tiaacref.org Invests in approximately 3,000 companies Expense: 0.26% Mininum investment: $2,000 to open IRA; $ 2,500 for general account (or $50 if you start an Automatic Inv. Plan). If your balance is below $1,500, you will be charged $25, unless you invest at least $100/month in an automatic investment plan.
Vanguard Total Stock Market Index
vanguard.com Invests in approximately 3,400 companies Expense: 0.20% (other fees may apply) Minimum investment: $3,000 minimum to open an IRA; $3,000 minimum to open an investment account
Vanguard Star
vanguard.com Invests 35% in bonds and 65% in stocks using a basket of Vanguard funds Expense: 0.37% Minimum investment: $1,000 minimum to open an IRA; $1,000 minimum to open an investment account
Schwab Total Stock Market Index Fund
schwab.com Invests in 4,000 companies Expense: 0.09% Minimum investment: $100
Schwab International Index Fund
schwab.com Invests in 350 publicly traded companies from selected countries outside the U.S. Expense: 0.19% Minimum investment: $100
Schwab Small-Cap Index Fund
schwab.com Invests in the second-largest 1,000 publicly traded U.S. companies Expense: 0.19% Minimum investment: $100
Fidelity Four-in-One Index Fund
fidelity.com Invests 48% in 500 largest stocks, 12% in rest of U.S. stock market, 25% in international stock index, 15% in bond index Expense: 0.36% Minimum investment: $2500 minimum to open an IRA; $10,000 minimum to open an investment account
With these funds, you pick the year you expect to retire -- let's say 2035. You buy that portfolio and over the next 30 years the company you choose picks a mix of stocks and bonds to get you the best return with the lowest overall risk. As you get closer to 2035, your investments get less risky.
Fidelity Freedom Funds
fidelity.com Invests in a combination of stocks, bonds and cash equivalents Years available: 2010, 2015, 2020, 2025, 2030, 2035, 2040, 2045, 2050, plus the Fidelity Freedom Income Fund for those already in retirement Expense: between 0.71% and 0.91% Minimum investment: $2,500 minimum to open an IRA; $2,500 minimum to open an investment account
T. Rowe Price
troweprice.com Invests in a combination of stocks, bonds and cash equivalents Years available: 2010, 2015, 2020, 2025, 2030, 2035, 2040, 2045, 2050, 2055 Expense: between 0.67% and 0.84% Minimum investment: $3,000 minimum to open an IRA; $2,500 minimum to open an investment account
Vanguard Target Retirement Funds
vanguard.com Invests in a combination of stocks, bonds and cash equivalents Years available: 2010, 2015, 2020, 2025, 2030, 2035, 2040, 2045, 2050, plus the Target Retirement Income Fund for those already in retirement Expense: 0.21% or 0.22% Minimum investment: $3,000 minimum to open an IRA or general account
