$XIV
How would you invest $100K USD aggressively?
71–75 of 75 posts
Re: How would you invest $100K USD aggressively?
#72If you had all the time in the world, I'd watch the VIX. When it spikes, buy the XIV (inverse). It's practically guaranteed to increase in value throughout the day, volatility can't stay in a spiked state.
Just to clarify, this is the CBOE Volatility Index? http://www.cboe.com/products/vix-index-volatility/volatility...
Yes. You cannot trade an index but there are financial instruments which do their best to mimic it.
VXX is an ETN that's long on the VIX. And XIV is an ETN that is short on the VIX.
ETNs have their own precautions to take into account.
Re: How would you invest $100K USD aggressively?
#73No better way than a high risk high reward portfolio of crypto currency
Re: How would you invest $100K USD aggressively?
#74Real estate. Buy a cheap house with leverage, fix it and either rent it out, or sell it. If you rent, cash out refi, rinse and repeat. Many fortunes built this way. High use of leverage means many shirts lost as well, however many of our laws (assuming US) are skewed to benefit real estate investment and speculation... with the current admin, I don't see that changing anytime soon. I don't think you can find better o…
>If you rent, cash out refi, rinse and repeat. Can you expand on that point? If they rent it shouldnt they just sit around and collect payments? Also, isn't this all highly reliant on location?
Sure. You buy a distressed house with leverage. Improve it, which if done in a smart way should raise the value more than what you spend on renovations. You can then go and refinance at the new appraised value, taking cash out. You take that cash and buy another property. Do this over and over and eventually you have a portfolio of properties and consistent cashflow from your rent roll. Granted this will likely take longer than a few months. You could probably do one flip in that timeframe, however.
Re: How would you invest $100K USD aggressively?
#75Real estate. Buy a cheap house with leverage, fix it and either rent it out, or sell it. If you rent, cash out refi, rinse and repeat. Many fortunes built this way. High use of leverage means many shirts lost as well, however many of our laws (assuming US) are skewed to benefit real estate investment and speculation... with the current admin, I don't see that changing anytime soon. I don't think you can find better o…
Would real estate actually meet the conditions of being $100k to start with and double that in 6 months? Real estate seems low risk low returns. Also assuming the question means $200k cash (and not assets), would one be able to sell off real estate that fast?
You are likely right. I have seen people pull off flips that are this profitable, but its pretty rare.