Just opened my first brokerage account-questions

[Tradd]

I have NEVER invested outside of my 401K/IRA (IRA is a rollover 401K from a job 20 years ago).

I decided I wanted to start investing on my own. Since roller 401K and high yield savings are with Vanguard, I decided to keep everything in one place. Opened account and have $100 on the way. Here’s my question: I want to buy VOO, which is Vanguard’s S&P 500 ETF. But shares of VOO are $600ish each.

It appears my money has to sit in the settlement fund until I have enough to buy a share. Is that correct?

[Tybee]

I have NEVER invested outside of my 401K/IRA (IRA is a rollover 401K from a job 20 years ago).

I decided I wanted to start investing on my own. Since roller 401K and high yield savings are with Vanguard, I decided to keep everything in one place. Opened account and have $100 on the way. Here’s my question: I want to buy VOO, which is Vanguard’s S&P 500 ETF. But shares of VOO are $600ish each.

It appears my money has to sit in the settlement fund until I have enough to buy a share. Is that correct?

At Fidelity you can buy partial shares, don't know about Vanguard, just ask them--is there a chat feature?

[Tradd]

No chat feature. I attempted to buy a partial share and it said minimum of one.

[Tradd]

Just found an article saying that Vanguard does allow partial shares. Will have to play with the website again. Figured it out. Thanks!

[Tybee]

That's great, and congratulations on your new account, that's wonderful news!

[Tradd]

I joked to a friend that I feel like a real grownup! LOL

[pinkytoe]

We went with VTI at half the share cost.

[iris lilies]

Good for you Tradd!

my main IRA is at Vanguard and I have a lot of it in a CD because that allows me to sleep at night. But I have a fair amount in something else, and I don’t even remember what type. I’m fairly irresponsible at investing and don’t really pay attention.

[Tybee]

Tradd, this is a nice video comparing VTI and VOO. My favorite thing about VOO is that it's a pun on the 500 stocks it follows, since V is Roman Numeral for 5, in addition to being a fund like all the Vanguards starting with V. It's also what Warren Buffett said to put his family's accounts in, and it's what I buy for my kids when I do buy them index funds.

Bing Videos

[Tradd]

Tradd, this is a nice video comparing VTI and VOO. My favorite thing about VOO is that it's a pun on the 500 stocks it follows, since V is Roman Numeral for 5, in addition to being a fund like all the Vanguards starting with V. It's also what Warren Buffett said to put his family's accounts in, and it's what I buy for my kids when I do buy them index funds.

Bing Videos

Thanks! I will watch the video later. Yes, I had heard Warren Buffet recommended VOO. That’s one of the reasons I chose it.