The Motley Fool Discussion Boards

Previous Page

Investing/Strategies / Retirement Investing

URL:  http://boards.fool.com/greetings-goldenkj-and-welcome-you-asked-i-10319751.aspx

Subject:  Re: self directed roth IRA? Date:  9/13/1998  10:59 AM
Author:  TMFPixy Number:  5406 of 75685

Greetings, Goldenkj, and welcome. You asked:

I would like to open a Roth Educational IRA for my 4 year old daughter. I haven't done so yet mostly because of my distrust of mutual funds. The correction has given me renewed incentive to get moving.

Can I use the $500 for individual stocks or do I have to use a mutual fund?


You may open the EIRA with a broker or fund. The problem will be to find one (particularly a broker) that will accept the account. Many funds and brokers will not because the contributions are limited to $500 per year. That's a very small amount of dollars for the administration that would be involved. Consequently, many custodians simply don't want to be bothered.

Regards……Pixy

Copyright 1996-2014 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us