Lux Investing

Is now a good time to start investing in mutual funds?

I just opened a Roth IRA with Fidelity, and i'm interested in investing my money in other ways (like maybe mutual funds?). I'm in my early 30s, and i'm really interested in making my money work for me. Since it seems that we're headed for recession (no matter was bush says...), is now a good or bad time to invest? or should i consider investing in other types of ways? thanks so much for your time!

Public Comments

1. Now is a great time. Get that 2007 money into a mutual fund now. THen pick one for 2008 money. Keep diversified ... no more than 5-6 mutual funds in there. Fidelity is great. Happy savings.
2. ROTH IRAs are an excellent choice! During down times like these it is a good bet to be in bonds and cash while equities are down. You're young, haha I am telling you that and I am 21. That fact that we are young means we can be a bit more aggressive - it is all about diversification - go to a wealth manager and they will put you in a total return based account where they split it up 60/40 or 70/30 with the larger amount being equities which are somewhat recession proof and 30 in income driven low risk bond models. ETFs can be good because they play on themes as well - good rule of thumb is to go with staple items during a recession.
3. If you've got ten years to invest its always a good time to invest in diversified mutual funds.
4. If you don't invest now.... when would be a good time? You'll just never know. Invest now or at least "dollar cost average" into the market. Have an "asset allocation" plan before you pick your investments. A good "asset allocation" plan is much more important than picking the "best" mutual funds. Never invest in anything you don't understand. Don't take "tips". Don't follow market gurus on TV, Radio, newspapers, magazines etc. Be diversified within your "asset allocation" model. At you age, have at least 25% of your money in good International Funds. Don't get involved with sector funds until you have some investing experiance. Stay away from penney stocks for at least 5 years. Never ever look for the "big one"....... it will lead you to disaster. Learn about Mutual Funds & ETF's. Good luck.
5. I'd put away money in an IRA, but I would put it in a cash fund for the next year, then move it over to mutual funds. The market is headed down over the next 12 months at least.
6. as good a time as ever.