I'm curious what multi-millionaires are doing right now with their money?

[Dover]

I'm sure they are much better at this game than most because they have to be with all that loot.
Do you suppose any of them have savings accounts? If so, how many different banks would they need
to spread it around so each account is under 100K?

This may be the wrong place to pose this question...:eyes:

[TheCowsCameHome]

1. Throwing it away on stuff like this, for one thing.

http://www.capeandislandsplate.com/auction/catalog.asp?catid=148&sortpref=title_asc

Must be nice to have nothing better to do with your money.

[Ian David]

6. I want THIS one!!!!

$1,200.00
http://www.capeandislandsplate.com/auction/detail.asp?id=10069

[TheCowsCameHome]

11. Send me a check and I'll make the necessary arrangements.

:rofl:

[screembloodymurder]

2. They let their financial planners handle it.

I've put all $397.57 in a credit union.

[screembloodymurder]

39. Cheney had a portion in BEGEX. Not sure if he still does.

It's a Euro based bond fund so it goes up and down with the Euro and it pays 4+% interest. One year return is 15%, but since most of that is currency related, it's subject to quick swings.

It's possible to research the holdings of many insiders online, but if you want to get what many think is the best financial advice in the US, buy Buffet's class B shares, BRK-B.

[gateley]

3. They've moved their assets into Euros and possibly gold.

And maybe bought a lot of Exxon stock.

[Dover]

4. and probably hedge funds...n/t

[zeemike]

13. REAL estate

Not the phony estate in paper money and stocks and bonds because inflation can and probably will, can wipe it out.
Gold and precious metals, property. and businesses that can survive inflation which they know will come sooner or later.

I know of an example, One woman inherited the considerable wealth of her father who made most of it during the depression. He had wisely taken some of his profits made in the stock market during the 20s and bought land in the Ozark mountians...some 50,000 acres in forest...at that time land was real cheep because of the poverty of the people there, so he probably paid no more than 50k for it all. But it was land that had a standing forest with lots of marketable timber which he sold and made more than he paid for it and still owen the land which later appreciated greatly.

[Warpy]

15. I hope so

hedge funds, especially those headquartered at mail drops in the Caymans, are not going to be a particularly safe bet as it all starts to go to hell.

From what I've seen, most is still in the market in the US, with flyers taken across the globe, especially in Asia.

[Tuesday Afternoon]

8. bingo!!

that is my thought as well.

[Deja Q]

9. Bill Gates did that in 2005.

Of course, if the global economy crashes, he'll be buck nekkid broke as the rest of us.

[sandnsea]

10. years and years ago

While telling everybody else to invest for the long run. :eyes:

[defendandprotect]

19. Is it practical for average Americans to buy Euros . . . ???

[Captain Angry]

29. The only thing I like about Jim Cramer...

I caught his show one time, and just as I was about to kick the television, he read a viewer's email...

(paraphrasing from memory)

Viewer: "Hey Jim, I was thinking of starting to invest in the foreign exchange / currency markets, could you..."

Cramer: "Here's an anecdote. I'm a pretty smart guy. I have access to all kinds of information, and I decided to put some money into the currencies market. I made the trade, and went to lunch. When I came back, I'd lost everything. And I went to the Burger King drive through. I was gone 22 minutes."


That market is for EXPERTS with significant amounts of money. I don't think anybody at our income level can even find a financial adviser who would help navigate that market.

Side note: The question about Euros right now, is the same as gold. Would you be buying at the high? In other words, are you interested in it because of how well it's done, or how much potential it has? A lot of people jumped on gold at $1000 instead of $450. That's why rich people get richer, and poor folks get frustrated with investing and stick to savings.

[defendandprotect]

35. I was thinking more in terms ... not of making money . . but of protection . . .

picking up a certain amount of EUROS to hold -- against, let's say, total deterioration of
the dollar.

[screembloodymurder]

40. Yes. FXE - Euro, FXY - Yen, FXC - Cad

They're all traded along with many other currencies.

[Captain Angry]

5. I'll go ahead and be the unpopular one.

Not all millionaires have "loot". Many millionaires have started businesses, saved for decades, etc.

I'm sure that millionaires all have savings accounts, but money in that account isn't making them any more money, so it will be limited.

Why would you tie up any amount of money making 3-5% when you could have it making 10%+?

FDIC insurance maxes at $100,000. But you can buy insurance on accounts larger than that. The $100K is just the amount the FDIC covers.

[Dover]

16. Hmmmm...what is making 10%?

Yes, there sure aren't any incentives to 'save' money in a traditional savings account, even as the media complains how Americans just don't save anymore.

