No. of Recommendations: 0
Now that I've sent my $2000 to a discount broker with Web capabilities for the 1998 tax year...would it be better to align it with a S&P 500 Index fund or hand pick 5-6 stocks?

I will agree with the other Fools. Trading costs will be too high for 5-6 stocks with only $2000 in the Roth. If you have the money, you could add an additional $2000 for 1999 contributions. $4000 should allow you to buy 4 stocks such as starting a F4 portfolio. But if you have little experience in investing in stocks, it would probably be best to stick it in an S&P 500 index fund until you have learned more about investing.

Print the post  


The Retirement Investing Board
This is the board for all discussions related to Investing for and during retirement. To keep the board relevant and Foolish to everyone, please avoid making any posts pertaining to political partisanship. Fool on and Retire on!
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.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! 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.