Consumers Digest

What is the best way to buy various mutual funds?

--Buy through a trading account such as Ameritrade or Scott trade --Open an account in fund house in which you want to buy funds such as vanguard or janus and then buy the funds. I am looking for best flexibility and less expense. Which is the best way in the above two?

Public Comments

1. The least expensive way is Vanguard.com. They are known for low expenses. I like their variety. Fidelity.com would be my second choice. Also consider TIAA-CREF.com. I wouldn't recommend a trading account, frequently they won't trade Vanguard.
2. This is just a reaffirmation of the previous answer. If you are going to pick your own mutual fund and want to avoid fees, Vanguard seems to be the best value. I use Ameritrade for equity and option trading, but for mutual funds I use Vanguards since they don't charge for occasional rebalancing of your portfolio. Ameritrade will whack you $25 each time you get in or out of a fund.
3. Open accounts through the various funds you want to purchase. You often avoid higher minimum purchase amounts and purchase/sales fees, as well as overall account fees. I own funds directly through Dodge & Cox, Oakmark, Ariel, Buffalo, Robeco (Boston Partners), and Meridian. My experiences with those companies has been far superior to my experiences with Scott Trade and Schwab (although Robeco is getting on my nerves).