Okay, let me preface this by saying that I am so stupid about financial things that I am actually here asking for advice on a Bike forum ferchrissakes!
But it's sort of germane: Basically I'm planning on ordering a custom bike with a ridiculously long waiting list, and I want to take advantage of the wait time to save the money for the bike itself.
So here's the deal. I've got $1000 in cash as starter "seed" money. And I have the ability to contribute $100 per month for the next five years. What's the financial instrument with the best 5-year ROI that I can throw this money into?
For reference, if I just stick the money in a mattress, at the end of 5 years I'll have $7000 ($1000 seed money plus $100 x 60 months). So is there something like a 5-year Certificate Of Deposit w/ compound interest that can turn this sum (and this schedule) into something significantly greater than $7000? (Or, perhaps five separate 1-year CDs?)
I have no idea what I'm talking about (clearly). And I do plan on consulting actual "experts" before making any investments. But I thought I'd see if anyone here has gone through a similar process and has any recommendations. Thanks.