Investment Question

[Cookie]

I'm an investment n00b. I realize the benefits, but I don't want to deal with having to learn about stocks, mutual finds, etc. and have to guess the best places to invest. So 25 months ago I found an advisor who I give 200 dollars to each month and hope they know what they are doing.

After 25 months I finally decided to look at my statements and see whats up, but I don't know how to tell if it is a good or bad result, so I am requesting ATOT's expert advice.

I bought 2 mutual funds, 100 dollars per month each. I don't need the money any time soon, so I put it in a higher risk account, but not crazy high.

Mutual fund A
Input - 2,500.00
Interest - 491.18
Total - 2,991.18

Mutual fund B
Input - 2,500.00
Interest - 462.59
Total - 2962.59

Is this Good? Bad? Average? Should I be satisfied?


-Edit- I do not PAY the advisor anything. I give him 200 each month to invest on my behalf. 200 per month x 25 months = 5000

 

[olds]

How much were fees?

 

[Brainonska511]

You pay $200/month to invest in a mutual fund or is that mean you give $200/month that will be invested? Just open some funds with Vanguard. No fees for balances over $10k, and below that, the fee tends to only be about $10/year.

 

[thirtythree]

Originally posted by: Brainonska511
You pay $200/month to invest in a mutual fund? Just open some funds with Vanguard. No fees for balances over $10k, and below that, the fee tends to only be about $10/year.

I think he means he contributed $200 per month.

 

[Cookie]

Originally posted by: oldsmoboat
How much were fees?

I don't ever see the fees. I think they take a percentage or two off the top. The numbers I quoted were after fees/etc.

 

[sciencewhiz]

So you paid 200 dollars a month for an adviser, and only put 200 a month into mutual funds? If you had kept all the money under your mattress, you'd have 10,000, but now you only have 5953.77. Thus, your money lost almost half it's value.

 

[Cookie]

Originally posted by: thirtythree

Originally posted by: Brainonska511
You pay $200/month to invest in a mutual fund? Just open some funds with Vanguard. No fees for balances over $10k, and below that, the fee tends to only be about $10/year.

I think he means he contributed $200 per month.

Yes thats what SHE means. 🙂
What is the difference with Vanguard?
Also, I'm in Canada, Vanguard may not be an option.

 

[Cookie]

Originally posted by: sciencewhiz
So you paid 200 dollars a month for an adviser, and only put 200 a month into mutual funds? If you had kept all the money under your mattress, you'd have 10,000, but now you only have 5953.77. Thus, your money lost almost half it's value.

I didn't pay ANY money to the advisor. And I only invested 5000 so far. I made 953.77 in interest over 25 months.

I may not me an investor-genius, but I'm not a moron. 🙂

 

[darkxshade]

I'd have to say that's a pretty good return, much better than putting it into a savings account.

 

[AmigaMan]

Originally posted by: sciencewhiz
So you paid 200 dollars a month for an adviser, and only put 200 a month into mutual funds? If you had kept all the money under your mattress, you'd have 10,000, but now you only have 5953.77. Thus, your money lost almost half it's value.

sciencewhiz, I think you need to bone up on your math skills. $200*25 = $5000, not $10000.

 

[alrocky]

That's good but it's better to know exactly what mutual funds you're in. If you don't mind, what mutual funds are you in? 5 letter ticker please.

953.77 / 5,000.00 = 19% : investment period 25 months

S&P 500:

2006 - 15.64%
2005 - 04.77%

1.1564 * 1.0477 = 1.21156; 21% in 24 months

 

[Dr. Detroit]

Originally posted by: alrocky
That's good but it's better to know exactly what mutual funds you're in. If you don't mind, what mutual funds are you in? 5 letter ticker please.

953.77 / 5,000.00 = 19% : investment period 25 months

S&P 500:

2006 - 15.64%
2005 - 04.77%

1.1564 * 1.0477 = 1.21156; 21% in 24 months

His 19% is actually pretty good then as 80% of funds can't match the Index.

 

[Miramonti]

Originally posted by: Fmr12B

Originally posted by: alrocky
That's good but it's better to know exactly what mutual funds you're in. If you don't mind, what mutual funds are you in? 5 letter ticker please.

953.77 / 5,000.00 = 19% : investment period 25 months

S&P 500:

2006 - 15.64%
2005 - 04.77%

1.1564 * 1.0477 = 1.21156; 21% in 24 months

His 19% is actually pretty good then as 80% of funds can't match the Index.

19% annually, 38% overall, since her average balance was only $2500 ($200 added per month, eventually totalling $5k). That's awesome. :thumbsup:

 

[alrocky]

Originally posted by: jjsole

Originally posted by: Fmr12B

Originally posted by: alrocky
That's good but it's better to know exactly what mutual funds you're in. If you don't mind, what mutual funds are you in? 5 letter ticker please.

953.77 / 5,000.00 = 19% : investment period 25 months

S&P 500:

2006 - 15.64%
2005 - 04.77%

1.1564 * 1.0477 = 1.21156; 21% in 24 months

His 19% is actually pretty good then as 80% of funds can't match the Index.

19% annually, 38% overall, since her average balance was only $2500 ($200 added per month, eventually totalling $5k). That's awesome. :thumbsup:

That's not right. The investment period was 25 months so you'd half that.

Actually what's more important that his return is what mutual funds he's invested in. Cookie, what the names of these mutual funds?

 

[Miramonti]

Originally posted by: alrocky

Originally posted by: jjsole

Originally posted by: Fmr12B

Originally posted by: alrocky
That's good but it's better to know exactly what mutual funds you're in. If you don't mind, what mutual funds are you in? 5 letter ticker please.

953.77 / 5,000.00 = 19% : investment period 25 months

S&P 500:

2006 - 15.64%
2005 - 04.77%

1.1564 * 1.0477 = 1.21156; 21% in 24 months

His 19% is actually pretty good then as 80% of funds can't match the Index.

19% annually, 38% overall, since her average balance was only $2500 ($200 added per month, eventually totalling $5k). That's awesome. :thumbsup:

That's not right. The investment period was 25 months so you'd half that.

Actually what's more important that his return is what mutual funds he's invested in. Cookie, what the names of these mutual funds?

Her investment was $5,000 for an average of only one year, since she opened it with $200 and had $5,000 only on the 25th month.