[parrott22]

I was given the following 403B Choices for my new job... any advice on which to choose?

-AIG Valic
-Travelers Edcuators Retirement Services (CitiStreet)
-Prudential Financial
-AXA Equitable
-The Vanguard Group

Any input would be great appreciated!!

[Scottyd]

The Vanguard Group - Hands down.

ScottyD

[FrenchTeacher]

Parrott, four of the five providers listed are insurance companies. As such, they are likely (if not certain) to be selling you insurance products (a.k.a. annuities), which offer a few different perks unavailable with straight mutual funds, and which offer the services of a professional advisor. Sometimes, the advisor is nothing more than a salesman with the word "advisor" on his/her business card. Sometimes not. You'd need to talk to all four possibilities to see if there is a fit there.

The drawback on ANY of the four is that, being annuities, they will be a lot more expensive than mutual funds. It's important to find out exactly how MUCH more expensive, and what exactly you can expect to receive for the extra money you would be spending.

The only mutual fund option listed here is Vanguard. They have an excellent reputation for having low-cost funds, and are well worth your consideration. While a Vanguard account will come with limited assistance (i.e., no one will be assigned to your account, and you're likely to have only the person who answers the 800 number to handle any quyestions you may have), it's entirely possible that you won't need the advice or assistance that one of the full-service providers would offer.

Whatever choice you make, I think the most important thing is to get the account going, and sooner is better in this regard. Good luck.

[ira]

Hi,

It would be a good idea for you to obtain some financial educatu\ion. Suggestions are "teach and retirer rich" this web site, also go to www.diehards.org for discussion about investing , specifically vanguard products, and suggestions for books , and internet sites to investigate.

Many, including myself at the site have Vanguard. I think Vanguard is one of the best, if not the best fund company.

Ira

[JMacDonald]

Hi,
Vanguard is your choice! Ira is correct. You will need to educate yourself about investing. In the meanwhile, read this ARTICLE by Dan here on 403bwise. Chose the appropiate Target Fund from Vanguard to invest in while you are learning. For the record, I have all of my funds with Vanguard. Best Wishes.

Joe

[sschullo]

Hi Parrott22,
Joe, Scotty and Ira are right on. You are very lucky to have Vanguard as a choice. My employer will never allow Vanguard. I have most of my money in Vanguard (via transfers) and the rest in TIAA CREF, which is on my employer's list. Never ever use big insurance companies with your 403b. That’s the first thing you will learn here. The next thing as Joe and IRA already said, you will have to learn more about basic investment strategies. If you need help, the best adviser is the person you look in the mirror each and every money--yourself, educated in personal finance.
Just to help you get started, I started in another no load company and I was so scared that I started putting money in a bond fund, until I learned about the other funds and about investment basics. Vanguard has many different bond funds and balanced funds (Click here for more information). As FrenchTeacher said you need to get started and get started now.
Good luck,
Steve