14 ms·
How would you invest $100K USD aggressively?
Say you want to double it in 3 to 6 months. What would you do?
- moonbug22 9y agoGive it to me, I promise you the return you deserve.
- mtmail 9y agoAre you willing to loose all $100k?
- CyberFonic 9y agoRisk correlates to expected returns. The higher the returns the higher the risk. To get the sort of returns you seek, you will most likely need to use leverage, which means you could lose more than your initial $100k, lots more.
- pryce 9y agoNo it doesn't; that is just a broad principle that is inapplicable in many specific situations. For example, any of us here could offer an opportunity for very low returns at very high risk, it just wouldn't amount to an attractive proposition to a thoughtful prospective investor who understood the offer.
- muzani 9y agoI don't think you can get fast, high returns at low risks. Correlation might not be the best word, but I don't know what a better word would be.
- rateofchange 9y agoSo far the best answer to my question seems to be flipping real estate, in which case losing 100% (or any) of the investment is highly improbable.
- gressquel 9y agobitcoin, you may get 10x in six months
- foopod 9y agoI did this, sadly only a few hundred. Invested ~six months ago, and now it is worth double.
- deleted 9y ago[deleted]
- CyberFonic 9y agoAre you talking paper gains or actual cashed out real money gains? Bitcoin is virtual currency based on massive electricity consumption. Due to the ever increasing difficulty of mining, it is effectively a Ponzi Scheme.
- foopod 9y agoPaper gains. Sure its a pyramid of assumptions that could topple at any moment. But if it continues the way it has been, then it can accomplish the goal.
- netsharc 9y ago"Surely real estate prices will keep going up!" The worry is that when the crash comes, no one will be willing to buy. Or even if you find buyers, what if everyone starts withdrawing their money from the exchange, and the exchange doesn't actually have that liquidity...
- muzani 9y ago3-6 months time span? Ponzi Schemes are my weapon of choice.
- Obi_Juan_Kenobi 9y agoDifficulty is not in any way ever increasing. Difficulty is set based upon the overall hashing power of the network. If it becomes more expensive to mine, miners drop out and difficulty decreases.
- baccredited 9y agoI'd buy SALT tokens https://bittrex.com/Market/Index?MarketName=BTC-SALT https://bittrex.com/Market/Index?MarketName=BTC-SALT
- lamansion 9y agoBuy real estate overseas. You need to do some research though to understand which location to invest.
- deleted 9y ago[deleted]
- grizzles 9y agoGive it to a winning cash poker grinder with good table selection skills. Hire an auditor to rail all his sessions and be his banker. There is an abundance of talent to pick through if you are on the buy side of this type of transaction. The skill in this type of investing is in deal negotiation and crafting terms to deal with where your players are weak. They all are somehow, but in different ways.
- Finnucane 9y agoHome renovations. New kitchen, bath, enclosed porch. It might not increase the appraised value by twice, but I could convince myself to believe it.
- muzani 9y agoOn first glance, I thought you would do a renovation business. That could certainly make $200k in 6 months.
- rateofchange 9y agoIn speaking with a local realtor he showed me a few examples where clients flipped properties within 90 days or less and came out $100K ahead or more. Provided there are no surprises this seems like a solid option.
- mattbgates 9y agoAll the cryptocurrencies might be the place to go for the next few years.
- jgowdy 9y ago3X leveraged ETFs https://www.direxioninvestments.com/etfs#!/ https://www.direxioninvestments.com/etfs#!/ Good luck!
- gjmarsh 9y agoI have to disagree. These are some of the worst investments known to man. Overtime you are virtually guaranteed to lose money. https://www.google.com/search?q=leveraged+etfs+lose+money+over+time https://www.google.com/search?q=leveraged+etfs+lose+money+ov...
- MoBattah 9y agoDisagree. The documentation on every 3x includes loads of warnings to make sure investors (traders) understand that these are daily adjusted securities.
- pajop 9y agoSaw this table from Crypto Voices the other day - basically you buy $1 worth of BTC every day: https://twitter.com/crypto_voices/status/926808236950306816 https://twitter.com/crypto_voices/status/926808236950306816
- rateofchange 9y agoBTC seems like an interesting option provided cashing out isn't impossible.
