which investing vehicle has the lowest volatility and good ROI (8-30%) ?

Discussion in 'Economics' started by coolweb, Jun 15, 2007.

  1. If you had investing capital,

    Where would you invest where the <b> volatility is low</b> (not swinging 5-10% every other week) for a 8-30% gain per year?

    Also where the Owner does not have to bust his ass working..
    and net would be Owners income.

    taxi medallions?
    buying small businesses like buffet?
    Commercial real estate? (cap rate like 7% now :( )
  2. mde2004


    you should shoot four 40- 80% man.
  3. lol
    was looking for 70% but momma said don't be greedy..

    How about tax liens?


    Anybody have any insight in that? Looks quite interesting with 18% returns backed by shitty NJ real estate :D
  4. ehsmama


    start selling option premiums
  5. Heres some info I collected:

    Flips. With cash on that level you can grab a ton of bargains, and like JBiz says, desparate sellers. It doesn't matter what the asset is as long as you can buy it deeply discounted off its true cash or market value, sit on it for a few, jazz it up a bit, if its a property for example, and re-sell it.

    Another good one, patents. They can be very lucrative if you can find a small time company that's got a good one with acquisition potential by a major corp. down the road.

    High end collectibles are always great.

    Entertainment industry projects. Super high risk, but the payouts can be enormous and forever if you catch a good deal. Financing scrits can be lucrative if you have a good eye.

    I used to do oil and gas property buying and selling. Its also super high risk, but if you do your homework and catch someone who needs cash you might find some good buys you can turn around and resell.

    Secured Sub-prime financing deals. Huge market with enormous profits. Check cashing stores / pawn shops also in this realm and super lucrative.


    Option selling - I have money in the market, enough volatility here to make for my whole life and beyond! :D
  6. If you have enough capital (>$30m), you could consider investing in high quality hedge funds. Basically you'd be running your own fund of fund which still involves a lot of time, effort and due diligence, but far less than trading yourself full time. I would choose Arbitrage, Activist, Distressed and Equity Long/Short Strategies. No Managed Futures since they are - while uncorrelated - mighty volatile.

    With the right mix of funds you can shoot for ~20% a year with low volatility. There is a good chapter about the issue "Once you have a fortune, how do you keep it?" in Barton Bigg's book "Hedgehogging". Worth a read.

    Good luck.
  7. gkishot


    Try viaticals. They are tax free.
  8. You might consider the ability of anyone to consistently correctly and reliably predict the future.

    <img src=http://www.mysticsceptre.com/images/fortune%20teller.jpg \img>

    I keep my crystal ball on the shelf next to the time machine, holy grail, warp drive and the sorcerers' stone.
  9. ok,

    if you got some cash and want to manage a business and a good one, www.bridgebrokers.com

    they got tons of businesses all over for sale, mainly ny & nj. They got a snapple route for 800k, you distribute 1/2 of Long island. you net some sick money. pay someone 1k a week, you will have a line of candidates from ny to LA. and manage it, plain and simple. make probably, 2-3 net after paying people easily.

    cant get a much better ROI than that.

    This is one opportunity out of 10000000
  10. ok a few more. buddy of mine owns 3 subways, all absentee run. He puts a manager in there, pays em 35k, checks in once a week, he makes usually upwards of 75k-100k per store.

    the old saying, it takes money to make money, that statement couldnt get anymore true.

    there are tons of routes for sale, you will easily find workers because there basically independent, no boss over their shoulder except you, there are night jobs, day jobs, etc etc.

    bread routes, archway cookie routes, pepperidge farm routes, potato chip routes, provision routes (deli meat-cheese and the like).

    I just seen a provision route in Philly for sale, 300k asking price, nets 3800 a WEEK. thats NET for a 4 day work week. hire someone for 1k for a 4 day work week, you clear 2800 before fuel and repairs.

    if you got the cash and want to build it, cant get much better then these.
    #10     Jun 16, 2007