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Wastedspace

Well, I'm young, but I have a little over 10,000 my dad gave me over time and I don't know what to do with it. I mean I know I can deposit it in a savings account, but that only gives a little interest, is there anything productive I can do to it that's not risky, because I don't want to lose it????<br />

Eriilopmasa

Just about anything beyond a savings account will carry some risk. Probably the best thing to do if you don't need to touch your money for a while is put it into a Certificate of Deposit, which is like a time-release savings account. The interest rates are usually higher than regular savings accounts, but there is a penalty if you withdraw before the account &quot;matures&quot;. Do some research and find some good rates.

save123

Put it in a money market fund for now, right now a good money market will yield over 5% annual interest. These funds are a very low risk investment, and they are a lot more liquid (easily converted to cash) than a CD. With $10,000 at 5% return you would be making about $42 a month in interest starting out (it will increase as your principle increases). Once you go to college I would then use this money to help pay for your tution. Hope this helps.

Luca

Put half in a low risk mutual fund then pay cash for a car with the rest. Starting out with no car payments and lower insurance will help alot.
Put the maximum amount - $4k into an IRA when you turn 18 and each year after it if you can swing it.

Tim7

If you don't want to lose it but don't need it and don't have plans for it in the near future. Listen to the other guy put it in an IRA for your age a Roth would be best for you as you don't need the tax deduction and when you take that money out at retirement aside from it probably being worth $400,000 by the time you retire (you won't have to pay taxes on it then either since you never wrote off the contribution) since you're still young, I wish I coulda done that ten years ago now I'm playing catch up cause even though I knew I needed to do it I just never did. Actually I have been doing some research on IRA's recently and I know previous returns are no acount for future but Janus is doing very nicely recently and I have changed my 401k to a higher % with my Janus fund and am going to be opening a Roth IRA with them mid next week, I have noticed the trend in the market seems to be a dive midweek (so buy cheap) and they rally on fridays and prices bump up.

webMonkey

Set up a Divident Re-Investment Plan (DRIP) with CenterPoint Energy (CNP): Investor Services, CenterPoint Energy, Inc., PO Box 4505, Houston, Texas 77210-9877. Ask for a prospectus, once you get it, send in your initial investment (I think at a time, you can only send in up to $5,000). State that you want the dividends reinvested into additional CNP stock. You get dividends that are nearly 4% and the stock is increasing in value and is good stock. You get quarterly statements (additional ones if you make additional &quot;Optional Cash Investments&quot;). Another good company that maintains its own DRIP plan is Bob Evans Farms (restaraunts and food processor): You can get a prospectus from Bob Evans Farms, Inc., Attn: Stock Transfer Dept., 3776 South High St., Columbus, Ohio 43207. The dividends are not as high as CenterPoint's but the stock value itself is rising steadily. Do a browser search for both companies and see their sections on investor relations. There will be a section on Dividend Re-Investment Plans.

vira

ing direct savings account