How do I invest in mutual funds with an IRA?
I have a traditional IRA and I don't know if it is invested in mutual funds or not. It is held at an institution. How do I invest in mutual funds with an IRA? Do I go into my account and buy mutual funds with the available money in my IRA?
Dear How do I invest in Mutual Funds with an IRA,
This is a Multi Tiered question.
First, learn about diverse Mutual Funds/ETF (exchange traded funds) from a mentor and the ability to invest in multiple companies within a fund seeking stable 1, 5 and 10 year returns with greater returns achieved long term and decreased risk over time while keeping costs to a minimum. Markets fluxuate, acknowledge this.
Second, although I am not aware of your age, realize any investment in an IRA is a long term investment (period) as such is meant that any investment be made in superior companies poised to do well for the long term so you must research the best companies, industries so that you benefit from their good business acumen over time ...(Amazon, Apple, Microsoft).
Third, most IRA accounts will allow an individual to invest in select Mutual Funds. Find out exactly what are your options and from there take time to research individual funds, the stocks within the funds and the 1, 5 and 10 year returns generated in the funds of choice.
Fourth, be frugal and thereafter take funds otherwise spent and allocate to retirment funds either directly or allocate them from each pay check. Time goes by quickly and it is not uncommon to wake one day to say where did time and or where did the money go. Do not be one of these people.
Fifth, we are here to guide and to assist. We are passionate about empowering you and your roadmap to achieve financial independence via IRA accounts and any other investment vehicles to allow you to accomplish your dream of financial freedom.
All the very best to you,
Jan Attard, MBA, Registered Investment Advisor
J. Oliver Maxwell, LLC
Do you know how much you have in your IRA? Do you know how much of the IRA money is in cash? You should be able to gather this information through your statements or account portal. If the cash balance is less than the account balance, you probably have some of the money invested in the market.
But, you are absolutely correct. You are able to invest in mutual funds within your IRA by either using the cash available or selling the current investments and investing the proceeds in mutual funds. I would recommend calling your advisor or bank if you need assistance. I’d also be happy to jump on a call with you to answer any questions.