Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Vanguard request to 'upgrade'
Old 12-15-2014, 10:02 AM   #1
Full time employment: Posting here.
Tailgate's Avatar
 
Join Date: Jul 2013
Location: Texas
Posts: 881
Vanguard request to 'upgrade'

Received notice from Vanguard via email.. partial contents say

We recently notified you that we're simplifying our account structure to better serve you, and we need your help.

What you can expect
With the new structure, you'll be able to hold your Vanguard mutual funds in the same account as your Vanguard exchange-traded funds (ETFs), stocks, bonds, certificates of deposit (CDs), and funds and ETFs from other companies. You'll have greater investment flexibility and help us streamline our operations.

Please act by December 19, 2014
This change won't cost you a thing, but we need your permission to move your Vanguard mutual funds, including your money market settlement fund, into brokerage accounts. If you don't already have a brokerage account, our online process will guide you through opening one and requesting a transfer of your mutual fund assets into it. Then you can enjoy these features:



Accounts that can hold any type of asset.

A simpler online process for buying and selling investments.

Proceeds from stock sales immediately available to buy Vanguard funds—no more four-day wait.

One annual tax statement, starting in the tax year after you move to the new account structure.


I'm not quite sure about this. What is Vanguard trying to accomplish with this move? Is it a good move for investors?
__________________

__________________
Tailgate is online now   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 12-15-2014, 10:52 AM   #2
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
pb4uski's Avatar
 
Join Date: Nov 2010
Location: Vermont & Sarasota, FL
Posts: 16,410
As I understand it, this will just consolidate the holdings in your mutual fund and brokerage accounts (if you have a brokerage account) into one brokerage account. I think it makes a lot of sense and am looking forward to doing the consolidation as dealing with two accounts is a small PITA.
__________________

__________________
If something cannot endure laughter.... it cannot endure.
Patience is the art of concealing your impatience.
Slow and steady wins the race.
pb4uski is online now   Reply With Quote
Old 12-15-2014, 10:54 AM   #3
Thinks s/he gets paid by the post
2B's Avatar
 
Join Date: Mar 2006
Location: Houston
Posts: 4,330
I haven't received this email. Could it be a Phishing attempt? How does the email say you should authorize this change?

If it's legitimate, I don't see what difference it would make to me.
__________________
The object of life is not to be on the side of the majority, but to escape finding oneself in the ranks of the insane -- Marcus Aurelius
2B is offline   Reply With Quote
Old 12-15-2014, 10:55 AM   #4
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
NW-Bound's Avatar
 
Join Date: Jul 2008
Posts: 19,398
They are just catching up with other brokerages.

Disclosure: I have accounts with Vanguard, Schwab, Scottrade, and Merrill Edge.
__________________
"Old age is the most unexpected of all things that can happen to a man" -- Leon Trotsky
NW-Bound is online now   Reply With Quote
Old 12-15-2014, 11:08 AM   #5
Full time employment: Posting here.
Tailgate's Avatar
 
Join Date: Jul 2013
Location: Texas
Posts: 881
Quote:
Originally Posted by 2B View Post
I haven't received this email. Could it be a Phishing attempt? How does the email say you should authorize this change?

If it's legitimate, I don't see what difference it would make to me.
The change is authorized by logging onto your account at the Vanguard site..it's legit.
__________________
Tailgate is online now   Reply With Quote
Old 12-15-2014, 11:29 AM   #6
Thinks s/he gets paid by the post
2017ish's Avatar
 
Join Date: Apr 2012
Posts: 1,843
Not a scam/phish.

