Mutual fund question?

Question

I just got 100 dallors for my graduation. Is it possible to invest into a mutual fund that is worth investing in with only a 100 dallors????

Answer 1

Better fD in bank

Answer 2

Check the current rate for US Savings Bonds.

I am not sure, but I think the rate of return might be a little better than mutual funds right now.

But if you do go with mutual funds, I suggest a "no-load" fund. Save the money you'd spend in fees.

Answer 3

Honestly for a $100, it might be better to put it into a savings bond.

Some banks (TD) will let you buy a minimum of $100.  choose wisley and make sure the fund is "no-load" meaning that they will not deduct extra fees .

My advice is if you only plan to invest the $100, you might be better off keeping it in a savings account until you get a little more money and plus yuo can save it for a rainy day.

Answer 4

Most mutual funds have a 500-5000 dollar minimum initial investment. Mutual funds through IRAs can sometimes have a lower minimum.

With that said if you have a steady stream of income and commit to investing 50 dollars a month to the mutual fund, they will often allow you to start with less than even $100.