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Originally Posted by RunKC
I have a 401k and a Roth IRA. My employer uses Fidelity so I might look into those.
Company matches 6%, but as of about 6 months ago I moved it up to 8 to add more personally.
I have a Roth IRA with the standard company set up, that netted me 9% growth last year. I think I should have talked to a financial advisor 5 or so years ago and should have been putting more than 6% in for the last 7 years.
Ideally I would like to build compound interest and start it now. Just not sure which fund, ETF, etc would be best.
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To compliment Lew's advice, I'm a big fan of Vanguard, their expense ratios are microscopic on their etfs, and offer free trades and dividend reinvesting.
Right now, S&P indexed etfs are hot, so you should look at those. They're all equity, so they won't be consistent with a 60/40 equity/bond portfolio recommendation that you might get from an advisor. But don't hang up on that.
All the S&P indexed etfs have a slightly different strategy. Some are geared towards growth, large cap, value, dividends, etc.
I'm a big fan of VYM for a dividend producer. It has good growth, with the recession-buster resistance quality of dividend reinvesting.
There is a lot of theory behind that strategy, but in short, it matches the growth of the index fairly well with dividends to make up for the shortfall. In the event of a recession you are better able to lower your dollar-cost average than a straight index, providing for greater growth during the recovery.
Round out the portfolio using a standard index fund like VOO, with maybe a growth oriented fund like VOOG or VUG.