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I was very impressed with this article in May's (2006) Money Magazine, pg. 88... as I am absolutely clueless as where to start investing. I thought I would share these three funds with you in case you are wondering where to invest and nervous about it too! Also I can practice my typing....lol...
Beginning of Quote:"Build Wealth best $5K choice: A low-cost widely diversified fund
The best long-range investments for beginners are mutual funds that come with no sales commissions and low annual fees (so that more of your money goes to work) and that spread your stash over a wide swath of the stock market--and maybe the bond market too (because diversification equals safety). Below are three such funds.
Fund Five-year Return Min Inv
Vanguard 6.9% $3,000
Total Mkt. Index
T.Rowe Price Retire- N.A. 2,500
ment funds
Fidelity Balanced 10.0 2,500
Stock Mkt. Index
Vanguard - Nothing but stocks. This fund essentially owns all U.S. stocks and will earn what the stock market earns, year in, year out. In the long run that should beat most other U.S. funds.
T. Rowe Price Retirement funds - The No-brainer. These funds own a mix of stocks and bonds that gets more conservative as you age. A great pick if you just want to sock your money away and forget about it.
Fidelity Balanced - Let the pro decide. This fund combines stocks and bonds in a shifting mix determined by the fund's manager. A good way to stick your toe in the water if you're nervous about stocks." End of Quote
Beginning of Quote:"Build Wealth best $5K choice: A low-cost widely diversified fund
The best long-range investments for beginners are mutual funds that come with no sales commissions and low annual fees (so that more of your money goes to work) and that spread your stash over a wide swath of the stock market--and maybe the bond market too (because diversification equals safety). Below are three such funds.
Fund Five-year Return Min Inv
Vanguard 6.9% $3,000
Total Mkt. Index
T.Rowe Price Retire- N.A. 2,500
ment funds
Fidelity Balanced 10.0 2,500
Stock Mkt. Index
Vanguard - Nothing but stocks. This fund essentially owns all U.S. stocks and will earn what the stock market earns, year in, year out. In the long run that should beat most other U.S. funds.
T. Rowe Price Retirement funds - The No-brainer. These funds own a mix of stocks and bonds that gets more conservative as you age. A great pick if you just want to sock your money away and forget about it.
Fidelity Balanced - Let the pro decide. This fund combines stocks and bonds in a shifting mix determined by the fund's manager. A good way to stick your toe in the water if you're nervous about stocks." End of Quote
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