What to do with $100K buying notes and\or securities

[Kelly M.]

I have 100K to invest at the moment and I would like some feedback specifically from "note and real estate" investors and not just "real estate" investors. I was very keen to purchase rental buy and hold property but after doing considerable research have reached the conclusion that the RE market is deep into the seller cycle nationwide and I am not sure now is the time to get in. I am well aware that there are still cash flowing opportunities out there and I could probably survive relatively unscathed if I buy now in a good cash flowing property even if the market goes south within 1 to 2 years (which IMHO I think it will). The other issue that is swaying me away from real estate property at this time is that its much more time consuming to find deals right now and time is my most precious asset so I need something passive.

I was of thinking of investing my 100K as follows:

• 20K in gold
• 20K in an index fund pegged to the Dow Jones (I know, quite the day to talk about buying stocks!)
• 10K in an index fund pegged to the NASDAQ
• 50K in a individual note or note fund

These are rough numbers but that is the general thinking I have. I am well aware that the stock market can go south (I have already experienced that first hand) but I am in a good financial position and can wait out a correction. I would love to get honest feedback on the investment plan above.