Where is the safest place to invest?

[pilsner]

I have some retirement money with Vanguard and TIAA-Cref. Could it be moved into a FDIC-insured Cert of Deposit without major tax issues? I didn't take much of a hit the past 6 months as it's in money market and bond accounts.

Is it futile to try protect investments as we're all going to sink together as the dollar tanks (besides Dick Cheney who moved his money into Euros)?

[paulsby]

1. that's an impossible question to answer

with risk, comes reward. in the long run.

i trade stocks and futures every day.

there are MASSIVE opportunities out there.

think oil will go up? buy an oil fund.

think the dollar is fucked? well, then frigging short it.

i shorted the dollar (and made the call here a ways back) and the other day we had that massive dollar dump last week. it was a great investment!

already took 50% profits and set my trailing stop on the other half. just be DISCIPLINED.

but any asset that offers appreciation potential, also offers risk.

that's how capital markets WORK.

although it's always better to buy "when there is blood on the streets" than when there is euphoria.

iow, buy panic, sell euphoria.

has worked for me quite well

[elleng]

27. Obviously most won't succeed at what you do,

as experience is necessary.

[paulsby]

39. not with the "buy panic" part

iow, i don't care WhAT the asset class is (stocks, real estate, etc.) but the best time to buy is when everybody hates an asset.

and the best time to sell is when everybody thinks it's a sure thing money maker

that can work with real estate, stocks, etc.

the main thing is just BE disciplined.

[Orrex]

2. Your mattress

Or a steel box buried in your yard.

[donheld]

14. No my Matress bring it over

:D My matress is better than your mattress. :hi:

[Double T]

3. Convert assets to gold and stuff them in your mattress and tree trunk,.............

in these difficult times it is good to have diversified locations. Where is the cheering section for the strong dollar NOW...........**crickets**.

[Warpy]

4. Nobody will be able to tell you that until this mess is all over

That's the problem with collapses, they happen differently every time and nobody knows what the smart thing to do is until it's long over and we've started to count up what everybody's got left.

[marybourg]

5. CDs are not investments. They're savings only.

If by "retirement money" you mean an IRA or 401K or other tax-deferred account, there's no tax due if you "roll over" to another custodian. You should educate yourself about money matters. No-one is going to take care of your money as well as you can with a little education.

I recommend lurking here for a while. With patience, you'll learn all you need to know: http://www.bogleheads.org/forum/index.php

[dixiegrrrrl]

6. Tax issues.....

YOur retirement account at ...say, Vanguard, can be moved to anywhere you decide, without tax issues, as long as you do the following.
You must do a direct rollover.
That means YOU do not touch any of the money, it is sent from one place directly to another.
You wll have to fill out forms from the sending company to the recieiving company, and be sure to check NO on the box that asks " with hold taxes"?
Since you are doing a direct rollover of the retirement fund, there are no taxes.
All you have to do is call Vanguard and they will tell you how to do it and mail the forms, then the company you want to open the new retirement account with will also have you fill out forms and will send them to Vanguard.

That being said, on a personal note, I have used Vanguard for 15 years and trust them.
Their money market funds are about as safe as anything can be for the average fund holder.
And the fees are low.
TIAA-Cref, I don't know about.

[pilsner]

8. Thanks for all the info n/t

[Stinky The Clown]

7. Under my mattress

Send me your money. I will keep it hot for you.

[global1]

9. Sealy, Serta, Simmons,, Sterns & Foster, Temper-Pedic, Select Comfort........nt

[Muttocracy]

10. with TIAA-CREF you may get two types of withdrawal penalties

taxes on what was tax-deferred income before (not sure if I have that wording right, but if your deduction came out of your gross before federal income taxes)

something like a 10% penalty for early withdrawal.

Check with TIAA-CREF for details - their website is good, and you may need to check with your current/former employer
http://www.tiaa-cref.org/

[tomreedtoon]

11. Guns, ammo, canned and freeze-dried foods.

Those are the only safe investments, ever. All else is illusion, as the last two years have proved.

Don't you people realize that gold is like every other valuable? It's only worth what someone will exchange you for it. People paid fortunes for comic books that aren't worth turning into paper pulp. Real estate investors bought land that nobody wants to buy.

Food to eat, and weapons to keep the insane jackals at bay, are the only things worth buying and holding.

[AllentownJake]

12. My friend was telling me about a shot gun in a sealed container that you can bury in your backyard

:shrug:

[AlCzervik]

13. look into sin stocks, people drink a lot when times are good, they drink even more

when times are bad.

