Ask Terry Questions Mutual funds

Mutual funds

By Terry Savage on January 08, 2020 | Investments

Hi Terry,
My husband and I are both 42, we are finally, financially able to start some retirement. Yes, I know we have a lot of work to do. We were thinking Traditional IRA with some mutual funds. Is this a good idea and if so, which mutual funds do you suggest?

Terry Says

I suggest you start an IRA — a Roth would be better, though you don’t get a deduction for your contribution — at either Fidelity or Vanguard. At your age, put half in the S&P 500 stock index fund, and half into an equity-income fund (a big more conservative) and keep making regular contributions. Over the long run, you’ll be glad you did.



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