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Fidelity vs. Vanguard
Old 04-15-2006, 10:35 AM   #1
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Join Date: Jan 2006
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I thought I had asked this question, but can't seem to find it.*

I am looking to move all of my taxable investments, and my IRA's, away from my Financial Advisor.* I want this to be my last (hopefully) big investment acct switch, so I am trying to make sure I fully explore the pros and cons of each.* *Current thinking is Fidelity or Vanguard.* (or maybe Schwab?)*

My intent is to invest mainly in Vanguard index funds where possible, especially for the equities.* Still trying to figure out the bond/income/cash side of it.* Maybe bond funds, maybe cd's, maybe TIPS, Treasury Directs...* I'm so confused.....*

Intend to ER (in some form or fashion) in ~4.25 yrs at 50 (1524 days, but who's counting...)

Following are what I see as the pros of Fido / VG.* Can everyone give me your take on this?* Those that are pre-ER, and those that are already in ER.

Fidelity Pros:
- A bit more of a full-service firm, with more investment options(?) (I'm thinking bond purchases etc - maybe not any easier at Fidelity than VG)
- I already have my 401k with my employer at Fidelity
- When I ER, I can roll the 401K's easily into a Fidelity rollover IRA (I know, could easily roll over to Vanguard also, but might be marginally easier at Fidelity)
- They do have brick and mortar locations, if I ever wanted to actually talk to a live person.

Fidelity Cons:
- If I am mostly buying Vanguard index funds, am I laying on an extra layer of expenses by using Fidelity?
- If I keep adding to the Vanguard funds each month, do those additions also attract some fees from Fidelity?

Vanguard Pros:
- low fees, and no extra fees to invest in Vanguard

Vanguard Con's:
- No brick and mortar locations (or are there?)

Looking at my listing above, it looks like I am leaning more to Fidelity.* Actually, before putting the pro-con list together, I was assuming I would go with VG.*

What else am I missing?*

Thanks!
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