Hello PF, I am a 22 Year old college student who graduates next semester. I currently have a USAA brokerage account set up with a 3,000 dollar mutual fund that I received from my mom. I want to invest roughly 10,000 dollars within the next week or two (unfortunately during the January effect but time in beats timing the market, so eh) and was planning to do that with different USAA mutual funds, but upon examination USAA charges really high expense rations for their MF's. I currently do not have a VanGuard account but it appears they charge like 1/3rd the expense ratio on their MF's and have a MUCH MUCH bigger selection of MF's and ETF's. So I'm thinking I'll open a Vangard account. In the middle of 2020 Charles Schwab will be taking over the USAA brokerage accounts so the mutual funds might become more cheaply managed.. But Charles Schwab appears to also have higher expense ratios compaired to Vanguard. And it's not guaranteed if USAA mutual funds will change in expense ratio.
https://www.usaa.com/inet/wc/investments-management-update?akredirect=true
I will be keeping my USAA brokerage account in part so I can receive stocks from a USAA trust that my family has set up for me cheaply and easily (although I guess it will soon be a Charles Schwab trust and brokerage).
So I guess I'm asking should I open a Vanguard account (i'm thinking yes) and then what should I know before I do? I've been doing research on the vanguard website (I would call but they are not open until monday) and it appears that I can open a mutual fund account that will not have the annual $20 fee like a brokerage account would. I guess I could do that until I hit the 50,000(?) so that I don't have to pay any account fees. In the future I plan to be picking individual stocks to fill up a portion of my portfolio, would vanguard be a good broker to do this with?
Sorry if I'm not asking the best question but honestly I'm not sure of all the questions I should be asking. I know more than the average American about fiances but compared to a lot of people in here I'm a beginner. This will be my first ever investment purchase.
Submitted December 28, 2019 at 08:10PM by ilearnedwhoyouare https://ift.tt/39l2RMJ