It has been rolling out for a very long time. See Boglehead threads discussing it ad nauseam. :-)
__________________
OMY * 3 2ish Done 7.28.17
2017ish is online now   Reply With Quote
Old 12-16-2014, 11:17 AM   #7
Thinks s/he gets paid by the post
teejayevans's Avatar
 
Join Date: Sep 2006
Posts: 1,220
I did conversion, not really a big change, I wanted to do it before year end


Sent from my iPad using Early Retirement Forum
__________________
teejayevans is online now   Reply With Quote
Old 12-16-2014, 11:27 AM   #8
Thinks s/he gets paid by the post
 
Join Date: Jul 2002
Posts: 1,037
Double check that it won't cost you anything. I'm at a competing brokerage and they would consolidate the mutual funds with the brokerage for no one time fee but then I'd be on the hook for a $40 annual fee. Just starting the process of moving more accounts to Vanguard.
__________________
RE2Boys is online now   Reply With Quote
Old 12-16-2014, 11:38 AM   #9
Thinks s/he gets paid by the post
redduck's Avatar
 
Join Date: Mar 2005
Location: yonder
Posts: 2,052
I may be the one to thank for the consolidation of the mutual funds with the brokerage account. Seems like I would call Vanguard every 2-3 months because I was confused re: the difference between the mutual funds and the brokerage account. I mainly wanted to know what the mutual fund account was called and how could I get funds from the mutual fund account (it wasn't called that, it's just a descriptive phrase) into the brokerage account and why couldn't I just buy an ETF and have it mixed in with the mutual funds?

According to Vanguard's website, the consolidation is totally free.
__________________
Carpe cōleī
redduck is offline   Reply With Quote
Old 12-16-2014, 02:07 PM   #10
Thinks s/he gets paid by the post
nash031's Avatar
 
Join Date: Jun 2013
Location: Coronado
Posts: 1,486
I did it about a month ago. Simplified my overall view and made my taxable accounts all pretty much rolled into one. Not sure why they hadn't done it sooner... individual stocks, Vanguard funds, and non-Vanguard mutual funds all together now, simplifying that whole "bucket."
__________________
"So we beat to our own drummer in the sun;
We ask for nobody's permission to run.
I just wanna live in a world like that;
Now I'm gonna live in a world like that!" - World Like That, O.A.R.
nash031 is offline   Reply With Quote
Old 12-16-2014, 10:57 PM   #11
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
pb4uski's Avatar
 
Join Date: Nov 2010
Location: Vermont & Sarasota, FL
Posts: 16,410
I talked with my account rep today. He said that with the new account form that you can't have your cash dividends transferred directly to your bank account like I do now. They would go into the MM and then I would have to manually do a sale of the MM and transfer the proceeds to my bank account. Also, that I would have to set up all my bank accounts again. I kiddingly asked him if this was all part of their new customer inconvenience program. I'll probably wait until next year to do it.
__________________
If something cannot endure laughter.... it cannot endure.
Patience is the art of concealing your impatience.
Slow and steady wins the race.
pb4uski is online now   Reply With Quote
Old 12-17-2014, 08:57 AM   #12
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
easysurfer's Avatar
 
Join Date: Jun 2008
Posts: 7,885
Quote:
Originally Posted by pb4uski View Post
... Also, that I would have to set up all my bank accounts again. I kiddingly asked him if this was all part of their new customer inconvenience program. I'll probably wait until next year to do it.
"The customer inconvenience program" How did your rep respond when you asked that?

I thought about complying and making the "upgrade" last night. But I only use mutual funds and you mention of having to set up all the bank accounts again makes me think I'll pass and hold onto the trusty old way of doing things.
__________________
Have you ever seen a headstone with these words
"If only I had spent more time at work" ... from "Busy Man" sung by Billy Ray Cyrus
easysurfer is offline   Reply With Quote
Old 12-17-2014, 10:01 AM   #13
Thinks s/he gets paid by the post
target2019's Avatar
 
Join Date: Dec 2008
Posts: 3,705
My initial reading of the conversion to brokerage notice was that it wasn't optional. I haven't received any further communication from VG about this since I received the general statement about it back in September 2014.
__________________
target2019 is offline   Reply With Quote
Old 12-17-2014, 10:54 AM   #14
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
easysurfer's Avatar
 
Join Date: Jun 2008
Posts: 7,885
Quote:
Originally Posted by target2019 View Post
My initial reading of the conversion to brokerage notice was that it wasn't optional. I haven't received any further communication from VG about this since I received the general statement about it back in September 2014.

