I want to invest in a mutual fund?

i want to throw about $25-$50 a month into a mutual fund. how do i do it. looking for a starting point.

One place to look is T Rowe Price. They have a program where you can invest $50 a month. They will automatically withdraw it from your bank account monthly. Your only problem will be to decide which mutual fund that they offer to invest in. Your choice will be somewhat dictated by the risk you are willing to accept.

Here is a link to their site.

http://mutualfunds.troweprice.com/?rfpgi...

They have many good funds to choose from. Ones to carefully consider include the Capital Appreciation Fund (my favorite) and Global Stock but somewhat more risky.

Do you have any ideas about what sector? One good brokerage firm you might try is:

http://sharebuilder.com

They really specialize in setting up a monthly contrubtion, and I have used them before. (P.S. I have no affiliation with them)

There are many good funds out there, but it depends on your goals and your time frame .... and other objectives .... update your post, and I can try to help you!

Thanks -

Ask your bank. They can probably guide you correctly. Just don't buy their CD's.

Some mutual fund companies will waive their minimum initial investment if you agree to automatically invest money each month. Don't know any offhand that will do that for 25 or 50 per month.

I like Vanguard. Their Star Fund is well diversified and low cost and is their only fund with $1000 minimum initial investment. I believe their minimum subsequent investment is $ 100. (you could set it up to invest $100 every other month to meet the minimum.)

You could try Fidelity Investments, T.Rowe Price, Tiaa-Cref but don't buy through a broker. Better to save up for $1000 and then start - brokers will charge a front end commission or you will have a charge if you redeem during the first several years.

Your bank is NOT a good source for a mutual fund. I would look into a Brokerage. Scottrade, Fidelity, Ameritrade, etc. They are free to setup and they can walk you through the process online. Also, bear in mind a mutual fund is a slang term, and technically doesn't exist. You would be looking into investing in a vehicle that allows for you to invest in 'open-ended' funds. This is an IRA, Roth IRA, and the like. I know that Fidelity (its who I use and who I use for my friends as I do their portfolios for free, but I am not employed by them). I know they have 4000 different funds to choose from. So you simply arrange it through someone like that and they will take it out of our bank account every month. I would recommend the Roth IRA though, as you are only going to be paying more in taxes in the future, so take them out now not when you are rich and retired. Also, I would STRONGLY encourage you not to invest in any funds that restructure themselves over the life of the fund...as these are generally poor performing funds, and offer real conservative rates.
If you have questions on structuring your portfolio, post that on Y!A, as I will not go into length here about it. Just remember, getting into a fund just to get in isn't the best thing to do. So structuring it through an IRA (whatever type) through a major brokerage will assist you in maximizing your return while limiting your exposure to risks.

Hope this helps.
Good luck!