Last week I recieved my final IRA statement for 2007 and today I want to analyze it to see how the funds I chose to invest in faired. I don't have much money in the IRA and this is the first year I opened it. I have chosen 4 funds to invest in with my IRA and lets take a look at how they each did.
My first fund is New Concepts Fund. This is a mid cap growth fund and it earned me a small 5.67% this year.
My second fund is Value Fund which as the name applies is a value fund. This fund lost money for me losing a total of -3.24%.
My third fund is European Opportunities which is my international exposure. This fund has done great in the past but for me this year it only earned 3.63%.
My last fund is Asset Strategy fund which has a blended approach investing in lots of different kinds of investments. This fund was my best performer earning 34.22%.
My total IRA performance was 7.44%. I'm not too excited about this. I know the market was bad the second half of the year. I also didn't open the account until the last week of February and continued contributing $150 a month until October when I started contributing to my 401k at work. The two funds I am invested in the most performed the most poorly being Value Fund and European Opportunities Fund.
I think each year I would be happy with about a 10% return. This year my IRA fell slightly short but I have to understand I missed out on the first two months of they year.
Currently I am not contributing any more money into my IRA. I opened the IRA because I wanted to start saving for retirement as soon as possible but I was not eligible for my employer's 401k until October of this year. I contributed 5% of my salary into the IRA each month until I was able to contribute the 5% towards the 401k and get the company match. I plan on sometime in the future contributing to my IRA again. However, with the wedding this coming October and the purchase of a house sometime in the next year, I doubt that sometime will be 2008. I have upped my 401k contributions to 6% for 2008 though so I will be saving more then last year.