Skip to main content

The Globe and Mail

I'm getting $12,000. Where should I invest for 100% safety?

Dear Nancy,

I will have about $12,000 coming to me shortly and need a 100 per cent safe short-term investment for it.

I will need to have access to about $1,000.00 of it per month for the next 12 months – so drawing down the balance to nil in one year.

Story continues below advertisement

Can you suggest an investment that has minimal risk and is cashable monthly?

Robyn



Dear Robyn,

Since you are in need of a guarantee of your principal, I suggest looking at a high-interest savings account. It would allow you monthly access without any penalty. You can also consider putting the funds into a tax-free savings account to shelter the small bit of interest income it would pay over the 12 months. This is, of course, providing that you have the allowable contribution room for the TFSA.

Nancy





Nancy Woods, CIM, FCSI, is an associate portfolio manager and investment adviser with RBC Dominion Securities Inc. To ask her a question, send an e-mail to asknancy@rbc.com or visit her web site at nancywoods.com

READ MORE FROM OUR ASK AN ADVISER SERIES HERE

Story continues below advertisement

Report an error
About the Author

Nancy Woods, CIM, FCSI, is an associate portfolio manager and investment adviser with RBC Dominion Securities Inc. More

Comments are closed

We have closed comments on this story for legal reasons. For more information on our commenting policies and how our community-based moderation works, please read our Community Guidelines and our Terms and Conditions.

Combined Shape Created with Sketch.

Combined Shape Created with Sketch.

Thank you!

You are now subscribed to the newsletter at

You can unsubscribe from this newsletter or Globe promotions at any time by clicking the link at the bottom of the newsletter, or by emailing us at privacy@globeandmail.com.