I think it's a case of VG really really wanting you to convert but need your permission before doing so. Otherwise, I'd think they just do the convert and tell us later. The improved (depending on your perspective ) version.

I may go ahead and just convert just to get that out of the way.
__________________
Have you ever seen a headstone with these words
"If only I had spent more time at work" ... from "Busy Man" sung by Billy Ray Cyrus
easysurfer is offline   Reply With Quote
Old 12-17-2014, 11:01 AM   #15
Recycles dryer sheets
 
Join Date: Apr 2014
Posts: 100
I received the notice a few months ago and converted. Completely painless, as I already had both a mutual fund account and a brokerage account (to consolidate and hold the bits and pieces of individual stocks I had accumulated while trying to figure out the best time to sell them).

And I agree, much better to have all in one! When I opened my Vanguard accounts in May, I couldn't really understand why I had to have them separate in the first place.
__________________
ChicagoGal is online now   Reply With Quote
Old 12-17-2014, 11:50 AM   #16
Recycles dryer sheets
Willers's Avatar
 
Join Date: May 2013
Posts: 480
Quote:
Originally Posted by pb4uski View Post
Also, that I would have to set up all my bank accounts again. I kiddingly asked him if this was all part of their new customer inconvenience program. I'll probably wait until next year to do it.

I did the conversion and my bank info came over automatically. In fact, my account came over twice since our bank added an "optional" digit to our account which it added to the 2nd account setup. I guess I'll delete one.




Sent from my iPhone using Early Retirement Forum
__________________
“If you don't do it this year, you will be one year older when you do.” - Warren Miller
Willers is offline   Reply With Quote
Old 12-17-2014, 01:04 PM   #17
Thinks s/he gets paid by the post
grasshopper's Avatar
 
Join Date: Oct 2010
Posts: 1,669
Question how did the conversion affect Quicken if you did it. I still haven't been asked and already have brokerage and MF accounts along with retirement accounts.
__________________
For me experiences are not good or bad, just different
grasshopper is offline   Reply With Quote
Old 12-17-2014, 02:32 PM   #18
Recycles dryer sheets
Willers's Avatar
 
Join Date: May 2013
Posts: 480
I only use quicken updates for prices so I'm not sure about transactional links.


Sent from my iPhone using Early Retirement Forum
__________________
“If you don't do it this year, you will be one year older when you do.” - Warren Miller
Willers is offline   Reply With Quote
Old 12-17-2014, 03:12 PM   #19
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
 
Join Date: Nov 2007
Posts: 7,526
I hope we can opt out of any consolidation. Since DW still works for a FINRA regulated entity, we can't have a brokerage account at Vanguard (because it's not one of the approved custodians with our compliance department). We have extensive MF holdings at VG but will be out of compliance if they are held in a brokerage account at VG. DW will probably quit working soon anyway, so maybe this won't impact us.
__________________
Retired in 2013 at age 33. Keeping busy reading, blogging, relaxing, gaming, and enjoying the outdoors with my wife and 3 kids (5, 11, and 12).
FUEGO is offline   Reply With Quote
Old 12-17-2014, 05:31 PM   #20
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
braumeister's Avatar
 
Join Date: Feb 2010
Location: Northern Kentucky
Posts: 8,589
Quote:
Originally Posted by pb4uski View Post
... part of their new customer inconvenience program.
This is exactly the kind of thing that sent the majority of my portfolio over to Fidelity about seven or eight years ago. I've never been anything but happy with their customer service. I keep one account at Vanguard with a couple of funds in it, but that's it.
__________________

__________________
braumeister is online now   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
RV Upgrade Successful Rich_by_the_Bay Other topics 29 08-09-2007 01:59 PM
Software Upgrade/Conversion Tonight! Andy R Forum Admin 8 05-22-2007 11:28 AM
Slate: "The Best Computer Upgrade Ever" Nords Other topics 3 09-17-2006 09:17 AM
Video & RAM upgrade? Nords Other topics 25 05-07-2006 01:51 PM
DirecTV Tivo software upgrade problems KB Other topics 5 05-31-2005 12:55 PM

 

 
All times are GMT -6. The time now is 02:16 PM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.