The idea is to do a cash out refinance, invest the proceeds into a conservative stock/bond portfolio.

I've noticed that current markets are very low on stocks.

However, this would then be our only investment, as we would be using the funds we have in stocks and bonds to pay these off.

Like in stocks, I don't buy tobacco company stocks, even if they give the highest return.

So what about the profits made in the stock market?

If lenders were simply allowed to lend rationally based on market principles and had to keep the loans on their own books this crisis would not have happened.

So that leaves Tech as the biggest risk of losing jobs and that is possible with a stock market collapse but people are still using computers and Google even if the stock market tanks.

How many lives are being destroyed by the perception that 'its easy' or 'all it takes is hard work' or 'house prices are low and interest rates are low, you can't go wrong' or 'real estate is way better than the stock market' ?

sure will, just so you know i flipped a few sfh in florida ( palm beach county) from 2005 to 2007 and got out before the crunch of 2008. for example i got a sfh for 475k sold for 599k 1 year later i unloaded all of them about 6 months before the crash. had a home in nj paid 196k & sold for 530k. the moral of the story is i am used to the ups & downs of any market. i am also a stock market junkie also. the homes that were sold in 2005 at the breakout of the market are at or above the high back then.

This first subsidiary's purpose would be to invest in such products as stocks, mutual funds, REITs, and other brokerage services to build capital for the venture.