Here are the facts:
1. My employer does not offer any type of 401K plan
2. I don't want to depend on social security for my retirement
3. I want to earn more than 4,5-5% that I'm earning in a typical savings account
4. I want the investement to be relatively liquid - something that I can take out at any time (not at retirement age) without being punished for early withdrawal, in case I leave the US (I'm not a permanent resident) at any point in time.
5. I'm 32 and single.
After speaking with an Ameriprise Financial advisor, he recommends I invest in their asset allocation fund. However, they take 5.75% of every $1 that I invest. That is the upfront cost of putting my money into it. Not having much experience in this type of investing, I am really not sure if that's reasonable and if it's a wise move.
What would you suggest in my situation? Where should I put my money? I am generally very risk averse, but by doing so, I may be passing on some larger interest income potential.
At the same time, I am putting some of the money away into savings because I hope to buy a house within a year or two, so I will need that for down payment. But aside from that, I still want to start saving for retirement.
1. My employer does not offer any type of 401K plan
2. I don't want to depend on social security for my retirement
3. I want to earn more than 4,5-5% that I'm earning in a typical savings account
4. I want the investement to be relatively liquid - something that I can take out at any time (not at retirement age) without being punished for early withdrawal, in case I leave the US (I'm not a permanent resident) at any point in time.
5. I'm 32 and single.
After speaking with an Ameriprise Financial advisor, he recommends I invest in their asset allocation fund. However, they take 5.75% of every $1 that I invest. That is the upfront cost of putting my money into it. Not having much experience in this type of investing, I am really not sure if that's reasonable and if it's a wise move.
What would you suggest in my situation? Where should I put my money? I am generally very risk averse, but by doing so, I may be passing on some larger interest income potential.
At the same time, I am putting some of the money away into savings because I hope to buy a house within a year or two, so I will need that for down payment. But aside from that, I still want to start saving for retirement.