I have fifty thousand dollars, I am a first year freshman. Should I put it in a money market account where it is safe and only gets a half percent interest a year or do I invest it in the stock market, which is riskier, but has the potential for a much higher rate of return.

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Posted by Scott Rivlin (MONEY FORUMS: 4, Answers: 7)
Asked on April 5, 2016 9:44 am
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You need to ask yourself a few questions. First of all, when will you need to use this money? If you need it in the near term, then you need to keep it safe (you can get around 1% from certain online banks). If you don’t need it any time soon, you can then assess your appetite for risk and choose an appropriate investment. An index fund (a mutual fund that mimics a broad-based stock market index) would be a very low cost and well diversified investment.

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Posted by Beth Tallman (MONEY FORUMS: 1, Answers: 61)
Answered: April 5, 2016 4:32 pm
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