Received: from ROVER.RI.CMU.EDU by K.CS.CMU.EDU; 4 Feb 87 12:21:52 EST Date: 4 Feb 1987 12:03-EST From: Mike.Blackwell@rover.ri.cmu.edu To: bovik@k Subject: IRA information Message-Id: <539456632/mkb@rover.ri.cmu.edu> 26-Jan-87 16:01 Mike.Blackwell IRA advice? From: Mike.Blackwell@rover.ri.cmu.edu Playing with my tax forms, I discovered that I can get an additional $500 refund if I invest $2000 in an IRA before Apr. 15. I basically understand how IRA's work, and all that, but I'd appreciate advice on financial institutions that handle them. I'm most interested in low fees, and a place that's easy to deal with. The ability to somewhat control my money would also be nice (like self directed IRA's). If you have recommendations for or against an institution, I would appreciate them. Thanks! -------------------- Date: 26 Jan 1987 16:09-EST From: David.Lampenfield@cad.cs.cmu.edu To: Mike.Blackwell@rover.ri.cmu.edu Subject: Re: IRA advice? You should strongly consider Vangaurd group of mutual funds. They meet all the requiremnets stated in your post. Also they have special arangements with CMU as CMU is non profit. Tom somelastname? in benifits will sen dyou a package on vanguerd for the asking. -------------------- Date: Mon 26 Jan 87 17:39:13-EST From: Vince.Fuller@C.CS.CMU.EDU Subject: Re: IRA advice? To: Mike.Blackwell@ROVER.RI.CMU.EDU Well, if you don't get any better advice (or don't feel like making a decision now), pick some easy and convenient money market IRA like Mellon's - you can close it any time without penalty and it doesn't cost you anything to transfer to a better IRA when you decide on one. That's what I started with last year when I couldn't figure out what to do. Since then, I've invested in IRA offerings from E.F. Hutton - they, as most places, have a variety of options to choose from. The broker was recommended to me by my mother, who has done pretty well with her. I can give you her (the broker's) name & number if you're interested in pursuing it further. --Vince ------- -------------------- Date: 26 Jan 1987 18:16-EST From: Dragon Subject: IRA To: blackwell@rover.ri.cmu.edu Mike, I started an IRA last year at Union National (in Squirrel Hill, though I doubt that makes a difference). There was no fee. The way it works is the money goes into CD's; you get to specify which one. (They give you several options, n years gets m%, for five or six values of n and m.) When the CD is up, you can change the duration for the renewal, or it will default to the same length of time at the interest rates that are current then. I can see this arrangement being a problem after several years, when you have to go in to add money and figure out how many CD's will come due that year, ut it doesn't seem like too much to ask. (Of course, I've only got one year's worth so far.) Last year there was a special deal; if you opened an IRA there they gave you an extra 2% for the first year (I think; don't quote me on this). Monica -------------------- Date: Tue 27 Jan 87 08:51:47-EST From: David.Zubrow Subject: IRA's To: mike.blackwell@ROVER.RI.CMU.EDU One place to put money is with VANGUARD. They have a group of mutual funds and you can move your money from one to the next with no charges. They have toll free numbers for doing transactions and getting info. I've had a small amount of money with one of their funds for a couple of years and it has done pretty well, doubled in about 3.5 years. I just sent for their info. I'll let you know when it comes. In general I would suggest using a mutual fund type company rather than a stock brokerage firm if you going to invest just a little or if you don't want to manage the money yourself. Dave ------- -------------------- Date: 27 Jan 87 11:04:34 EST From: Richard.Wallstein@A.CS.CMU.EDU Subject: Re: IRA advice? To: Mike.Blackwell@rover.ri.cmu.edu Mike, I have an IRA in a mutual fund -- the Gintel Erisa Fund, which I've been very pleased with. They have an 800 number if you want to call them and get a prospectus. Richard -------------------- Followup: I talked to Tom Tragesser in the Benefits Office about the Vangaurd Group mutual funds. CMU has a deal with them so they can take out up to 15% of your salary each month, and invest it in the fund (or combination of funds) of your choice, with taxes deferred until you take the money out later (usually when you retire, but I think there are some hardship clauses). Vanguard has 13 different funds. Forbes magazine thinks highly of many of them - it's worth a look in back issues. Tom is very helpful - if you're at all interested, talk to him. He'll send you an info packet and prospectus for each of the funds. -m-