Based on your financial expertise, provide your response or viewpoint on the given financial question or topic. The response format is open.

Does girlfriend have too much savings, time to invest?
There are ETF funds that only purchase preferred stock from banks. I have one that pays a monthly dividend of a little under 6% per year. That means that it pays just under 0.5% every month. The purchase price of this stock just slowly goes up and up.  You can do a whole lot better than 2% per year.  The crux of the issue, as I understand it, is the lousy 2% interest she is getting. My point is that you can do a lot better than 2%.  An ETF is not a scam. The price has stability and slow growth because it buys preferred stock from banks.  http://www.marketwatch.com/investing/Fund/PGF?countrycode=US http://stockcharts.com/h-sc/ui?s=PGF&p=D&yr=2&mn=3&dy=0&id=p52078664654 Yes, she should invest. My answer is yes because 2% ROI  is a lousy return and she can do better.  Looking at the 200 day moving average, the price goes from 15.25 in May of 2014 to 17.95 in Dec of 2015. That, in price appreciation alone, is a 17.7% increase. Add on top of that a 0.5% increase per month and you get a stellar 27.7% Total Return.  The increase in the Fed funds rate is a benefit to banks. PGF invests in Banks by buying their preferred stock. This means that the share price of PGF will continue to increase and its ability to pay the, nearly, 6% per year dividend will also improve.