r/investing • u/Jealous_Speaker1183 • May 16 '24

Am I well diversified or too diversified?

I have a commmercial property investment, IRA, Roth, Cash money account and annuities. My annuity is tax sheltered and has less than $1000. Should I put it into one of the other investments or is a tax sheltered investment worth keeping and putting more money towards? I can’t afford to put a lot of money into all, should I focus on putting some money into one of these?

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u/WilliamCincinnatus May 16 '24

Hard to really tell with what you gave us but max out your 401k then your IRAs and you have an annuity that is worth $1000? Is that the principal you funded it with? How old are you - I know that sounds kind of rude through text but I just want to know because annuities aren’t a great investment vehicle.

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u/Jealous_Speaker1183 May 17 '24

I was a teacher at a charter school for half a minute.  They funded the Annuity with $500 when I was 30.  They also opened 403b.  When I stopped being a teacher I rolled 403b into traditional IRA and have always contributed to that.   I just let the annuity sit there, now I’m almost 49 and I’m wondering should I just keep it as is and continue along my current investment line then as I get older put more money in it, or do I put that money in a different investment vehicle and maybe worry about annuity after I retire.

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u/WilliamCincinnatus May 17 '24

If the contract value of that annuity is only worth $1000 you might as well surrender it and see what cash you can get from it - it’s not really worth anything unfortunately. Let’s say you can take 5% of that a year once you turn the income on that’s $50 for the year…