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I'd like to contribute to a Roth IRA but am unsure how to choose stocks for it...if that is the correct way to express my problem. Datek and both skirt around the details of how to choose holdings in your IRA. Datek assumes all their customers have an IRA and know all the details about how they work.

I've only traded stocks. I opened up a seperate account with Datek for the IRA, which is correct. After depositing the minimum $500, I'm unsure what to do.

Here's what I understand: open an IRA account and deposit funds into it. At this point, I believe it is just a cash account. Is it true that I need to choose certain stocks or funds for the IRA (create the IRA) and then I can contribute to it. How do I choose the funds or stocks?

I'm interested in the Vanguard Index VFINX for a stand alone investment and possibly to make up my Roth. Does that sound feasible or should I make up the IRA using different stocks?

Also, Datek seems to assume people will be swopping stocks & funds out of their IRA. Is it true the IRA should stay as is once you create it?

You can see I'm confused on this because I'm not able to find anything on the details how the IRA is created. Any book or website references would be helpful.

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