Assume you have $$10,000$ to invest. If i had $$10,000$ i would invest in the IRA, i would open an account and fund some money in like $$3000.$ I would then invest in some bonds, i would lend money to a company or a government so I cant get money in the end of the year. I would invest probably $$2000.$ I would then invest all i have left into real estate trusts, the REITs. They are like stocks but its easy to cash out and invest my money somewhere else.