ETFs in Roth

ETFs are better.


The fees are so low you can almost ignore them.

And the average fund manager doesn't do any better than ETF's. They may appear to if you look around - but the information you can find is heavily weighted by selection bias and randomness. Most of the "good" fund managers just lucked up, they continue to have a job - and most of the "bad" ones had bad luck and have been fired and are no longer part of the sample - thus you mostly see the winners. Until they all lose - of course - when the market crashes. This is how we know which of the "good" managers were lucky and which ones actually have the ability to out-perform the market, as the latter will lose much less in a crash and may even gain, while those dependent on luck get slaughtered along with everyone else - but by then its too late to invest!

This is why I told you to invest in a Vanguard index fund

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Is there a general rule to adhere to with investing in etfs in a Roth. Should i just stick to mutual funds??

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Not really. EFT's do incur a commission charge but most often it isn't worth worrying about unless you're daytrading them.

Normally the real figure is the expense ratio.

I know you do, and I told you that you could open a Vanguard account with $1,000

I set automatic buys every week, which more evenly follows the market (it can move quite a bit in one month). Fees on ETFs would eat me alive. Even monthly, I wouldn't be a big fan of giving away the commission every month.

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Not really. EFT's do incur a commission charge but most often it isn't worth worrying about unless you're daytrading them

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As long as i buy fidelity or one of 62 selected ishares etfs, i dont have to pay commission

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Free commission offer applies to online purchases of 65 iShares® ETFs and Fidelity ETFs in a Fidelity brokerage account with a minimum opening balance of $2,500. The sale of ETFs are subject to an activity assessment fee (of between $0.01 to $0.03 per $1000 of principal) by Fidelity. After September 30, 2013, 65 iShares ETFs are subject to a short-term trading fee by Fidelity, if held less than 30 days. After January 31, 2014, Fidelity ETFs are subject to a short-term trading fee by Fidelity, if held less than 30 days. See the brokerage commission and fee schedule (PDF) for details.

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That's your fine print.

I think im going with the ishares s&p growth etf in addition to the fidelity energy sector etf. Those two with my large cap growth mutual fund should be a good start to the roth