{"id":445,"date":"2020-03-01T14:47:49","date_gmt":"2020-03-01T14:47:49","guid":{"rendered":"https:\/\/demo.wealthface.ca\/blog\/?p=445"},"modified":"2022-11-08T11:24:03","modified_gmt":"2022-11-08T11:24:03","slug":"how-to-invest-100k","status":"publish","type":"post","link":"https:\/\/wealthface.com\/blog\/how-to-invest-100k\/","title":{"rendered":"How To Invest $100K: 4 Simple Options and Caveats To Investing"},"content":{"rendered":"\n

Let\u2019s say you\u2019ve come into some money, $100,000<\/strong> to be exact, from your savings account or from someone leaving it to you, through inheritance. <\/p>\n\n\n\n

Whether you want to use it to become a millionaire<\/a> or for something else, before you decide to spend it all, or invest only some of it, this article will show you how you can have amazing investment options<\/a> with your $100,000<\/strong>.\u00a0<\/p>\n\n\n\n

Want To Be a Millionaire?<\/strong>
Click here to Start Investing Today!\u2197<\/strong><\/a><\/h3>\n\n\n\n

How To Invest 100K: 4 Simple Options and Caveats To Investing <\/h2>\n\n\n\n

2 Priorities To Consider Before Putting Money In Investments<\/h2>\n\n\n\n

But before we understand how to invest 100K, it\u2019s a good option for adults to set aside money for two very important things: Paying your debt and creating an emergency fund.<\/p>\n\n\n\n

Pay down your (high-interest) debt.<\/h3>\n\n\n\n

If you have any debt with a high interest rate, your best bet is to pay this down before putting anything in the investment market. So if you have any credit card debts or any loans, pay that off first. <\/p>\n\n\n\n

Why? <\/strong><\/p>\n\n\n\n

The average credit card interest rate is 16%<\/strong>, which is significantly higher than the average annual stock market return. This means that paying off ANY high-interest debt is a priority before investing.\u00a0<\/p>\n\n\n\n

Create an Emergency Fund<\/h3>\n\n\n\n

If you already have an emergency fund<\/strong> for medical bills, going unemployed and living off on savings, unexpected events, or buying a house, etc, you can go ahead and invest your 100K in the market.\u00a0<\/p>\n\n\n\n

However, if you don\u2019t have an emergency fund yet, you need to put all your money here. With your efforts and cash going into an emergency fund you help yourself through unexpected challenges. <\/p>\n\n\n\n

An ideal emergency fund should cover at least 6 months<\/strong> living expenses, or even just as little as 3 months<\/strong>. Whatever route you choose, ensure that this emergency fund<\/strong> can be liquidated when needed. Take a look at your fund again, and where you put it, a matter of risk tolerance. <\/p>\n\n\n\n

The safe method is to stock up for a full six months<\/strong> and keep it in a deposit account where there\u2019s no risk of losing principal (like a savings or money market account).\u00a0\u00a0<\/p>\n\n\n\n

Now that we\u2019ve got these two priorities out of the way, you can actively pursue ways to maximize profits by investing in the market. Here\u2019s a breakdown of your numerous how to invest 100K<\/strong> with four popular options. This is the best option, if you are smart and serious about investing.\u00a0<\/p>\n\n\n\n

Read & learn more about emergency funds.<\/strong><\/p>\n\n\n\n

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Emergency Fund: Everything You Need to Know About It<\/a><\/blockquote>