Nonono. OK.
An IRA is notan investment. It is not something you purchase. It is nothing tangible. It is merely a set of tax rules. It stands for "Individual Retirement Arrangement", (not account).
Think of it as a container. You can put anything in that container (funds, stocks, bonds, CD's, etc.) and the only difference is that taxes are handled differently than regular taxable containers.
So investments are independant andhave nothing to do with IRA's. Treat them separately.
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A Redemption Fee is what you pay when you sell shares of a fund before holding it for a reasonable amount of time. This is to prevent actively trading in and out of the fund. It is a fund-thing, not an IRA-thing; keep them separate.
From HSGFX Prospectus:
REDEMPTION FEE
A redemption fee of 1.5% of the dollar value of the shares redeemed, payable to the Fund, is imposed on any redemption or exchange of shares within six months of the date of purchase. No redemption fee will be imposed on the redemption of shares representing reinvested dividends or capital gains distributions, or on amounts representing capital appreciation of shares. In determining whether a redemption fee is applicable to a particular redemption, it is assumed that the redemption is first of shares acquired pursuant to the reinvestment of dividends and capital gains distributions, and next of other shares held by the shareholder for the longest period of time.
This is not unreasonable. Just be sure to look for it before trading funds, otherwise you may get hit with a fee by surprise. (Yes, that happened to me...once.)
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