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I need to open roth IRA account. Need help selecting brokerage house.? |
Where should I open my roth IRA account. Fidelity charges $75 for transactions fee funds. They have a lot of non-transaction fees funds ($0 fees). Etrade and scottrade has very few non-transaction fees funds but their fee is very low. Less than $20. I don't want to limit myself with only some of the mutual funds (NTF) with fidelity. At the same time I will be paying $20 for everyfund I buy with etrade. I have been with Fidelity for over eight years...and here's a few things I have found out: If you are going to buy and hold, Sharebuilder is probably for you. It's $25 a year, but "cash" over $500 (I think) is put in a mutual fund which gives 4.4% interest right now so $800 in the money market would cover your expense. The other fees are $4 per buy and $15 something to sell. So if you buy a stock or ETF once annually that's just $4. A good option with Fidelity is that while deciding what to do with your money, you can leave it in the money market which is paying 4.9%. Schwab is not very limited + you should not be buying mutual funds in general anyway. ETFs smarter and much lower internal expense. .6 vs 1.5% often. ADX & PEO 2 closed ends even better as sell at 10%+ discount to asset value. No mutual fund sells at a discount. |
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Well you certainly want to have a diversified portfolio of mutual funds. If you want to keep it simple: VTSMX Total Market Index, VGTSX Total International Stock Index. And I would even throw in... It is not global but it does have a pretty good track record. 5 year average annual return of 24%. Heck I wish I could do so well. ... For stocks for which they hold the certificates, they could probably sell within one business day. Mutual funds may vary as to how quickly you could move out of something you just purchased. I... if you have half your money in an account with a 0.2% expense ratio, and half in an account with a 0.5% expense ratio, then half your money gets hit for 0.2%, and half your money gets hit for 0.5%,... You should go with an investment company instead of an insurance co. American Funds or Fidelity are the only ones I see that are investment Co's. The other ones are insurance Co's and... Some of the Fidelity funds may have a short term trading fee but at $400/mo it will take you 7 months to reach the minimum and I believe that would be over the short term limit on all of their fund... CD is the safest for such a short time.All the others have capitol risk,which you may not have time to recover in 2 years ...SMALL BUSINESS guarantees the highest return at min. risk ... |
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