Index Funds as long term growth security

[The Red Dragon]

How are these as long term investment growth vehicles? I'm thinking of funnelling some cash into this now (I'm 19) (10% of paychecks)...probably going to use the vanguard S&P500...although I'm not quite sure how to create an account or how to get them. Any ideas/insight/outlook on these? I think I'm going to make these my primary securities.

 

[75th]

How are these as long term investment growth vehicles? I'm thinking of funnelling some cash into this now (I'm 19) (10% of paychecks)...probably going to use the vanguard S&P500...although I'm not quite sure how to create an account or how to get them. Any ideas/insight/outlook on these? I think I'm going to make these my primary securities.

How much (roughly) would be 10% of your paycheck, if you dont mind my asking?

 

[Devastation]

if you have no other knowledge of the market or do not plan on learning, this is a terrific investment vehicle imo

 

[sawastea]

www.ishares.com

Check out the website. A few tickers that I like (and invest in) are: DVY, EEM, EFA, IWM, and IWR. There are gold indices as well as natural resources. Great start for you.

Recommended

 

[bran987]

How much (roughly) would be 10% of your paycheck, if you dont mind my asking?

I think Vanguard takes additions as small as $100 so this is irrelevant unless you are just trying to find out how much money the kid makes

 

[benny1970]

if you have no other knowledge of the market or do not plan on learning, this is a terrific investment vehicle imo

I agree, and I currently have most of my portfolio in bond and 'monthly income' index funds (TD Bank funds, in Canada). Over the past 4 years I've gained roughly 7% per year. Nothing to get super excited about, but a lot better than a 2% GIC....
I'm just now looking to move part of my investments into stocks, probably banks.

 

[The Red Dragon]

Oh sorry about that...I'm in school now, but my program has 4 month work/study cycles. The work cycles vary in income but the past 2 (same location) I've been making 10k in a 4 month period, I only see 7k cuz the rest is deducted in taxes and pension/employment insurance (which I'll probably never see lol). The next 4 months of the study cycle will run me down 6k so I have 1000 surplus. It's nothing so far and probably not even worth it at this stage but I just want an early start, and take advantage of any compounding. I have to check if having funds like these will affect my student loans :s.

 

[bdog527]

Go to vanguard.com and follow the links to set up a new account.

 

[Synpax]

Do you get an tax advantaged and potentially matched by employer $s where you work? I think you need to work at a place for ... 6 months and then they become available to you.

 

[The Red Dragon]

Nope, coop student/intern, I'm basically worth shit
I know they're doing that for 401k's but I'm not going to be working for awhile (I'm shooting for med school lol) I'm still in the undergrad stage