i*******e
发帖数: 436 | 1 想每月automatic investment，但好象只能买帐上的MF，ETF不行，怎么办？ | Q***u
发帖数: 433 | 2 I don't think you can do it. ETF has to be purchased in whole shares, unlike
mutual funds. This makes auto investment difficult. It's one of the major
drawbacks of ETF compared to MF. | g*****g
发帖数: 34805 | 3 Just buy whatever shares you can buy in lunch break with
market order, what's the big deal? With most shares under
$50, I don't really think $50 residue makes a difference at all.
Let's say you can get 10% annualy return on $50, and that yields
$872 in 30 years. So you lose about $800 life time no matter how
big your account is. Is that really a major drawback? You probably
can cover that in one year of managament fee differential with a
100K account.
With MF, you are buying a price at the future, that's a big disadvantage
to begin with.
unlike
【在 Q***u 的大作中提到】
: I don't think you can do it. ETF has to be purchased in whole shares, unlike
: mutual funds. This makes auto investment difficult. It's one of the major
: drawbacks of ETF compared to MF.
| Q***u
发帖数: 433 | 4 Yes, it is a big disadvantage for ETF, no matter how you cut it.
For me personally, I don't really care about it, because I can handle the
manual purchases just fine. But some people really don't have the required
discipline to invest regularly and they need the help of automatic
investment.
Further more, the inability to purchase ETF in fraction shares has prevented
ETF from being used in 401(k) plans. You know, in 401(k), people invest a
few hundred dollars a month and divide that among several funds. So each
fund can get as little as $20/month. How do you invest that with ETF? | g*****g
发帖数: 34805 | 5
I don't understand why so many people check grocery price to cents and
don't really care what they are doing in investment. They may be
better off not do any investment, at least preserve the principle.
If you don't have the tool, set a reminder, and spend one minute in
lunch break on every pay day. Big deal, I think not.
prevented
It's easy for broker to come up with a rule like buying maximum shares at
market order with the contribution. It's just that ETF ain't available for
most 401K plans and there's no need to do so. It's not difficult to make
a rule like this on some brokers like IB, but that's another story.
【在 Q***u 的大作中提到】
: Yes, it is a big disadvantage for ETF, no matter how you cut it.
: For me personally, I don't really care about it, because I can handle the
: manual purchases just fine. But some people really don't have the required
: discipline to invest regularly and they need the help of automatic
: investment.
: Further more, the inability to purchase ETF in fraction shares has prevented
: ETF from being used in 401(k) plans. You know, in 401(k), people invest a
: few hundred dollars a month and divide that among several funds. So each
: fund can get as little as $20/month. How do you invest that with ETF?
| K****D
发帖数: 30533 | 6 The people who check grocery prices to the cents usually also care
what they are doing in investments.
It's the rest -- who don't remember grocery prices AND stock prices | Q***u
发帖数: 433 | 7 As far as I know, the reason that ETF isn't available for 401(k) yet is
precisely because it cannot take small investments, not because "there is no
need to do so". And the solution you suggested won't work either.
Here is an real world example: My wife gets paid bi-weekly and her 401(k)
investment is thus done in a bi-weekly schedule. As a result, when I
allocated 5% of her bi-weekly contribution to a junk bond fund, that
amounted to only $21.86. One of the ETFs that I bought at Fidelity is the
iShare TIPS Bond Fund with a share price of $109. Please don't tell me that
I should wait every 2.5 months before I can purchase a single share of TIP. | i*******e
发帖数: 436 | 8 you sound like a big bull, do you mind sharing your idea of self disciplined
investment to your ETF portfolio? would it be like what goodbug suggested?
unlike
【在 Q***u 的大作中提到】
: I don't think you can do it. ETF has to be purchased in whole shares, unlike
: mutual funds. This makes auto investment difficult. It's one of the major
: drawbacks of ETF compared to MF.
| t****g
发帖数: 35582 | 9 ING Direct sharebuilder allows you buying a fraction of share， like 基金定
投。
$4 per order。
unlike
【在 Q***u 的大作中提到】
: I don't think you can do it. ETF has to be purchased in whole shares, unlike
: mutual funds. This makes auto investment difficult. It's one of the major
: drawbacks of ETF compared to MF.
| Q***u
发帖数: 433 | 10 但LZ问的是Fidelity。Fidelity有30只iShare的ETF是不要transaction fee的。Big
attraction。
【在 t****g 的大作中提到】
: ING Direct sharebuilder allows you buying a fraction of share， like 基金定
: 投。
: $4 per order。
:
: unlike
| Q***u
发帖数: 433 | 11 No, I'm not a "big bull". I'm only a mediocre individual investor who
happens to spend too much time on his investment.
I don't really have a "system" to keep myself disciplined. I don't try to
time the market, because I know I can't. I have never sold any of my
investment in panic no matter what (911 came in mind). I kept my buying
schedule going even when my portfolio had been cut by half in March 2009. I
try not to be greedy. I rebalance my asset allocations periodically even if
that means I will have to sell some hot investments that many other people
insist will continue to grow. --It's boring and nothing really magical.
I purchase my ETFs on the 15th day of every month since my 401(k) investment
is done at the end of each month. I check the market news and price history
around lunch time. Then place a limit order with a price that I feel I can
accept. If the order is not filled after market closing, I do it the next
day. I use Quicken everyday to track my financials, so I don't have any
problem remembering making scheduled purchases. If you tend to forget, add a
reminder in your Outlook calender. --Again, nothing magical. Whatever works
for you.
disciplined
【在 i*******e 的大作中提到】
: you sound like a big bull, do you mind sharing your idea of self disciplined
: investment to your ETF portfolio? would it be like what goodbug suggested?
:
: unlike
| i*******e
发帖数: 436 | 12 great! thanks for the tips...
I
if
investment
【在 Q***u 的大作中提到】
: No, I'm not a "big bull". I'm only a mediocre individual investor who
: happens to spend too much time on his investment.
: I don't really have a "system" to keep myself disciplined. I don't try to
: time the market, because I know I can't. I have never sold any of my
: investment in panic no matter what (911 came in mind). I kept my buying
: schedule going even when my portfolio had been cut by half in March 2009. I
: try not to be greedy. I rebalance my asset allocations periodically even if
: that means I will have to sell some hot investments that many other people
: insist will continue to grow. --It's boring and nothing really magical.
: I purchase my ETFs on the 15th day of every month since my 401(k) investment
| S**C
发帖数: 2964 | 13 Many 401(k) plans are omnibus account with MF, they only trade once per day
after market close with the plan, so $20/month is not an issue with ETF, as
long as 1) ETF companies allow fractional share, and 2) trade at NAV at
market close.
prevented
【在 Q***u 的大作中提到】
: Yes, it is a big disadvantage for ETF, no matter how you cut it.
: For me personally, I don't really care about it, because I can handle the
: manual purchases just fine. But some people really don't have the required
: discipline to invest regularly and they need the help of automatic
: investment.
: Further more, the inability to purchase ETF in fraction shares has prevented
: ETF from being used in 401(k) plans. You know, in 401(k), people invest a
: few hundred dollars a month and divide that among several funds. So each
: fund can get as little as $20/month. How do you invest that with ETF?
|
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