31m. Just started investing last week and got some positions. I’ll probably add a couple more etf or stocks in this current down turn and add to the ones I have but Am I diverse enough as it is? I make roughly 2k/month working,( about half of that to expenses)my tax bracket is low rn so just trying to build capital to make it worth putting in an IRA. Thanks in advance don’t pull your punches. Not planning to do options either.

  • CurrentlyHuman@sh.itjust.worksOPEnglish
    0·
    3 months ago

    Yeah I definitely see what you’re saying but I would like to actively manage my own money. I’ll have a split portfolio so I’ll definitely have a decent amount in a mutual fund of sorts. Are these basically the Schwab money markets I see or do you mean like real mutual funds? They typically have minimum investments im no where near being able to afford.

    • bladerunnerspider@lemmy.worldEnglish
      0·
      3 months ago

      You said you have $1000/mo in disposable income. The fund minimum on VFIAX is $3000. Do it. ROTH IRA style(after taxes, do not claim a deduction for this in your return) up to the max of $6500/yr. Since you’re in a low tax bracket currently and presumably will have higher income and higher taxes later in life you want to pay taxes on this money now, not when you withdraw it. Any excess funds can go towards individual stock picks or in the equivalent ETF VOO (which you already seem familiar with).

    • Boinkage@lemmy.worldEnglish
      0·
      3 months ago

      There are tons of mutual funds, worth doing research there. I like Vanguard Growth index fund myself.

      I think the idea that a clever young man can beat the market by making clever individual stock trades is a myth perpetuated by wall street to keep folks throwing money into the market. Casino owners want people to think that they can hit it big if they try their luck.

      If your car needed a new engine, would you do this yourself or hire a professional? If your house had a gas leak, would you fix it yourself or hire a professional? Why then would you manage your own investments if you’re not a financial advisor?

      If you’re interested in it as a hobby, put 90% of your money in a mutual fund and play slot machines with other 10%. But don’t presume that playing slot machines with 100% of your savings is a sound investment strategy.

      Trading individual stocks is free. Mutual funds have a minimum buy in. Your local high school theater is free to attend. Hamilton tickets are $500 minimum. This is because one of these things is worth attending.