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These are some of the smartest investments to consider making, according to experts.
Also see your options if you inherit a house.
Invest in Retirement
The best thing to do is to invest in retirement.
Period, said Paul Gabrail, founder and host of Everything Money.
Invest in long-term, low-cost ETFs.
ETFs, or exchange-traded funds, are a common throw in of investment product.
Keep in mind that ETFs generally come with some fees, though theyre usually fairly low.
Invest in Debt Repayment
This one wont generate returns at least not directly.
Use this as an opportunity to change how you spend.
If you dont change your habits, you will end up with the same debt down the road.
If you have a mortgage and find it emotionally hard to stomach, pay it down, Gabrail said.
Regardless of what size inheritance you get, a diversified stock index fund could be a smart long-term move.
Johnson did caution against trying to pick winners, since its a losers game.
Diversified index funds make it where you’re free to still capitalize on those returns withoutas much risk.
A big advantage to passive index investing is it minimizes costs, he said.
Its a good way to diversify your existing portfolio.
Splurge on a little something with part of the money, Gabrail said.
Its fun to splurge.
Get it out of your system.
Then refocus on saving for retirement.
Again, long-term, low-cost ETFs would be my recommendation.
Youre generating income even while youre not actively working on it.
… That passive income stream has been the game changer for me.
It never hurts to spread the risk factor and maximize those gains.
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