- gjmarsh 9y agoReal estate. Buy a cheap house with leverage, fix it and either rent it out, or sell it. If you rent, cash out refi, rinse and repeat. Many fortunes built this way. High use of leverage means many shirts lost as well, however many of our laws (assuming US) are skewed to benefit real estate investment and speculation... with the current admin, I don't see that changing anytime soon. I don't think you can find better odds.
- minhaz23 9y ago>If you rent, cash out refi, rinse and repeat. Can you expand on that point? If they rent it shouldnt they just sit around and collect payments? Also, isn't this all highly reliant on location?
- matt_wulfeck 9y agoCash out refi allows you to use your rental as leverage for a down payment on the new house.
- gjmarsh 9y agoSure. You buy a distressed house with leverage. Improve it, which if done in a smart way should raise the value more than what you spend on renovations. You can then go and refinance at the new appraised value, taking cash out. You take that cash and buy another property. Do this over and over and eventually you have a portfolio of properties and consistent cashflow from your rent roll. Granted this will likely take longer than a few months. You could probably do one flip in that timeframe, however.
- grizzles 9y agogood advice. dont forget to start your own home renovation reality show. there seems to be an infinite demand for them.
- tonteldoos 9y agoLike gjmarsh said, this might only apply to the US. I would probably be skeptical of doing this in (say) Australia at the moment. OP didn't mention what country he's in...
- deleted 9y ago[deleted]
- MoBattah 9y agoIf you had all the time in the world, I'd watch the VIX. When it spikes, buy the XIV (inverse). It's practically guaranteed to increase in value throughout the day, volatility can't stay in a spiked state.
- spondyl 9y agoJust to clarify, this is the CBOE Volatility Index? http://www.cboe.com/products/vix-index-volatility/volatility-indexes http://www.cboe.com/products/vix-index-volatility/volatility...
- MoBattah 9y agoYes. You cannot trade an index but there are financial instruments which do their best to mimic it. VXX is an ETN that's long on the VIX. And XIV is an ETN that is short on the VIX. ETNs have their own precautions to take into account.
- superbrama 9y agoThis is not good advice. You can’t predict how much we will drop next time on stocks and how the VIX may be affected. We are in a long term contracted state of volatility. Professionals who understand how to manage risk may make the trade(s) that you’re suggesting.
- codeman1181 9y agoBuy an ETF called Robo which invests in robotics and AI companies and the ones building components. It has had 42% YTD returns. I have been invested in it for a while on the idea that robots are at a precipice of taking off and most people don’t seem to see it. See Bonston Dynamics work and getting acquired by SoftBank which makes Pepper. See OpenAI and the other AI progress being made. See self driving cars and Nvidia which makes a lot of the processing chips for the SDCs.
- rateofchange 9y agoSounds interesting
- deleted 9y ago[deleted]
- markthien 9y agobuy ETH
- 1k 9y agoGiven the criteria to double the capital in 3-6 months, you will need to do something very speculative, which at this point in time looks like crypto currencies.
- martythemaniak 9y agoWell, you can trade forex at up to 50x leverage, so you could definitely lose half your money in 3-6 months. But maybe double it.
- closeparen 9y agoDumb question: since leverage allows you to lose more than you have, what are the repayment terms like when you get yourself into debt? Are the interest rates, repayment term, monthly payments, etc. clearly disclosed like they are for a mortgage or car? How many amateur forex traders had it end in wage garnishment?
- tonteldoos 9y agoThat's not quite how it works (at least, with most of the online forex trading houses like FXCM). At any given time, they know exactly how much you are up or down in total (ie, including your leverage). If you hit the point where you're going to lose more than what you have in your account, they will perform a margin call and close out all your positions. The really sucky bit here is (I've had that happen) when the market then immediately turns - you simply couldn't buffer the immediate losses ;-)
- mythrwy 9y agoDo be careful with Forex. Lots of shady stuff about and what many people don't realize in many (most?) cases of consumer internet platforms (like FXCM), one is actually trading against the company (they are the market maker) not against other participants. Not saying what does or doesn't happen, but the situation is such that there is incentive to do things like widen spreads and hit stop losses.
- tonteldoos 9y agoWhat this guy said. I've known a handful of people who have made some money on forex, by being extremely diligent and patient. I know many, many more people (including myself) who have lost unhealthy amounts of money while trading forex.
- orasis 9y agoBuy a condo in an cheap tourist destination to rent on AirBnB.
- brewdad 9y agoBitcoin. It's only a bubble after it bursts.
- rateofchange 9y agoHow do you convert back to hard currency at that scale (hundreds of thousands of dollars)?
- bsvalley 9y agoIf we had a valid answer to your question we would already be rich. There is no answer. Though, I'd look into bitcoin as a very risky investment today. Who knows? A bitcoin could be worth $20000 in 6 month. That's the only doable/crazy thing right now I could think of. 3-6 month is too short unless you go hard on day-trading and get super lucky trading futures, options, etc.
- rateofchange 9y agoI think the error here is in thinking, well, inside the proverbial box. My question is serious an does have lots of valid answers. For example, I did not say the answer had to be a passive investment. Flipping homes could do very well given one is willing to put in the effort. I have a friend who decided to sell a product found in most homes in the US. He didn't even make it. Armed with a phone and a laptop he turned an initial investment of $50K into about three million dollars in approximately two years. He probably worked 16 hours a day, seven days a week. He is now in the process of selling the business for many millions. It's interesting to see how many people are suggesting bitcoin.
- bsvalley 9y agoI meant there’s no recipe for success, which doesn’t mean it’s not impossible. There’s nothing you can simply copy/paste. Though I agree, a lot of people do make millions daily/monthly/yearly, but you have to create your own path for that. Otherwise A LOT of people would be richer today.
- Rubinsalamander 9y agoRoulette odds are 47,37% for doubling. So if you are not confident that your investment can beat that dont bother. Otherwise use high leverage products in the stock market which will amplify your wins/losses. Best case would be to make a strategy write it down and stick to it. Your biggest Problem there is psychological strain if the 100K means a lot to you. You will at best have a miserable time and at worst panic sell in the wrong moment. So if you cant afford to lose most or all of the 100K dont invest it especially not in high risk products.
- matt_wulfeck 9y agoI doubt most of the answers here will provide you with better probability than going to Vegas and putting $100k on black.
- Rubinsalamander 9y agoStock Market and Casino both have Fees/House Advantage. The difference is that Casino is more or totally based on luck while there is a skill factor involved in the stock market. Also the stock market isnt a zero sun game because of economic growth In the end Casino has nearly the same odds for everyone while in the stock market there is much more variance. But i would inclined to say that for most casino is the better option
- muzani 9y agoPoker would give better odds I think.
- Rubinsalamander 9y agoDepending on your skill, opponents and in some cases alcohol tolerance Poker would be a better and definetly more fun option.
- matt_wulfeck 9y agoHere's how you might be able to double your cash flow, but not necessarily your money. Use it in a down payment for a multifamily unit, preferably triplex or quadplex. Live in one and rent the other. in 6 months use a cash-out refi to buy another quad-plex. Brace yourself for the terrible aspects of landlordship.
- WheelsAtLarge 9y agoAggressive means ready to lose all, same as gambling. Be smart, read and learn about investing while you find the right one for you. In the meantime keep it in the bank. There's no easy money to be made. Good luck.
- rateofchange 9y agoTo me aggressive means lots of things, one of them being working your ass off in order to make it happen. For example, I'd love to have a good SaaS product...I just can't seem to come up with ideas. OK, this would likely not double the investment in six months but maybe achieving that run rate in six months is possible with the right product?
- rateofchange 9y agoSomeone mentioned jumping into solar energy in some way. It looks like installations haven't slowed down at all.
- rateofchange 9y agoAnother aspect of this question that hasn't been explored is that of scale. What I mean by this is that one can do things with $100K or more that are impossible to do with less capital. For example, buy four container loads of e-Bikes, solar panels, screwdrivers, socks or whatever and go sell them. I think the error in some of the comments is in thinking conventionally and equating being aggressive with gambling.
- tschlossmacher 9y agoCryptocurrencies.
- PaulHoule 9y ago$XIV
- arisAlexis 9y agoNo better way than a high risk high reward portfolio of crypto currency