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Ask HN: Making the most out of a 5 year savings plan
I want to start putting away around 1500 a month. My end goal is a downpayment for a house in about 5 years, at least 100k, so I don't want to get too risky or volatile, but having everything in a 60 month CD doesn't seem so rewarding either at ~2% interest rate.
So, what would you do?
- wirehead 15y agoPercentages. Some percentage in a CD. Some percentage in corporate bonds (BulletShares ETFs are good for your purposes). Some percent in a lower-volatility index ETF (say dividend-yielding stocks -- DVY being an example). Maybe some percentage in a lower-volitility ETF (say dividend-yielding stocks in developed non-US markets -- IDV being an example). You might also consider things like US Treasury bills and notes, for the tax advantages.