Quote:
Originally Posted by Terry989
Since I plan on retiring in 2 years, I'm glad this thread was started! I also believe the market is top heavy and due for a correction over the next 12 to 18-months.
I haven't pulled any month out yet, but other than 401K's, I haven't invested additional money over the past year. Looking over the comments, normal investment instruments with low risk will return ~2-3%. Are there options for low risk returns that might be available with larger initial investments or longer holding times? If you can invest $250K, $500K, $1M, $2M etc., as a lump sum, does this open up better opportunities for capital preservation with a reasonable return, say at least ~6 to 7%?
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With 250/500k (per sub-class/manager) you will gain some access to separately managed accounts (sma). 500k-2M will open some more options (tax managed equities, active bond portfolios, more SMA managers). With 5M portfolio you will start dipping into Private Equity and Hedge Funds...
6-7% return will be skewed towards equites - closer to max growth allocation. Capital preservation is typically 2-3% return.