Message Font: Serif | Sans-Serif
 
UnThreaded | Threaded | Whole Thread (5) | Ignore Thread Prev | Next
Author: gdett2 Big red star, 1000 posts Old School Fool Ticker Guide Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 294  
Subject: Re: Roth IRA $5000 distribution Date: 6/24/2011 1:40 PM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 0
Jerome,

If you haven't read the 13 Steps under How To Invest above, I would highly recommend you do so before investing. Here is a direct link:

http://www.fool.com/how-to-invest/thirteen-steps/index.aspx?...

Next ask yourself if this $5K contribution to your Roth is the only money you will invest this year? Taxable brokerage? 401K with self-directed or brokerage?

If you have cash going to other investments, I might say yes to some small stakes, $1,000 or so, in individual stocks. No Rush If it was to take the whole year to buy those 5 companies, great. For a limited amount like this, I would suggest selecting companies very carefully. Penny stocks, No. Way too risky.

If this will be the only cash you have invested, go with an ETF for the time being. Build some savings first, then revisit the question on individual stocks.

In the mean time, study and learn. Knowledge will serve you well.

Gene
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (5) | Ignore Thread Prev | Next

Announcements

Pencils of Promise - Back to School Drive
"Pencils of Promise works with communities across the globe to build schools and create programs that provide education opportunities for children."
Managing Your Wealth
Our own TMFHockeypop from Rule Your Retirement fame on the TV show Managing Your Wealth.
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.
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