[LeftyMom]

15. Investment advice from random yahoos on the internet is likely worth less than you paid for it.

:shrug:

[Vidar]

16. South America.

[BlooInBloo]

17. These threads are awesome - you get to see all of the Ted Nugent-types.

:rofl:

[TWiley]

30. It sounds funny, but I dont get it.

can you elaborate a bit?

[LostinVA]

18. life insurance -- seriously

[rucky]

34. i agree. Whole - not term.

and not thru AIG. Some outfits pay dividends plus interest on cash value.

[LostinVA]

37. I just found all this out recently about life insurance

Including, sales tend to go up when the economy is bad, which makes sense.

[metapunditedgy]

19. Beware of programs that offer "a little extra yield."

I and many others have been screwed by them. (I.e., lawsuits pending, lost money, etc.)

I now think that whenever anyone offers "a little extra return," they're just trolling for suckers.

An extra 1% yield (or less) is not worth any level of risk at the current time.

[leftofthedial]

20. in your garden

and your stockpiles of ammo and alcohol.

[cherish44]

21. someone told me cds are pretty safe

But you know there's a lot of cheap houses on the market right now. Real estate might be a good deal if you have the cash.

[seemslikeadream]

22. a freezer and canning jars

[depakid]

23. Canadian and Australian banks are healthy

and if you're betting on the US dollar to collapse, that might be worth looking into.

[Vinca]

24. I have a gallon-sized plastic jar in the kitchen . . .

[ThomWV]

25. Anyone who is not buying stocks right now is missing a great chance

We have been buying (within the scope of our limited ability) for the last 2 months. Prices are so low right now that all you really have to do is find a company that you expect will not go out of business. If they can accomplish that not so astounding feat we should be very happy campers before the next Presidential election.

[TWiley]

29. I bought a buttload when the dow was in the 6,000's

I buy mutual funds and ETF's

[ThomWV]

32. We did the same thing

My son and I did the same thing, we bought into a S&P Index fund when it dropped into the 6,000's and to be quite honest about it we've been happy as clams about it ever since.

[TWiley]

33. It will bounce up and down.

It is not an unreasonable time to invest. It might be a bit early (months) in the short term, but it should work out nicely in 3 to 5 years.

[ThomWV]

36. That is exactly what we are thinking.

[KharmaTrain]

31. Cheers To Your Stomache Linings...

Finding those companies you don't expect to go under is the key...and a tricky one unless you do your homework. I drastically reduced my holdings in October, 2007 (dumb luck more than anything else), put that money in CDs and T-Bills...and kept only my "blue chippers". I'm still not ready to play the ponies until the debt messes are cleared up, credit starts rolling and we see what type of economy evolves.

Cheers...

[elleng]

26. Know when to hold.

.

[TWiley]

28. Probably TIPS over the long term

TIPS - Treasury Inflation Protected Securities. The yield is adjusted for inflation. Now, not everyones inflation rate is the same, it depends on what you are consuming. Heath Care, and College Tuition are areas where prices have risen faster than the general inflation rates.

Google the Harry Browne permanent portfolio sometime. There is a good thread here: http://www.bogleheads.org/forum/viewtopic.php?t=15434

Depending on your age, you can put $5k to $6k into an IRA each year. If your IRA is somewhere like Vanguard or Fidelity, then you can buy stocks, bonds, mutual funds, FDIC insured CD's and so on in it. You probably do not have to move your Vanguard retirement money to invest in FDIC insured CD's. If you can't, then roll it over into a Fidelity account where you can. You should be able to do this without any serious tax consequences. Talk to a rep of whichever company you decide to go with. I would not use TIAA-Cref.

I would not follow the investment strategies of Dick Cheney BTW. His thoughts got us into this mess.

[high density]

35. Vanguard is a very strong company

Their money market and bond funds are in a better position than anybody else thanks to their low expenses. Still, the absolute safest place for your money would be http://www.treasurydirect.gov

[NightWatcher]

38. I find it oddly humorous that people think they are owed money by having some

I appreciate that you have worked long and hard for your retirement money. I find it funny that some people, NOT SAYING YOU, feel that just because they have money somewhere, they feel they should be able to magically turn it in to more money. My dad is wanting to do the same and is outraged that the banks will only give 2-3%. I told him that they dont give a damn about his few cents because the government is printing and giving free, non-existent money to the banks every quarter. Why should they pay you anything for your money? (I tell him). Do something creative, invest in a small town business, develop a plan of action on a level that you can controll and observe......

Still he'd rather send money off to "somewhere else" and let the magical money machine take his money and turn it in to more money without him having to worry about what the money managers are doing with it.

I hope that you are able to turn your years of hard work into years of retirement income.

fwiw: if it were me, I'd buy land in Costa Rica and have all my money in Euros in a private-non disclosing bank and a boat at the docks ready to sail.