What are your opinions on the best way to save for goals in the 5-8 year range? I saw in this subreddits wiki that that is the awkward range between investing in stocks, mutual funds, etc and just using a high yield savings account. I currently am savings for some goals that I see roughly 5 years down the line (down payment on a house) in a high yield savings account earning 0.4% APY, but this just feels like such a low return that won’t even beat inflation. A lot of the other conservative investments that I see used in this category, like bonds, CD’s, and money market accounts don’t have much better returns unless I don’t want to be able to access my money for longer than I would like. Is it really considered that risky to invest in the stock market for that sort of timeline? I am think of opening a portfolio somewhere like vanguard or fidelity and investing in low expense mutual funds and transitioning this back to a savings account in a couple years when I am closer to my goals. Are any of you in similar situations and have advice on this topic?
Submitted April 13, 2021 at 03:00AM by -wipe https://ift.tt/3a6QaXQ
