Hi all,
New to the forum. Thanks WCI for all that you put out there.
I'm a new attending as of last July and I have a question about 401k investing. I work for a SDG and the trustees of the group have set up our 401ks so that we may either use Fidelity or Charles Schwab. I already had an old 401a with Fidelity, so chose to go through them. The way that my 401k is set up, is that it's a "Non-Prototype" account and we essentially have free reign on investment choices. I can choose stocks, bonds, mutual funds, ETFs, REITs, etc. It's pretty nice.
I'm currently interested in doing somewhat of a hybrid between a 3 Fund Portfolio (https://www.bogleheads.org/wiki/Three-fund_portfolio) and a Gone Fishing Portfolio (http://www.gonefishinportfolio.com/). I've also added some random stocks for fun, but I'd like the majority of my retirement fund to be in those allocations listed.
When I set up my investment choices, I started going with Vanguard ETFs for their low cost structure and overall recommendation from the Interweb. But here's where I'm having some questions...
As of now, I'm maxing my 401k at $1500 per month to reach 18k for the year. Every month 1500 is put into the Fidelity account along with quarterly PSP and whatever I can scrape up into a taxed brokerage account. With that 1500, I am being charged $7.95 per transaction fee. If I were to continue doing a 3 Fund Portfolio with VTI, VGTSX, VBMFX, then I would essentially be paying around $25 monthly for the transaction fees if I were to divide it 3 ways every month.
Do the investment gurus here recommend going with Fidelity index funds instead? They apparently do not charge for transaction fees on those funds. They include Fidelity Spartan Total Market Index Fund (FSTMX), Fidelity Spartan Global Index Fund (FSGUX), an Fidelity Spartan U.S. Bond Index Fund Investor Class (FBIDX). When you guys get monthly allocations, do you typically divide it up into investment classes or do you tend to place the money into one fund/stock? I realize the answer to that question could vary quite a bit.
Thanks in advance. I've already learned quite a bit from perusing the forum.
Cheers
New to the forum. Thanks WCI for all that you put out there.
I'm a new attending as of last July and I have a question about 401k investing. I work for a SDG and the trustees of the group have set up our 401ks so that we may either use Fidelity or Charles Schwab. I already had an old 401a with Fidelity, so chose to go through them. The way that my 401k is set up, is that it's a "Non-Prototype" account and we essentially have free reign on investment choices. I can choose stocks, bonds, mutual funds, ETFs, REITs, etc. It's pretty nice.
I'm currently interested in doing somewhat of a hybrid between a 3 Fund Portfolio (https://www.bogleheads.org/wiki/Three-fund_portfolio) and a Gone Fishing Portfolio (http://www.gonefishinportfolio.com/). I've also added some random stocks for fun, but I'd like the majority of my retirement fund to be in those allocations listed.
When I set up my investment choices, I started going with Vanguard ETFs for their low cost structure and overall recommendation from the Interweb. But here's where I'm having some questions...
As of now, I'm maxing my 401k at $1500 per month to reach 18k for the year. Every month 1500 is put into the Fidelity account along with quarterly PSP and whatever I can scrape up into a taxed brokerage account. With that 1500, I am being charged $7.95 per transaction fee. If I were to continue doing a 3 Fund Portfolio with VTI, VGTSX, VBMFX, then I would essentially be paying around $25 monthly for the transaction fees if I were to divide it 3 ways every month.
Do the investment gurus here recommend going with Fidelity index funds instead? They apparently do not charge for transaction fees on those funds. They include Fidelity Spartan Total Market Index Fund (FSTMX), Fidelity Spartan Global Index Fund (FSGUX), an Fidelity Spartan U.S. Bond Index Fund Investor Class (FBIDX). When you guys get monthly allocations, do you typically divide it up into investment classes or do you tend to place the money into one fund/stock? I realize the answer to that question could vary quite a bit.
Thanks in advance. I've already learned quite a bit from perusing the forum.
Cheers
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