Fidelity Investments Com
August 27th, 2010
Question: Mutual Fund Investement Question, for Fidelity?
Ok, i’m thinking about starting a mutual fund with fidelity. I was looking at the Four-In-One mutual fund. My question is how much is the monthly buy-in minimum. For example can i pay 50$ a month after i make the initial investment. I don’t want to buy it if I have to pay like 500$ a month, thats way to much. So is it possible to automatically pay 50$ a month into the mutual fund after initial investment?
This is the link to mutual fund information http://personal.fidelity.com/products/funds/mfl_frame.shtml?31634R109
Answer: This fund does have a minimum regular monthly minimum of $500 if it is the 4 in 1 index fund. Also has a minimum initial investment of $10,000. This is because the fees are so low. Fidelity does have funds with a lower minimum regular investment. I believe their minimum for those is $100. The Fidelity Freedom 2030 Fund which is a retirement fund has a very similar performance record to the 4 in 1 but meets the lesser investment requirements.
To meet your specific requirement of $50 per month regular investment you will need to consider T Rowe Price, which has that option.
The T Rowe Price Total Market Index Fund has a very similar performance record to the Fidelity 4 in 1 and the $50 regular investment option. In fact to begin there is only to sign up for the $50 regular investment–no other minimum investment. their Capital Appreciation Fund actually has a better performance record.
http://individual.troweprice.com/public/Retail/Mutual-Funds/Historical-Performance
Beau Billingslea – Fidelity Investments Commercial
Posted in 
Tags: