I want to invest in mutual funds and in an IRA?
916971
Vanguard Mutual funds has the lowest expenses for an S&P 500 index.  Buy it as a mutual fund, not through their brokerage (a brokerage acct is for when you have more money and want to buy stocks, or a lot of different mutual funds.)  Minimum purchase is $3000.  \nFor your IRA, I like the T.Rowe Price retirement fund keyed to your expected year of retirement. (again, this is a mutual fund)  Those can be started with as little as $1000 and $100/month automatic investment from your bank acct.  Call them for more information, both companies are very easy to talk to.\n\nI am not and have never been associated with either company except as a customer and have no relatives or friend who are employed by them.
900036
I just rolled over my 401K to an ING Direct IRA account. They have great options and low maintenance fees. Check them out.  www.ingdirect.com
617262
The first thing you need to do is read.  Ben Graham's the intelligent investor is a good place to start and then look at books on Warren Buffets methods.  Dont do momentum investing or day trading its to risky and the commisions will kill your returns.  The best way to go is value investing all the way.  I usually look intially for companies with 15 percent return on equity for at least 5 years and a p/e ration of between 5 and 15.  Also look for a history of positive earnings.  Thats real basic and then you will need to learn to read income statements, balance sheets, and understand cash flow and stuff but thats someplace to start.\nIf you dont have an ira you should get one a roth ira is best if you qualify.  I recommend putting your ira in mutual funds and vanguard is by far the best company.  Their expense ratios are way lower than other companies and this will pay off big in the long run.  Well, I hope that helps.  Good luck.
524763
Under IRS rules, you can only roll over a 401k into a Traditional IRA and wait at least one year before moving it into Roth IRA. Remember, 401k sitting in previous employers will not have any growth. It is a frozen account until you roll it over.\n\nIRAs are always a good plan to save for retirement. You can pick any mutual funds that is offered by a financial institution (most mutual funds require a minimum initial deposit of $1000). And can be tax free after age 59 1/2 when you start using it.
103673
She's right if that is as much as you can invest.  Your best bet is to max out both if you can afford to.\n\nHere's the order:\n\n401K to match:\nROTH IRA max\n401K max
678923
My personal opinion is that you'll eventually want to open both.  But at your age, you have a long time to go before retirement, and that makes the Roth much more attractive.  The different is that, with a Roth, all the growth inside the account will eventually come back to you completely tax-free.  Since you've got many years ahead of you, your investments should have grown a great deal by the time you retire, and that will benefit you the most.\n\nLater, when you're in your 40's or 50's and your income is much higher, perhaps you'll get more benefit from putting money into a Traditional IRA and taking the deduction.  Also, it will be nice to have both types of accounts to choose from when you're retired and want to have the ability to decide which account to take money out of.  But, for now, the Roth will provide you much greater opportunity.\n\nThe second question, which you didn't ask, is "How should I invest the money inside the account?"  At your age, I'd lean heavily toward growth stocks.  Best of luck to you.
199313
Talk to your bank about investing in a mutual fund. Ask for high growth and moderate risk. The reason I suggest this is because it is obvious you know little or nothing of investing, this is what I would buy. You wont see the kind of returns on any other unmanaged investment.\n\nBest Wishes
897653
Your investment is in an IRA so there won't be a taxable distribution (unless you pull the money out of the investment).  Sometimes there can be account closure fees that mutual funds may charge or the financial institution you are working with.  If you are in a bad investment, it can be worth any fee to move into a stronger investment.  Look for long-term results rather than just the past 3 or 5 years.  Good Luck.
752457
Instead of talking theory, I will explain exactly how you can do this. Open a Roth IRA account.  Deposit $4000 a year into the account.  Invest the deposited money into a diversified portfolio of equity investments.  Historically equity investments have returned about 10% annually and some much more 14%.  Assuming 10% average annual return in 35 years your account will contain over $1,000,000 and it will be earning a passive income of $100,000 on average annually.  \n\nNow here is the best part.  Because it is in a Roth IRA account all that money will be tax free.  WOW.
531660
You should talk to a representative at your financial institution where you have your IRA. They will be more than happy to give you individualized suggestions.
417987
You should definitely start with no load mutual funds.  With limited resources, the commissions will kill your returns on single stocks.  Go to www.vangaurd.com or www.fidelity.com and I think you can start for as little as $25. When you talk to them, let them know you are young and want a fund with above average risk.
375091
If you are looking for a federally insured plan to invest in, you can also get into a money market, a certificate of deposit, or a high-yield savings account.  Also, Savings Bonds and Treasury bills, but these are really long-term investments (10+ years) and the rate of return is questionable right now.\n\nBy the way, it is important to distinguish between investment products (ie. CD's, Money Markets) and investment plans (ie. IRAs, 401(k)s).  The distinction is that the plan is the governing account and the product is what actually makes you the money.  So your plan is the 401(k) but the product might be mutual funds. \n\nAlso, look out for Federal insurance on your investment products.  For example, you could have an IRA that is not insured if you are investing in mutual funds and a 401(k) that is insured if you are investing in a Money Market.  \n\nIf insurance is your biggest worry, just ask your bank or investment house whether the product you are funding is insured.
844192
Yup, you can have both.  Many people do.  If you have a Traditional IRA you can open a Roth IRA, or vice versa, but Carlos R is right, "the funding limits apply to both together" per year.  So since you can only put in $4000 for this year (2006) if your under 50, and say you already put in $4000 in a Traditional IRA, you can't put anymore in a Roth for this year...  and probably, "if you have a choice, put it into a Roth IRA."  See this to be sure: http://finance.yahoo.com/education/retirement/article/101060/which_ira_is_right_for_you\n\nDisregard it saying the annual contributions limit is $2000.  That was in the past.\n\nHere's another link if you really want it: http://www.finance.cch.com/sohoApplets/RothvsRegular.asp
41962
Go to bookstore and get Mutual Funds for Dummies or Investing for Dummies.  They will have easy to understand concept and descriptions.  More information is better when it comes to investing.  Take your time.  Start saving money now and get into the habit.  Put it into a savings account now while you are learning about mutual funds.  When you feel ready, then you already have some money saved up.
375
Just go to vanguard.com or any of the brokerage firms (Vanguard usually has the lowest fees), sign up for a rollover IRA account, and follow the directions they give you. It usually involves filling out a form and submitting that to whatever company is managing your old 401(k).
119201
I suggest getting busy with your own Traditional and Roth IRAs. Vanguard has great offerings and very low costs. The annuities route is very complex, but if your situation is That Good it would be useful to contact a real financial advisor.
290600
Dude, you need to check out what is called an indexed mutual fund. The way it works is the company guarantees your full invested capital; so you can't lose that. The money that they make is added to the value of your fund, but you have to lock it in for a minimum amount of time; can be as long as ten years. This is a good place to start out. If your feeling more daring invest in silver or mining companies like Pan American Silver trades on the New York Stock Exchange under the ticker PAA. This baby is on rails right now, you can check them out on their web site and research their history. Hey your the blunt guy aren't you? Well good luck towards your first million and keep living the American dream.