What are good lump sum investments to make?

Hi, I have a sum of money that I intend to invest but am trying to be more passive about it. The only thing that comes to mind is real estate but I am wary of the outlook of it given the current situation and limited growth potential. I am wondering if anyone has any suggestions on where are good places for lump sum investments of 6 figures?

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Zac

30 Jan 2021

Noob at Idiots Invest

There are no "good" or "bad" lump-sum investments. A lot of it depends on what your investment horizon and goals are, what knowledge you have, and how much volatility you are able to stomach.

If you have absolutely zero knowledge, do some reading on digital advisors (aka robo-advisors). These wealth management platforms invest your money, for a low fee, into a variety of different securities to provide you instant diversification. Depending on your tolerance towards volatility, the portfolio might be weighted towards equities or bonds. Since you are trying to be passive about it, digital advisors will be a good option for you.

Passive doesn't mean ignorant though, you will still need to read up to know which is best suited to you.

Your investment horizon matters. If you are a fresh grad with 6 figures, the amount of volatility you should be able to take on will be vastly different from a retiree with 6 figures.

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