And I didn't realize there was a way to insure your money. I'll bet those insurance companies are
quaking in their boots, though.

[Captain Angry]

18. You can insure more with the FDIC than the base amount.

So, it's not an insurance company, but the gov't itself.

And think about this: If the average savings rate is nearly 0% while some are saving millions a year, what does that say about the debt incurred by the other half of that equation?

[Dover]

20. What does it say?.

And do tell, what is making 10%?

[Captain Angry]

22. That a whole lot of people have been spending money they don't have.

Look at the people who refinance a mortgage and end up having a 30 year loan that now includes interest on a car for 30 years, interest on a TV for 30 years, etc.

[Dover]

24. I see your point.

So will you share how one can make 10% on their money in this economy?

[Captain Angry]

25. I've doubled my money several times over this year by paying attention.

Option trading works very nicely with very little downside if you're investing intelligently.

[Dover]

26. Thanks. Well you obviously have a much better grasp on this than me

or the average joe. Glad you can make it work for you. Bravo!

[Captain Angry]

28. Not all investors are evil, as many who frequent this site would have you believe.

Me? I sold an oil stock after watching it go up 60% in a matter of months. I took the profit from that sale and donated the max to Obama. :-)

[Dover]

30. Bravo again!

Investors aren't evil. They just know how to play the system better than the average person.
But the whole system is like a casino, and most of us are just sitting at the slot machines
hoping for three lemons and lady luck to tap us on the shoulder while others OWN the casinos...
and rig the system. They are the ones with the horns on their heads.

[screembloodymurder]

41. How about Allied Irish Bank, AIB w/ a dividend at 13%

No guarantee, it's a bank.

[defendandprotect]

23. Aren't there FEMA rules which will limit and override the .....

depositor's normal rights to withdraw savings -- ???

I'm not sure about CD's . . . ??

[Captain Angry]

27. Not sure how or why FEMA would be involved in the banking industry.

The status of a CD depends on how it was formed by the bank.

[defendandprotect]

33. Haven't seen anything on this in a long time . . .

usually at various websites there is someone who will pop up and is famililar with
it and keeps everyone informed.

I've just been a reader of these postings over time --- but even before 9/11 ---
and before this disastrous administration, as I recall it, FEMA had regulations which
provided that your money would be doled out to you in event of some kind of a crisis
at a particular rate to be decided upon.

[redstateblues]

17. Right now 3-5% aint bad- beats losing money

[louis-t]

7. Who do you think is buying up peoples gold jewelry

that's "lying around collecting dust" as the commercial goes? "Your family heirlooms and precious gold jewelry are no good to you. We know you are starving and need money so we'll buy it from you at half it's true value." When I hear the doddering old woman exclaim "I got $500 for my gold", I wanna scream "You fool, it was probably worth much more."

[Captain Angry]

21. You *know* somebody's making good money on that scam.

Just like the bastards selling the 9-11 silver ingot. REAL GENUINE silver leaf. They're selling cents worth of something for $20.00. What an awesome scam.

I can't believe that it's legal to allow an advertiser on a TV/radio station that has a false product.

[tsuki]

12. Have you ever seen a picture of Scrooge McDuck. That. nt

[notadmblnd]

14. the king was in the counting house, counting out his money....

the queen was in the parlor eating bread and honey.

[kestrel91316]

31. They're counting it and cackling with glee, I'd imagine.

[Dover]

32. So where are they keeping it?

[Dover]

34. CDARS?

I suppose this is one way banks are able to keep their really BIG customers:

http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=114x40915

[Common Sense Party]

36. I know Warren Buffett (multi-billionaire) stays invested in a diversified

portfolio of well-managed, dividend-paying companies and high quality bonds. Buffett does not get scared out of the market during recessions or bear market downturns.

Most wealthy people do the same. They may call and gripe at their advisor, but the stay invested for the long haul.

[leftofthedial]

37. buying shit

expensive shit

[Common Sense Party]

38. Let's hope so.

Let's hope they keep buying lots of it.

[On the Road]

42. That, of Course, is the $64k Question

In the markets, one place may be investing in financials that are not likely to fail.

A more local way might be picking up cheap real estate. Or variations like tax sales, on which you can earn 18% even if the owners pay up before losing the property. Some people who made a load of money in real estate become hard money providers. It's like starting your own mortgage company -- you essentially make high-interest loans to real estate investors, generally 4% upfront and 16% annual. Problem is if the borrower can't pay, you need to know what to do with the foreclosed property. Harder to find investors now than two years ago, but people are still doing it,.