This really depends on when you need to use the cash, and how much risk you can accept. This is pretty deep: http://en.wikipedia.org/wiki/Modern_portfolio_theo

This really depends on when you need to use the cash, and how much risk you can accept. This is pretty deep: http://en.wikipedia.org/wiki/Modern_portfolio_theory http://en.wikipedia.org/wiki/Modern_portfolio_theory ... but it basically boils down to: Invest in a mixture of index/mutual funds and bonds. If you need lower risk (but lower return), then tip towards more bonds. If you can accept a higher risk (but in theory a higher amortized return), then tip towards more stocks. If you do buy mutual funds, make sure you read the fine print about fees/load. (I am not a financial advisor)