Creating passive income?

[Atreides]

Well yea you can't access the money, but laddering is just when you split the CDs up so that the CDs come due at staggered times. Chances are you're just going to be leaving all of your money in your savings account anyway, so being able to withdraw everything isn't going to give you a lot of benefit unless you have some sort of emergency.

So instead of, say, 30k in a Savings Account which generates like $7.50 in one year, you buy three CDs: a 10k 4-month CD, a 10k 8 month CD, and a 10k 12-month CD. You get 10k every 4 months so it's not all tied up for the whole year, and you still generate a significantly higher interest rate than a savings account (I think around 1-2%? so like 300/yr unless I'm understanding it wrong) with so little risk it might as well be 0 risk anyway.

[Skjie]

For short term, Canada has GICs where you lock your money with the bank for 1~10 years and they pay you a certain amount of interest, usually 1~5% on it. Is that what you mean by CD? They aren't bad, but rate of return is only marginally better then just putting it in savings.

[MisterBob]

For short term, Canada has GICs where you lock your money with the bank for 1~10 years and they pay you a certain amount of interest, usually 1~5% on it. Is that what you mean by CD? They aren't bad, but rate of return is only marginally better then just putting it in savings.

That is quite similar to a CD, yes. Usually you can get them for as short a time as 6 months here in the US (maybe even less). They are also hardly worth it, with the best ones generally in the 3%-ish range.

[Skjie]

Yeah, that's a GIC. Mutual funds are really the only thing useful at $5000 you can do with your money, but that's not short term. Myself, I keep a savings account for rainy day needs, and put $100 a month into mutual funds working to have enough to move into something useful in a few years.

[ertyu]

Aside from my investments, I always keep 10k in a risk free CD at bank of america. You can withdraw your money at any time with no penalty and it gets you 1%. It's a 6 month term, I just got out of a 2 year risk free where I was locked in at 4.2 percent (lolololol, shit economy), so this 1% is like.... not good for me. But I like to keep an emergency fund of 10k.

[Zoolander]

This is a huge opportunity to invest in stocks. If you want eventual high reward and somewhat low risk...invest in Bank of America or something. Its not going anywhere and has plenty of room to grow. You can invest long term with it or you can do short term. I don't see why you would go for mutual funds right now, the big opportunity is in the stocks that can go up and down 10% in a day or two and will eventually increase exponentially over the next few years. Don't be a pussy, plenty of people are making a lot of money using this volatile market to their advantage. Just because the market is "bad" doesn't mean shit when it comes to investing opportunities. You are young, take advantage of the fact that you can take some risk.

Bonds and CDs? Gimme a friggen break lol, he said he wants to make money and hes young, there is little reason to go such a safe route that will hardly cover the inflation rate.

[Dolmen]

Personally, I bought a bunch of Apple at $12/share in '93/'94, and sold it all at $175 in August 2008. Purchased it again at $80 (with everything I had from the prior sale) when the market took the dive, and recently sold it again at $145. Right now is one of the best times to invest with stocks rising and falling. Study them and figure out all of the trends. For instance, Take Two Interactive stock always hovers super low. When a new GTA game is announced, watch it and then buy it a bit before the launch. Once the game launches the stock gains 2-4x it's value, so sell it then. Simple crap like that.

There's really nothing that's going to give you money right now unless you have a bunch to play with. If you throw it in the market for short-term gains, then the most important thing to realize is that any gain is a gain. I see people holding out all too often for a higher ticker price, only to wait too long and see the stock plunge (learned my lesson on some Sun stock). Also, playing the stock market is a ton of fun, you just need to be a conservative risk taker.

The best route, as has been pointed out, is to look long-term. It's a really, really great time to invest.



**Please note that the market is a risk. Loses do, and will happen.

[wop]

Buy and resell Birkin's.

[Zalius]

Buy and resell Birkin's.

need more for that but funny enough you arent the first person that told me to try that

[wop]

need more for that but funny enough you arent the first person that told me to try that

True, cheapest and smallest one goes for just under 7k.

However, profit is there, just saying.

Any birkins bought > resold = instant profit, profit margins of 30%

[Zalius]

from what i understand now though, the stuff in tonellos book doesnt work anymore because, well, its in a book. 2 years for 30% on 10k isnt too bad though i guess, but thats a pretty arduous process

[wop]

The 2-3 years waiting list is a myth.

I bought one earlier this year, by just walking in.

p/s my friend bought 3 in a month, all from Paris which proofs that the damn list is a myth

[wop]

forgot to mention, you live in the states, there are oceans of birkins waiting to be rescued from their captivity for your profit.

[Trajan]

Gold is more of a hedge. You don't invest in gold expecting to double your money, but rather rather for your money to be stable; you seem to already understand this though. Honestly, I don't see gold going up all that much higher, especially if the stock market truly hit a bottom . . . We'll have to see about that though.

Do you mean to use gold as a hedge against the holding of a currency, such as the dollar? Because by itself gold is supposed to be one of the more speculative and risky investments.

