These zero-expense ratio index mutual funds have the following benefits for investors:
- No minimums to open an account
- No account fees for retail brokerage accounts
- 24/7 live customer service
“Fidelity absorbs all of the investment costs for you as an individual. I love this as a place for you to start,” Clark says.
As for which type of fund to choose, Clark recommends the Fidelity Zero Total Market Index Fund (FZROX).
“Look at this fund and explain to whoever is going to own the account as your custodian,” Clark says, “that the money that you add to it will be yours to completely control once you turn either 18 or 21, depending on the state where you live.”
"If you keep adding to this fund whatever money you have over the years, it will make you a lot of money," Clark says.
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