Skip to main content
No. of Recommendations: 0
Hey,

I'm an 18 year old college sophomore and new investor who has decided to open up a Roth IRA. I've been aware of
the wonderful long-term benefits of this type of account for over a year now; I've just been waiting for the right time.
With the Dow taking a nice dip today, I realized that I really want to start investing now.

I've already saved the $2,000 from my work-study job and my internship from last summer. I want to invest in the
VFINX, which tracks the S&P 500. Initially, my thoughts were to open a brokerage account with Vangard. It's a
stable organization with a great reputation. But, as I look at the fees more closely, I see that account maintenance
requires a deduction of $2.50 per quarter and annual fund operating expenses are .18%.

I plan on making only one purchase of VFINX (the maximum of $2,000) every year for my Roth IRA until I hit
$10,000--then, I'll begin to play around a bit more in individual stocks. Should I open a brokerage account with
Vanguard? Is there another *reputable* brokerage with cheaper IRA fees? On the Discount Brokerage chart,
Ameritrade looks like a good deal for my situation. But I plan on keeping the same brokerage for the next few years (I
wont have time to investigate and bounce between firms); therefore, I definitely need someone I can trust.

I would really appreciate any help or insight you all could provide!

Thanks,

Jon
Print the post  

Announcements

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!
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
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.