My knowledge of mutual fund investments is 1 month old. I have $15000 on top my emergency savings and I max out my Roth IRA in addition. So this money is just there earning 1% APY in a savings account.
I wanted to give it a try and to make my first investment with cash.
After I reading a lot of information online, I have come to the conclusion that most major investment companies are relatively similar. Some are cheaper, some are more expensive. So I picked up Vanguard and chose 5 mutual funds:
VIVAX - Vanguard Value Index Inv
NAESX - Vanguard Small-Cap Index Fund Investor Shares
VIMSX - Vanguard Mid Cap Index Inv
VDIGX - Dividend Growth Fund
VISGX - Vanguard Small Cap Growth Index Inv
Each of these will receive $3K and will be left there for 5+ years.
My goal is to find an alternative for to keeping $15K in 1% APY savings account and I do not need this money very soon.
I picked these funds because:
1) they cover major categories
2) their expense ratios are low
3) I am ok with the risk
I would like to ask experienced investors if
(a) 5 funds for $15K is not too many or too few ?
(b) Have I diversified my portfolio too much or not enough ? Perhaps I am missing something that would be recommended for the portfolio of this kind with this goal.
(c) If not my choice of my portfolio, where would you invest $15K under similar circumstances and similar goals.