Comments on: Vanguard International Index Funds: Invest Your Money Passively

By: Do You Invest in ETFs or Mutual Funds in your Roth IRA account?

Do You Invest in ETFs or Mutual Funds in your Roth IRA account? — Mon, 18 Jun 2007 11:03:25 +0000

[...] you believe in strictly passive investing, then invest in exchange-traded funds instead. Just make sure you control unnecessary commission [...]

By: TJP

TJP — Wed, 23 May 2007 17:31:09 +0000

I believe the fee is $30. But I agree with your statement on the flawed business model. But it’s hard to ignore free trades.

If they raised the account minimum to like $5 to $10k, their margin trading balances and profits would grow.

Next cheapest is Buy and Hold. They’ve been around for a while. $2.99 per trade is the best you’re gonna find.

By: Biotech Stock Investing

Biotech Stock Investing — Wed, 23 May 2007 16:53:06 +0000

I’m scared of Zecco. I just can’t see them being around a long time with that business model and as you know it’s a hassle to change brokers (and imagine if they close and everyone is trying to get out at the same time). Plus, I think they have a maintenance fee and since I’m not a trader, the free trades aren’t really worth more than the maintenance fee.

By: AgentSullya

AgentSullya — Wed, 23 May 2007 16:03:44 +0000

thank you.

By: TJP

TJP — Wed, 23 May 2007 15:45:48 +0000

@ Brian

Great idea! There are some Vanguard sector funds that I like as well. Plus, I have great expectations for water, nanotechnology, and nuclear energy in the future.

I’m going to invest a large portion of my summer job cash flow.

Got any specific Vanguard fund picks?

By: TJP

TJP — Wed, 23 May 2007 15:42:30 +0000

@ BrianGo to Zecco You get free stock, ETF, and index fund trades.

By: Biotech Stock Investing

Biotech Stock Investing — Wed, 23 May 2007 15:22:57 +0000

@AgentSullya
Here’s a list of index funds including their initial investment requirements. I think some will wave the requirement if you agree to a monthly deposit. Be sure to check the expense ratio as a high one will kill your returns.

-Brian

Disclosure: I write for The Motley Fool

By: AgentSullya

AgentSullya — Wed, 23 May 2007 03:15:12 +0000

Wishing you luck on your savings! Offhand, do you know which mutual fund marketplace has the lowest initial investment requirement? thx

By: Biotech Stock Investing

Biotech Stock Investing — Mon, 21 May 2007 16:15:33 +0000

Actually while you’re talking about index funds, I’ve had this idea rolling around in my head, but no time to back test it. If you’d like to roll with it, TJP, be my guest:

Instead of investing in a whole market index fund. Why not brake it up into individual funds? Since different sectors perform well at different times, you could add to the least performing fund (or rebalance if you don’t have any funds), thereby always buying low. You’d just need to figure out what ratio of each of the funds has worked well for the past 30 years and pray it holds for the next 30.

Make sense?

-Brian

By: Biotech Stock Investing

Biotech Stock Investing — Mon, 21 May 2007 16:07:29 +0000

Anyone out there know of a discount broker that will allow you to buy Vanguard funds without any fees? I feel like I’ve seem one before, but I’m just not sure who it was. It would be so nice to have the index fund and the stocks all on one statement.

-Brian