Originally Posted by
Snoopy
Hi DAF,
First my condolences for your loss, as I assume that being left that much it must be from a close relative. $600k is a substantial amount of money to deal with. I would have to ask the question do you really want to use it all for other purposes? If those 'other purposes' include paying off debts, including the house mortgage then I would say go for it. But $600k, or even $300k can be invested to provide a significant ongoing income, particularly if invested in the NZ sharemarket. If you are not comfortable with investing in the sharemarket yourself , you could get it professionally managed in a 'share market fund'.
Brokers tend to favour a higher allocation to bonds in a balanced investment portfolio as you get older. If you are a younger generation to the person that left you the money, I would suggest liquidating the bond portfolio first. Many people do not appreciate that you can lose substantial capital on listed bonds. With interest rates low they are barely any less risky than shares at the moment IMO.
SNOOPY
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