Where to put $250k for 3+ years

[Anonymous]

ETA:^^^
I don’t buy or sell on the secondary market. I buy original issues at Fidelity and hold until term.

[Anonymous]

Anonymous wrote:ETA:^^^
I don’t buy or sell on the secondary market. I buy original issues at Fidelity and hold until term.

Why is holding to term better? Is it the difference of capital gains or tax as ordinary interest?

[Anonymous]

Anonymous wrote:

Anonymous wrote:ETA:^^^
I don’t buy or sell on the secondary market. I buy original issues at Fidelity and hold until term.

Why is holding to term better? Is it the difference of capital gains or tax as ordinary interest?

It’s not necessarily better. If interest rates rise, however, and you sell early, you’ll lose principal. If interest rates lower, you’ll sell higher. Holding to term, you don’t lose principle. I don’t know how it’s taxed. The yield is taxed as ordinary interest, but is state tax free.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Cash for the next 3-4 months, then in the S&P 500.

This. Bear markets typically rebound in 9 months. You could miss out on some real gains in 2-3 years.

Where did you get your crystal ball? OP, don't listen to this poster. If you need the money to buy a house in 2-3 years, it should not be in stocks, unless you are willing to accept loosing half of it and buying a lesser house.

It's not rocket science. Pull up historical s&p curves. Look at how long the bear markets rebound. The fall in 2008 took less than 3 years other recent history bear markets were shorter than this. But hey, don't listen to me, what do I care...

True...mostly
https://www.investopedia.com/a-history-of-bear-markets-4582652