I also don't see someone being able to make much money in bonds right now being as the interest rate is so low. I would invest in the stock market, Index the backbone of your portfolio in something like the s&p 500 and have fun with the rest. Look for stocks with good future growth and earnings potential for the next few years and a low price/earnings multiple relative to the rest of the market...or just read a random walk down wall street.

[archibaldcrane]

Aside from my investments, I always keep 10k in a risk free CD at bank of america. You can withdraw your money at any time with no penalty and it gets you 1%. It's a 6 month term, I just got out of a 2 year risk free where I was locked in at 4.2 percent (lolololol, shit economy), so this 1% is like.... not good for me. But I like to keep an emergency fund of 10k.

Advantage Savings Account - Bank of Internet USA

$100 minimum, no fees, FDIC insured, liquid. 2.5% rate - move your money to that - no reason to sit on some complete bullshit 1%, c'mon man.

[Atreides]

I dont care how safe it is, I refuse to invest in something called "Bank of Internet USA"

Is this bank located in Lagos, Nigeria by chance?

[Acevalefor]

You'll have to forgive me for not reading all the posts if someone has already mentioned this, but there are a few problems with your current situation.

A: You have $5000 cash saved while
B: You have credit card debt.....and
C: You don't have 3-6 months worth of income saved up.

If you have credit card debt, you are creating a hole in your investment future. You are paying....what, about 15% interest if you got a good signature loan/credit card? That's a much higher interest rate than you will get anywhere in anything you invest in. So your net gain will actually be a loss if you invest the same amount or less than you have in debt. If you invest more, you are cutting your profit and paying it directly to good ole Capitol One....what's in your wallet? If you are looking to get screwed, I could have just given you $100 then 3 months later you pay me $500...at least then I would feel better about your debt.

Before you even talk about investing in anything, get rid of your debt. After that, save some money as an emergency fund (this is the 3-6 months of income I talked about) in a cash account. It can even be a money market account but it has to be liquid and accessible. Once this is done, then that is the time to start growing your net worth. The roth IRA is a good start, but the stock market has grown over the long term since the depression. This current recession isn't even as bad as the ones in 78 or 83, so don't get scared to invest based on a short term fluctuation in the market. You are not looking for overnight trading, you are looking for long-term payoffs. The stock market will give this to you...just remember to diversify.

Also.....why are you asking a bunch of gamers for financial advice?

[archibaldcrane]

I dont care how safe it is, I refuse to invest in something called "Bank of Internet USA"

Is this bank located in Lagos, Nigeria by chance?

Best Nationally Available High APY Liquid Accounts Then go there and take your pick - the Bank of Internet one is just the highest current rate. They also have a 1-year CD on there for 7% ($1000 only)

https://www.patelco.org/rates/rates_...aspx?print=all

[Zalius]

You'll have to forgive me for not reading all the posts if someone has already mentioned this, but there are a few problems with your current situation.

A: You have $5000 cash saved while
B: You have credit card debt.....and
C: You don't have 3-6 months worth of income saved up.

If you have credit card debt, you are creating a hole in your investment future. You are paying....what, about 15% interest if you got a good signature loan/credit card? That's a much higher interest rate than you will get anywhere in anything you invest in. So your net gain will actually be a loss if you invest the same amount or less than you have in debt. If you invest more, you are cutting your profit and paying it directly to good ole Capitol One....what's in your wallet? If you are looking to get screwed, I could have just given you $100 then 3 months later you pay me $500...at least then I would feel better about your debt.

Before you even talk about investing in anything, get rid of your debt. After that, save some money as an emergency fund (this is the 3-6 months of income I talked about) in a cash account. It can even be a money market account but it has to be liquid and accessible. Once this is done, then that is the time to start growing your net worth. The roth IRA is a good start, but the stock market has grown over the long term since the depression. This current recession isn't even as bad as the ones in 78 or 83, so don't get scared to invest based on a short term fluctuation in the market. You are not looking for overnight trading, you are looking for long-term payoffs. The stock market will give this to you...just remember to diversify.

Also.....why are you asking a bunch of gamers for financial advice?

a. i dont have debt, i use my credit card and pay it off as soon as its spent. And i have 1 yr interest free on a college card, so for another 3 months i still dont have interest anyways. but who the hell said i was in debt?
b. i have an emergency fund that is not factored into any of this that is 3,500 dollars, and i still have an excellent relationship with my family. family connections at work make a lay off or firing less than realistic unless i do something totally retarded, which i tend to lean away from doing irl for evolutionary-revolutionary based principles
c. i have money rotting in the bank. that is my problem. if i had anything else financial going on, i would have mentioned it
d. there's actually a lot of gamers over 25 that are very financially well off because they're smart people. you assume that there's nothing good here, but i am not opposed to searching for alternative methods. I'm not looking for a retirement package, i could have had that arranged already. I know i could be generating more money on a monthly basis, and i am not biased towards the hobbies of anyone that can present an idea of any such method


im not even sure you read the right OP

[Takedown3]

1. create desktop application
2. attach said application to multiple high value 0day torrents
3. acquire large network of fully popable/injectable browsers
4. sell both clicks and adspace to search networks and advertisers
5. profit

didnt even need the ???