Hello everyone,
I recently stumbled across this blog about 3 weeks ago and it's been an eye opener in some aspects. I am currently 24 years old and have been investing since I was 21 but after reading various topics/discussions on here I have several questions.
Right now I am investing in a subdivision of Raymond James:
Roth IRA - 22k
-Split between Ivy Science & Technology Fund Class A M/F (WSTAX) and Ivy International Core Equity Fund Class A M/F (IVIAX)
Taxable Account - 30k (Split between the three funds below)
-American Funds Growth and Income Portfolio Class A M/F (GAIOX)
-American Funds Growth Portfolio Class A M/F (GWPAX)
-American Funds Balanced Portfolio Class A M/F (BLPAX)
For the taxable account, I signed a letter of intent to pay 50k total over the course of a year so that my fees would be 4.5% instead of 5%. I could have invested the entire amount then, but I didn't want to lump the entire amount then. I have till about July to complete the letter of intent, otherwise the fees will raised to 5% instead of the 4.5%.
EDIT: Sorry I should have worded this part a little better. The funds have front load fees which would be the 4.5% if I invested 50k versus 5%. Based off the paperwork on the purchase it shows a firm commision of 3.75% and a fund retention of 0.76%, so it comes out to a total sales charge of 4.51% versus 5%.
401k - Recently started a new company so I will have to wait a year before I can start using their 401k program.
Cash - Roughly 110k.
With that being said, I've seen that many people on this forum favor index funds, ex: VTSAX, etc. due to the low expense ratios.
-Should I complete the letter of intent? ( I really don't see the point in completing it) Or invest else where, such as index funds with Vanguard?
-If I were to invest that money in index funds, is there specific one? Or stick with the basic around here, VTSAX?
-Roth IRA - Any recommendations of mutual funds? Or keep investing in those two, mainly the Ivy Science and Technology fund.
-Any recommendations in general?
Thanks