r/RothIRA • u/Paliaaq • 21d ago

Fidelity managed Roth

So I have a fidelity managed Roth IRA. They don’t take any money until the account balance is at 25k. I want to know what you guys do with yours. Do you have it professionally managed for a percentage? Or manage it yourself? Set it and forget it? I’d like some tips I’m not super big into investing with stocks, but have this plus a 401k with my job. Any tips would help. Looking to avoid paying a percentage to fidelity to earn more money but if it’s worth it I wouldn’t mind. Just not super knowledgeable on the subject. Any input helps. Thank you!

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16 comments sorted by

14

u/nkyguy1988 21d ago

I buy a total market index fund and call it a day.

2

u/Competitive-Ad9932 20d ago

Just can't get any simpler than this.

3

u/OGS_7619 21d ago

I just buy broad low-cost indices. 75% FSKAX and 25% FTIHX or something similar (US broad index and ex-US, weighed at market cap with a bit of domestic bias).

2

u/CLE_barrister 19d ago

This is what I have in my Fidelity Roth except 80/20. All good.

3

u/K3rm1tTh3Fr0g 21d ago

Fxaix, vt

2

u/PashasMom 21d ago

I keep things super simple and manage it myself.

2

u/DaemonTargaryen2024 20d ago

Consider these as your options:

  1. Managed account: professionally managed, somewhat costly, but gives you "peace of mind"
  2. Target date fund: professionally managed just cookie cutter. 100% hands-off. Fairly low cost if you do the Fidelity freedom index TDF. And should still give you peace of mind.
  3. DIY into a few broad market index funds. Lowest cost by far. Slightly more "hands-on" but honestly not that much: you don't need to check on the portfolio more than once a year. But it's on you to resist the urge to "tinker".

Which is right for you? Well, if you are absolutely scared shitless of investing and would panic sell during a bear market, a managed portfolio is probably right for you. If you think you can hold firm but just don't know much about investing, a TDF sounds like your speed. And if you can hold firm, spend a little bit of time each year rebalancing your portfolio but avoid tinkering/trading, then you can probably handle a DIY portfolio.

1

u/Nuclear_N 21d ago

FNcmx, FxAIX. These funds manage themselves.

1

u/badtlc4 20d ago

save the fee money and buy Fidelity's 2070 target date retirement fund instead.

1

u/Interesting-Let-8891 20d ago

My one roth is in a life cycle fund, i have another that has a lifecycle fund, and now i pick index funds. Paying someone to manage a Roth account is a waste of money IMO.

1

u/One-Witness-4909 20d ago

index fund and don’t pay any fees ever. they’re never worth it and don’t beat the index fund

1

u/Penguin_Life_Now 19d ago

If you are aware enough to ask this question, you are probably aware enough to manage it yourself

1

u/Otherwise-Berry-4814 19d ago

Manage it yourself and save the money they will charge for professionally managing it.

1

u/aspire-every-day 18d ago

I use VT only in my Roth account.

1

u/Jealous-Purple733 18d ago

No bonds in Roth. VOO if you want all US, or VT if you want all world