Re: Suggestions for mid term savings/investments?

On May 9, 2:04 pm, jdbs...@[EMAIL PROTECTED]
 wrote:
> I know the majority of the discussion in this group is about short
> term (emergency savings) or long term (retirement) investing.  Are
> there any recommendations for investing on a mid term horizon, maybe 3
> to 5 years?

If you are certain you won't need the money for 5 years,
you can look at buying I-bonds.  The rate right now is
not that great, but is probably better than CDs.  As an
added bonus the interest may be tax-deferred until the
bonds are cashed and is not subject to state income tax.
Also, there are some cases where the interest can be
completely tax-free if the bonds are used for education
and the AGI is within certain set limits for the year
in which they are redeemed.

> While I understand cds and savings accounts are safe investments, I
> feel like I might be leaving some money on the table.

I don't think you're leaving money on the table.  You are
leaving the potential for greater reward along with the
accompanying risk.  There is nothing wrong with sitting
in safe investments for money that you might need 5 years
down the road if that is what helps you sleep better at night.

Anoop

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