Carl172
Member
Cash: $ 4.65
Posts: 21
Joined: 30 Dec 2005
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| Setting up a CD ladder |
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I'd like to set up a CD ladder for the purpose of income for maintenance costs for an investment home.
I found an online bank offering 5.10%APR on 12 month CDs and 5.20% APR on 4 and 5 year CDs. I thought those seemed like good rates, but I'd like the opinion of some others on here. Also how can I maximize my returns with a CD ladder in todays market, and how can I adjust my CD portfolio for future markets?
Thanks,
Carl
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Tue Mar 28, 2006 1:46 am |
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Carl172
Member
Cash: $ 4.65
Posts: 21
Joined: 30 Dec 2005
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I'd like to put up to 20K for CDs. Also I'd like the best return I can get. I'm not in any hurry, and don't mind tying this money up, but I can't help but think if maybe my best strategy is to put this money in the stock market, and keep a smaller amount of cash available for any necessary repairs.
Thanks for the advice,
Carl
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Tue Mar 28, 2006 3:13 am |
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David Briggs
Senior Member
Cash: $ 57.86
Posts: 289
Joined: 16 Jan 2005
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Fidelity Brokerage has commission free CD offerings from short to long term in $1000 increments. Since we are in a rising interest rate environment, I am laddering from 4 to 13 months, with some portion coming due every month.
If you feel like speculating in stocks, look at charts of TLT and CEF. Buy low, sell high, and stay strong, these are conservative investments which fluctuate in a manner you can live with and harvest repetitively like a farmer.
~~David
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Wed Mar 29, 2006 4:40 am |
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