I've been pretty lucky the past couple of years. We're completely out of unsecured hig-interest debt, and we've got some decent safe investments. However, I've been thinking that it would be nice to have something that is actually capable of paying a real dividend, rather than insulating from loss.
I am expecting to have a little extra cash to invest at the beginning of next year, and I am seriously considering a particular investment that could pay off handsomely.
What can you invest in that will really pay off? Well, I'm not a money-manager who thinks about this stuff all day, but I think I know some of the basics.
I know that it helps to know what you are looking for in the short-term and in the long-term, and what sort of a time-frame you have in mind. Short-term investors may be looking to generate income, and don't so much care about building principal for later, while others may be interested in building for the future and retirement. Then, you have to be aware of your sensitivity to risk; the riskier investments may have the greater potential to pay big, but you could lose it all.
With that in mind, I'm considering the following as an investment. I have not made up my mind as to whom I will support for President, although I would generally be satisfied with any of those people likely to win the Democratic nomination. Also, at this time, it would appear to me that whoever that person is, he or she will likely be elected President (I suppose it's possible the Rebublican Party can figure out what to do over the next year, but I am increasingly convinced that John McCain will get the Bob Dole type of place-holder nomination).
I am also aware that, like it or not, those who contribute large amounts of money to campaigns get access to the candidates and their organizations, and when it's time for those organizations to expand, and fill the appointed positions, they may look to those large contributors for guidance and assistance, especially if the candidate is relatively new to the game.
So, here's my potential investment plan for 2008. I will wait until after Super-Dooper Tuesday, when it will likely be clear who will have won the Democratic nomination, and then I will contribute the maximum allowed for a married couple to that person's campaign.
This plan has both short-term income potential, and long-term growth potential. In the short-term, I can then lobby for a job with the administration that pays $120,000 or so. I am not a total GOP style hack either. I have a J.D. and an M.P.A., so there are plenty of jobs I could fill. Then, if the President can manage not to screw up too badly, I could have a job for at least 8 years, with benefits.
After that, if I've played my cards right, I can sail into a cushy job in a new administration, or in the private sector, for even more money.
This is not a fool-proof plan of course, because if Hillary Clinton wins the nomination, the chances of getting the job are dimished considerably. She and her husband have thousands of favors to repay. The Obama and Edwards campaigns are much less top-heavy, and because they attract young people, there may be fewer among their hordes of supporters with the resume power to fill all the positions.
Considering that it takes less than $5000 to max out as a donor, this investment has a lot going for it. America truly is the land of opportunity.