I have been hearing alot on vfinx fund.. Is this a good fund to start with.. I am looking to start out with 3000 right away and invest it?? I wouldnt drop it all into vfinx but some of.. Is this a safe investment at my age of 20.
2007-01-23 14:31:48 · 1 answers · asked by racin_predator 1 in Business & Finance ➔ Investing
No it is not a good investment for you. It is not diversified enough, no international, no small cap companies. Also, the minimum initial investment for IRA is $3,000 and you said you wouldn't drop all 3k into it, so that fund is out. If you are willing to spend the entire $3,000 on one fund, try the Vanguard's Retirement 2045 or 2050 (somewhere around when you will want to retire) funds. They are very diversified with international, small cap, mid cap, growth, value, bonds (stock to bond allocation changes automatically as you get older and not as agressive). If you want to only invest $1,000 or more but less than 3,000, the only option is Vanguard's Star fund, which as a $1,000 minimum. It also is a very good fund.
2007-01-23 15:21:40 · answer #1 · answered by gosh137 6 · 0⤊ 0⤋