How to compare brokerages for Roth IRAs and pick the best one?

[LordSnailz]

How do you go about picking a brokerage when starting with a Roth IRA? Any suggestions on which one to go with?

 

[DaveSimmons]

If you just want to buy and hold index funds, I'd recommend Vanguard.com since they let you buy all of my favorite vanguard index funds without any brokerage fees.

If you like to gamble on stocks even in retirement accounts (a bad idea, but it's your life) then someone like scottrade makes sense.

 

[LordSnailz]

I won't be retiring for a loooong time, so I'm planning on buying and holding index funds.
Is there a chart that compare the various brokerages to see which one would have the lowest cost funds and also have a large variety?

 

[LuckyTaxi]

i use sharebuilder to buy and hold ETFs.

 

[Dacalo]

I just opened mine at Fidelity. They have an option so you don't have to transfer $2500 upfront; you just transfer $200 minimum every month. The amount can be adjusted any time. Their CS is great and they have some great funds. Another company to consider is Vanguard.

 

[overst33r]

I believe Vanguard is the cheapest longterm option as their expense ratios are quite low and they have minimal to no fees if you sign up for the e-package.

 

[AtlantaBob]

Originally posted by: mariok2006
I believe Vanguard is the cheapest longterm option as their expense ratios are quite low and they have minimal to no fees if you sign up for the e-package.

Pretty much. Vanguard is especially good if you're interested in just holding a SP500 or a Russell 2000 index fund (e.g. a broad sample of the larger market).

 

[OrganizedChaos]

I just signed up with vanguard myself, no fees if you opt of the snail-mail stuff, and their expense rations seemed to be the lowest.

 

[GTaudiophile]

I use MorningStar Reports to do some of my research.

 

[imported_Lothar]

I'd recommend Vanguard over T. Rowe Price and Fidelity as everyone has mentioned.
However, I only use Vanguard for Vanguard funds and nothing else.
If I want to buy a mutual fund outside Vanguard's network, I'd use Scottrade/Zecco.

The only funds I have for my mom with Vanguard are VEURX and VIPSX.
The remaining are pretty much a waste (except their Wellington, bond indexes, energy, emerging market, and target retirement funds).

There are many funds I wanted that Vanguard doesn't offer or charges $35/trade for.

So in conclusion...Vanguard > Fidelity/T. Rowe Price.

 

[LordSnailz]

sweet, thanks guys!