UnThreaded | Threaded | Whole Thread (10) | Ignore Thread Prev | Next
Author: pmmcateer One star, 50 posts Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 74759  
Subject: Buying funds straight or through IRA Date: 2/10/2004 12:19 PM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 0
Hello all, I have another newbie to investing question. I do'nt have any investing experience, but have been doing some research for the past month on investing info. From what I have read, the advantages of an index fund with it's low cost and low volitility seem to be a good place to start as a base or core of my portfolio. And in looking at the index funds(such as vanguards s&p 500 and total mkt indx) it has 2 options. One is to buy each fund for 3k, the other is to start an IRA and you get it for 1k. My question is, is there any disadvantage to buying it through an IRA account as to buying it straight? And since I can only contribute 3k per year to an IRA that would mean I am restricted to purchasing 3 funds, and then would have to wait until 2005 to contribute any more funds if I started with the full 3k? Basically I am getting a tax return of about 5k, and am trying to build a solid foundation to my investing portfolio. I'm 23, and wanting to start off early but on the right foot. Any advice on any of the above would be greatly appreciated...thanks!

Patrick
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (10) | Ignore Thread Prev | Next

Announcements

The Retire Early Home Page
Discussion on accelerating retirement day.
2013 Feste Award Voting Begins!
Who will win the 2013 Feste Award? Vote now for the Fool that most exemplifies the Fool Community mission of Learning Together!
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Post of the Day:
Tax Strategies

TMFPMarti-Feeling Good
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement