Your question is difficult to understand, and thus challenging to answer.

Obviously the level of risk one takes should be closely tailored to ones’ goals and tolerance for risk, and additionally to what is going on in that person’s life at the time.

If I understand you right, you’re asking “If I’m starting out in this business and have 30k in savings, should I be careful investing my savings?”… because I might need some of them, and I don’t need the distraction of losing money, the answer is YES.

You might need the $$ to help in slow months, and don’t need the distraction of playing with your own money while you’re trying to raise new clients.  I’ve made this mistake in the past.  It’s different when it’s your own money.  Until you gain perspective and experience it can become very distracting wathcing the value of your own account fluctuate, especially if you’re fiddling with specific stocks or god forbid options(yes stupid me I tried that when I was young and foolish, now I’m old and foolish)

Keep it simple.  You could take a little more risk than a money market, say purchasing a short term bond fund using NAV privilges.  But don’t go too far.

By the way-I’d like to know about that money market that’s paying 6%.

Thanks.. Good feedback.

As for money market I was stating, "investing in a fund, other then a money market (4% avg return), would produce on average 5%+ higher return (total 9%)(based on long term mkt avg 9 to 10%)."

What are bond funds paying right now... Any suggestions.. 4.5% savings right now and I would like to get a bit more.

Also your point about losing time distracted with ones own portfolio is AWESOME! I did not think of that and for sure it would happen.

I couldn’t resist your plea. I suggest you consider a senior floating rate fund (at NAV, of course).



Two that have been good to my clients are ING Senior Floating Rate Fund
and Highland Floating Rate Advantage. At this level, you can capture
just more than 6%, monthly dividend with very little downside.



Good Luck



 

Awesome, thank you...

Now I know a few future clients who do not want risk and 6% would be attractive for them.

Do all funds provide a yearly % to RR? I know there are different classes (A,B,C) any one have an opinion? Or is it basically based on the customers needs, amount of investment, risk and time requirements?

I hate to be niave, but I am. So this site and you have helped me a million folds to prepare for this industry.

Top Performers - 3 Year (out of 51)

Of course I am going to talk to my principal before I do anything! Right now no stress with finances is nice in savings.. Would rather make 500k a year then worry about investment of +/- 10%

The only solution to be wealthy is to make the money!

Hey Skee.... thanks for jogging my memory on the Highland funds!  I just made a 75K trade in that one and have another prospect coming in with 280K with an income goal.  I think I'll use Highland for part of the portfolio too.   I sold a bunch of that fund when it was Columbia Funds.  It has been very good for steady income.

See ...these boards can be good for something besides Jones bashing

[quote=babbling looney]

Hey Skee.... thanks for jogging my memory on the Highland funds!  I just made a 75K trade in that one and have another prospect coming in with 280K with an income goal.  I think I'll use Highland for part of the portfolio too.   I sold a bunch of that fund when it was Columbia Funds.  It has been very good for steady income.

See ...these boards can be good for something besides Jones bashing

[/quote]

BL,

You are Jones bashing.  Remember, they cant sell any of those funds.  It is virtually impossible to talk about product without embarasing Jones.

Ladies and Gentlemen, I am pleased to be at your service. Not bad for an

old-fashioned stockbroker, huh?



[music starts]:

“I’m the man

with a plan

and my name is not Stan”





Gotta go, my martini is waiting!