Say I have 20 grand and I want to get my 20 grand back in a year plus a bunch more money. What should I invest in?
T-Bills.
You can buy them directly from the us treasury through a web site. It’s easy. I’ve done it.
I would only give that advice because you wrote, “I want to get my 20 grand back in a year”.
You should be able to turn your 20,000 into a little better than $21,000, and not pay any taxes on the $1000 you made.
You could also put it in a CD (Certificate of Deposit). Here is a list of some of the banks with the best rates on CDs right now.
Of course, there are always mutual funds and stocks but that’s where you get into risk territory. Do you absolutely have to get this money back in one year? I prefer mutual funds for some of my long-term investments, but the market fluctuates enough that one year is never necessarily a safe bet.
Also, if you want something totally liquid (and also basically no-risk. All these banks are FDIC insured to $100,000), here is a list of the best rates for savings/money market accounts right now.
What would you consider to be “a bunch more money?”
thanks guys. And well, a bunch more money? Well, I guess even a thousand dollars is a bunch more money. But in reality, wouldn’t 15 grand be a bunch more money? lol
Anyways, I’ll look into it.
TANSTAAFL.
There’s apparently a spanish (?) saying: “He who seeks to be rich in a year will be hanged in six months.”
Oakminster, I don’t understand that acronym.
Xema, very wise saying.
I’m looking for something like T-Bills, but what else is out there that would pay off a bit more after a year or so (as long as things go your way), maybe you put in 20 grand and could get back 25 grand? Something…well…a bit more risky?
Google it.
I just did. You’re right, there is no free lunch. But there are free deserts.
My point here is if there was an easy way to almost double your money in a year, there would be no poor people.
You are correct. But nobody is really looking to double their money. Just make a little more, safely and legally. I’m sure I could go by a kilo of coke and quadruple my money in four hours, but that wouldn’t go over too well with the judge once I got caught.
Safe and legal is not going to yield the $15K you were hoping for above. To be safe, you need something federally insured like a CD, or government bond. If you’re willing to assume more risk, there are all sorts of options…stocks, commodities, real estate, lotto tickets, black jack chips…
I understand that, I don’t get why you think I don’t. I even put a “lol” after it notifying I was joking around. What I’m looking for are people who do invest short term to come here and briefly give me a few pointers, let me know of some options in detail (because I know I could invest in stocks, commodities etc…) but which ones, how?
I mean, I could have put this question in GQ and gotten a more “factual” and “professional” answer I guess, but making money in ways that is easiest for different people is a matter of opinion. I don’t know anything about investing and I’m asking these questions to learn, not e-quarrel with people and read snide remarks and smart ass acronyms… KWIM?
And I know you enjoy debating, well, I know you do with me, because I remember last time. So, I don’t know if it’s me or if it’s just your personality to mess with people on the internet. So, that being said, if you have some serious ways for me to make money, be it a thousand dollars or fifteen thousand dollars, I’ll listen. otherwise, you’re just gonna be getting better at typing and nothing more if you want to argue, screw with me or what have you. 
Thanks
Not picking on ya. Trying to point out that short term investing isn’t a game for novices. Short term investing is gambling, and the odds aren’t in your favor. I couldn’t do it sucessfully either. Yes, there are people that can make money that way. They can’t teach you how to do it on a messageboard.
Not only that, most of the idiots that claim to be able to do so are just lucky people that have only managed to escape the odds so far.
Look at an iShares style market-based fund or just buy a couple of shares of Berkshire-Hathoway and even then you might lose money.
But there is such a thing as a free lunch. You just have to sit through a high-pressure timeshare presentation to redeem it.
The point, diggleblop, is that investing is all about risk versus return.
You want an investment vehicle that has a reasonable chance of turning your $20 into $25, then you have to assume the risk of turning your $20 into $15.
If you want to guarantee that you’re going to get your $20 back, then about the best you can do is hope for $21 with “no” chance of going to $19. “No” relates to the probability that the US defaults on it’s bonds.
If you really want returns, you could set up some kind of loan-sharking operation. It’s pretty straight-forward conceptually, but there are legality issues, and you might need to hire muscle.
If you want to get into the drug trade, they’re going to see you coming from a mile away, and play you for a sap. I don’t think you would worm your way into someone’s operations and get your $20 invested within a year.
You could look into sports gambling. There are ways to do that somewhat legally, but again, there’s huge risk involved. . .the chance that you wind up with $25 is lower than the chance you wind up with $15.
We’re currently doing a CD that yields 5.6% over 13 months. It’s the best deal we could find at the time. I’m sure it’ll be a while before we catch one that’s that good when this term is completed.