Tons_of_Debt wrote:
Thanks jaybird! I'm pretty young so I don't mind moderately aggressive risk atm. I won't be drawing it out for at least 25 years.
Message Edited by Tons_of_Debt on
08-07-2008 11:54 AM
The reason why they'd be the best for you, is they don't charge adviser fees or anything like that. If you're looking to put your money in and leave it be, it's best to go with mutual funds and index funds with low expense ratios (All funds charge these. It's basically a fee you pay to the guy who manages the fund. The lower the better!). Go onto their website, log-in (You have to be logged-in) and look at the Fidelity Mutual Fund Picks (You can go to the search bar and search for "mutual fund picks") and it should show up.
They have TONS of no-load funds. With many other brokerage firms you have to pay a 2% fee to your "adviser", basically the guy who you call at the company and who presses some buttons to buy the funds for you. With no-load funds, you just buy them yourself online and you pay no money to buy-in and no money to sell (You usually have to wait atleast 180 days before you can sell. If you sell before then you have to pay a hefty fee, but you're investing for the long-term so you don't need to worry about this).
If you just want to leave your money in there for 25 years and don't know much about stocks or mutual funds, just go with index funds. Over the long-term the vast majority of stocks and mutual funds DO NOT beat the major indexes like Dow Jones and S&P 500. So I'd recommend just buying into these funds that buy stocks to align themselves with the major indexes and just sit and watch your money grow.
If you'd like advice on what index funds, etc. to buy into just send me a message. I don't recommend you take my advice without doing a bit of research yourself, but I'd be happy to point you in the right direction by telling you some common index funds that give you a very broad diversification across domestic and foreign markets (The same advice you could find from reading CNNMoney or Fortune or Money Magazine articles).
