | 6d | |
| +6 | Background Check | 2 | 1d |
| +6 | Citi corporate banking | 5 | 1d |
| +3 | Ft Partners Full Time | 1 | 4d |
| +3 | Exits to AI | 1 | 4d |
Career Resources
Get instant access to lessons taught by experienced private equity pros and bulge bracket investment bankers including financial statement modeling, DCF, M&A, LBO, Comps and Excel Modeling.
half short ubs/ half in a coffee can buried in the backyard.
I would invest half of it in low risk mutual funds and then take the other half over to my friend Asadulah who works in securities...
Assuming $1MM after-tax
First priority: pay off high interest debt (if any)
100,000 interest bearing checking account or money market account for rainy day/emergency fund 200,000 low expense ratio bond fund (vanguard or equivalently low priced) 500,000 spread across 4 -5 ETFs or low cost index funds (1 domestic large cap, 1 emerging markets, 1 REIT or RE based, etc.) 200,000 spread across 8 - 15 individual stock positions (depending on individual risk appetite)
another iteration would include a down-payment on a house or condo for the tax benefits assuming you anticipate staying in one place for more than 3-5 years.
My final iteration would include 10K on a private jet to Vegas with friends, 20k on strippers/yay/etc., the balance of the proceeds on black
All 3 would serve as acceptable responses in an interview.
bump.
I think I need a few more ideas.. Anyone else care to share what they believe would be the best investment?
Repudiandae ducimus mollitia a totam explicabo. Dolor dolorem non qui esse eius voluptatibus et. Ad aspernatur nulla consequatur quis nostrum maiores.
Non sapiente deserunt recusandae ad est velit. Quidem aut unde consequuntur.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...