The 16 Investments I Made With My $1.8m Inheritance

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A Reddit user recently shared the 16 investments that he had made with his $1.8 million inheritance. The investments included a vast array of different companies spread across multiple industries, from Marvell Technology Inc. to Microsoft to Amazon to Advanced Micro Devices. 

The original poster (OP) wanted comments from fellow Redditors, and many were supportive of the choices he had made, while others questioned whether he might be taking on too much risk.

Here are the Redditor’s investments, along with some insight into whether he’s on the right track to preserve and grow the inheritance that he was lucky enough to receive.

This is what the Reddit user invested his $1.8 million in

The Reddit user posted a table showing his investment mix. The table showed that the different investments he put his inheritance into included:

• Moderna Inc
• Devon Energy Corp 
• Amazon
• Advanced Micro Devices
• Nvidia Corporation
• Occidental Petroleum Corporation
• Google
• Microsfot
• Transocean Limited 
• Vanguard World Fund
• Softbank Group 
• An S&P 500 ETF fund
• Intel Corp
• Dell Technologies 
• Marvel Technologies
• Broadcom

When the OP posted his list, he indicated that he expected people to have criticism because he had posted details about his portfolio composition before, and he said people hated it. Specifically, the poster said people felt he was being too aggressive. 

However, while there were some exceptions, most Reddit commenters to his latest thread were actually pretty happy with the OP’s choices. While many acknowledged his asset allocation was on the aggressive side, they also felt it provided a good chance of a solid rate of return on the funds. “Aggressive and high risk, but definitely high reward,” one poster commented. “It’s not bad as long as you understand the volatility.” 

Some Redditors actually thought that the composition of his portfolio was solid enough that the past criticisms may have stemmed from jealousy over the large inheritance rather than actual issues with the mix of investments that the OP had selected. 

However, others did say his portfolio was so risky that it amounted to “gambling,” and one poster said he would personally pick a dividend index fund instead to enjoy dividend income he could live off of. 

Is the Redditor on the right track?

First things first, the Reddit poster has made a smart choice by investing the inherited money in the first place, since far too many people who inherit end up squandering the assets provided to them by loved ones. By investing, he’s keeping the funds safe so the money can grow and be used to buy him financial freedom and independence. 

Second, however, the OP does seem to have the bulk of his money in stock shares of individual companies, including those that are clustered within the IT world, such as software, cloud computing, and computer hardware and IT companies.  Buying so many shares of individual stocks, and especially in companies that are closely related to each other, can increase the risk of outsized losses if that particular sector of the economy does not do well. 

While the OP might benefit from getting some added diversification and putting some of the money into non-equities, the fact is that the original poster said he was young, headed to medical school, and not planning to use the inherited funds for a very long time. In those circumstances, taking on a little more risk is OK because the OP has lots of time to recover if things go wrong.

Of course, any risks should be calculated and informed based on the OP’s goals and his understanding of his ideal asset allocation. Talking with a financial advisor can help the OP to decide on a perfect asset allocation and to feel confident in his choices, so he no longer needs to try to ask people on Reddit if he’s made the right moves. 

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