What Are Some Good Choices for IRA Funds?

What Are Some Good Choices for IRA Funds?

The best investments for individual retirement accounts are taxable bonds and taxable bond funds, according to CNN Money. Treasury inflation-protected securities and actively traded stocks are also good options to invest in a retirement account.

Taxable bonds and taxable bond funds are taxed less when held in a retirement account, explains CNN Money. Treasury inflation-protected securities have annual inflation adjustments. Outside of a retirement fund, these adjustments are taxed annually as interest income. Actively traded stocks can yield short-term gains, which are more heavily taxed than long-term gains.

Investors should compare fees and invest with firms that offer no-load funds, such as Fidelity, T. Rowe Price and Vanguard, states CNN Money.