My name is Bond

[garbon]

If you are going to do the quick and loose math anyway, might as well do it at a time when you still have a choice on what to do with the CD money, rather than after the fact 

Why? If the result is roughly the same, why should I spend time thinking about it? (I wouldn't have even done any math if we hadn't been discussing it here.) $7 loss and dropping (with dropping interest rates) is hardly something to get worked over.

[Monoriu]

Why? If the result is roughly the same, why should I spend time thinking about it? (I wouldn't have even done any math if we hadn't been discussing it here.) $7 loss and dropping (with dropping interest rates) is hardly something to get worked over.

Because if you pulled your money out and invested it in [whatever], the result could be different.

You sound just like my wife, BTW 

[garbon]

Because if you pulled your money out and invested it in [whatever], the result could be different.

You sound just like my wife, BTW 

But there were only a few courses of actions that I would have realistically taken. I could have kept it in the CD, put it in my checking, or put it in my savings account that has a higher interest rate (and what I used in my quick calculation).  That's about it, dude.

[Monoriu]

When I go to any restaurant, I always go through the menu, and read every item on it.  I then pick the best out of the choices available.  I am appalled every time I dine with someone who tells the waiter to "decide for me". 

[Habsburg]

Failure to carefully consider your options before the CD is due may result in opportunities lost.  Letting the CD automatically renew itself means one has not taken full consideration of the options available.

I would agree.

However since the financial meltdown I'm not doing anything with my money in equities anytime soon. 

Though I briefly considered Nickel futures. 

[garbon]

When I go to any restaurant, I always go through the menu, and read every item on it.  I then pick the best out of the choices available.  I am appalled every time I dine with someone who tells the waiter to "decide for me". 

Well I'm appalled by that too*. After all, what does Joe Random waiter know about my tastes?

*I'm unlikely to read every item as I scan and when I see words like "beef" I don't need to bother reading the description. Also, I'm not sure what "best" means so I'm not sure if I can agree with that.

[Siege]

When I go to any restaurant, I always go through the menu, and read every item on it.  I then pick the best out of the choices available.  I am appalled every time I dine with someone who tells the waiter to "decide for me". 

My wife decides for me.

She knows what's best.

[Habsburg]

Filet au Poivre 

[Monoriu]

When I go to any restaurant, I always go through the menu, and read every item on it.  I then pick the best out of the choices available.  I am appalled every time I dine with someone who tells the waiter to "decide for me". 

My wife decides for me.

She knows what's best.

[Jos Theelen]

I have a lot of corporate bonds, which I am very pleased about. They give on average around 6,5% interest, and they also got up in value, because the interest on corporate bonds went down. They are slightly riskier than treasuries (because the companies can go broke), but give more interest.

However results in the past don't guarantee anything for the future.

P.S. iShares has a tracker "iShares € Corporate Bond Inc". It tracks the corporate bonds in Europe. Because it is based on many companies, the risk that your money disappears is none. Their dividend is less, around 5% I think.

[Ed Anger]

My coffee cans bring no interest. However, I can dig them up anytime.

[Martinus]

To hijack this thread a bit, what is the best way of managing your investments, when you do not like risk and do not want to spend time following ups and downs of world markets? So far I have been keeping all my money in interest bearing deposits, but thinking of diversifying it a bit. Thoughts?

[Jos Theelen]

To hijack this thread a bit, what is the best way of managing your investments, when you do not like risk and do not want to spend time following ups and downs of world markets? So far I have been keeping all my money in interest bearing deposits, but thinking of diversifying it a bit. Thoughts?

If you don't like risk, put everything in treasuries or corporate bonds. Reasonably safe and more interest than deposits.

If you can handle some risk, first ask yourself what the maximum amount is that you want to lose. Assuming that the maximum loss on equities each year is around 40%, calculate what part of your money you should put in equities and put the rest in treasuries. Repeat this exercise every year.

Suppose you want to lose not more than 10% of your money, put 25% of your money in equities and 75% in treasuries.

[Zanza]

So how does one "invest" intelligently if one only has a couple hundred euro per month to invest anyway? Or should I just waste it on something fun?

[Admiral Yi]

So how does one "invest" intelligently if one only has a couple hundred euro per month to invest anyway? Or should I just waste it on something fun?

What I would do is save the couple hundred until you have enough for a CD, then roll the CDs until you have enough to amortize the brokerage and account maintenance fees.