Wells Fargo Dsip

[HappyEarlyRetirementForum]

Does anyone know how these will work? Have experience with these funds? is it a fund or a trust?

I think the ticker is FCOLOX. It is a Wells fargo diversifed stock income plan? But it is run by another company?

The info I have is:

that its a standard usa blue chip stocks that pay div fund
.24 cents a share annual dividend?
The cost is aound 10.00
load is 2.5% & fees are 1.0% per year

I know this is a vangaurd board. However, my broker will not sell vangaurd funds.

My idea is to use it to replace FRDPX. Is this a bad idea?

 

[Ed_The_Gypsy]

Personally, I would not touch a Wells Fargo product.

Why do you need a broker?

 

[yakers]

I thought all the VG funds are available at WF and free of transaction costs if you have a PMA account. Only requires $25K in some account at WF. I get VG ETFs in my WF trading account at no charge.

 

[73ss454]

I know this is a vangaurd board. However, my broker will not sell vangaurd funds.


You have a broker because.......

 

[HappyEarlyRetirementForum]

I thought all the VG funds are available at WF

It's not really Wells Fargo but Wells Fargo advisors.

Anyway, they will not sell me vangaurd funds. & it is in the account fine print that they do not have an agreement with vangaurd fund families.

He can't help me with vangaurd funds. I don't know why.


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About the DSIP: is this correct?

1.) They run for year.
2.) At the end of the year they disolve the trust and pay dividends of .24 cents a share.
3.) The creation fee was 2.5% and the wrap and administation fee totals 1.0%
4.) At the end of the year I just lost 1%. In other words, the bet only pays off if the market is up more than 1%

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this right? It sounds like DSIP are a scam. I don't know how it works.

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[braumeister]

Have you read through the prospectus to try to learn how it works?
That would be the logical first step. Sounds like you're just quoting a summary.

 

[PaddyMac]

"It's not really Wells Fargo but Wells Fargo advisors.
Anyway, they will not sell me vangaurd funds. & it is in the account fine print that they do not have an agreement with vangaurd fund families."

We have a PMA account and our brokerage accounts are at Wells Fargo as well. We buy and sell Vanguard funds all the time. Slow down and do a little more research. And if you know how to use the internet, you don't need a broker.

 

[HappyEarlyRetirementForum]

Thanks for the replies.


Yeah, I read the prospectus.

The Term is 15 months. However, in the prospectus they don't say how you roll over the DSIP into the new DSIP. The big question is, "Do you have to pay the creation fee of 2.5% again to enroll in the next DSIP?

I was thinking another person must have experience with these programs.


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When you buy the Vangaurd funds with wells advisors, do you have to pay a wrap fee?

What I understand is I pay fund fees or a wrap. It is my choice as a Wells Client? I thought I was going to a discount broker with an annual fee of $60.00.

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[HappyEarlyRetirementForum]

Thanks.

Say, I just wanted to bump my old thread.

Have a question about Wells Advisors:

Being told they can only sell Vangaurd Funds if I enter the wrap program.

When I read my opening account manual, It is stated that to buy no load funds is a $50.00 fee. However, Vangaud is not listed as one of Wells fund famliy companies.

Anway, is this how it works at wells? Pervious posters have said they buy Vangaurd at Wells? How are you doing that? I'm just double checking.

They give me 3 choices:

1.) Leave
2.) Buy Funds and pay the load or enter at a break point
3.) Join the custom wrap progam @ 1% a year. Then I can buy Vangurad.

 

[2B]

Thanks.

Say, I just wanted to bump my old thread.

Have a question about Wells Advisors:

Being told they can only sell Vangaurd Funds if I enter the wrap program.

When I read my opening account manual, It is stated that to buy no load funds is a $50.00 fee. However, Vangaud is not listed as one of Wells fund famliy companies.

Anway, is this how it works at wells? Pervious posters have said they buy Vangaurd at Wells? How are you doing that? I'm just double checking.

They give me 3 choices:

1.) Leave
2.) Buy Funds and pay the load or enter at a break point
3.) Join the custom wrap progam @ 1% a year. Then I can buy Vangurad.

The decision is obvious.....LEAVE

An earlier post said this was a Vanguard board. It isn't. Even on the Boglehead forum, named in honor of Jack Bogle, people discuss funds other than Vanguard.

 

[PaddyMac]

We are with Wells Fargo Advisors and buy Vanguard with no fees. We opened our own brokerage account, with no advisor; I think they call it a "self-directed" account (or as WF call it, "investing on your own"). We log in online, and buy anything we want. Rarely we've found funds that they don't offer, so we pick something else, but Vanguard is well represented as far as I can see.

By the way, if you have at least $25,000 invested there are no transaction fees if you open a WF PMA account. Then you will get 100 free trades a year per account. Since we have 6 accounts - we both have SEP-IRA accounts, Roth-IRA accounts, and two taxable accounts, that's 600 free trades. If that isn't enough, just open another account! All the accounts show up in one online window, with one login. If you're a couple, then you get to see your accounts and your partner will see his/her accounts only - so go to the trouble of getting a power of attorney and then you can add the other accounts to your login. We usually just use one login and see everything.

BTW, with a PMA account, you get free checking as well.

 

[PaddyMac]

I just logged into regular Wells Fargo and clicked on Open an Account

call their number 1-877-493-4727

https://www.wellsfargo.com/investing/retirement/ira/select/wellstrade?mplx=6886-129331-3408-8

Although it says "Wells Fargo" the trading arm is handled by WF Advisors. Perhaps you're starting with the WF Advisors website, which assumes you need a broker and want to pay 1% to have them buy stuff for you.

 

[ziggy29]

An earlier post said this was a Vanguard board. It isn't. Even on the Boglehead forum, named in honor of Jack Bogle, people discuss funds other than Vanguard.

True. But there's really little question about which fund family gets most of the love here.

 

[2B]

True. But there's really little question about which fund family gets most of the love here.

And deservedly so.....

I only have Vanguard ETFs and mutual funds except in my SERP and 401k accounts.

 

[HappyEarlyRetirementForum]

Great!!! Thanks.

I think I get it.

I opened the wrong account @ Wells Advisors?

What I wanted was a Wells Trade Brokerage Account.



I don't want to open the account over the phone or online. My Wells Advisor FA is not going to transfer me. I think its the same company?

Can I just go to a wells frago bank? You know I already have opened a Wells Advisors account. Kind of confusing the hell out me. I guess its all phone centers now.

 

[LOL!]

It is still not clear to me that you got it. A Wells Trade brokerage account is very expensive UNLESS YOU LINK IT WITH THE WellsFargo PMA relationship checking account AND KEEP $25,000 in assets COMBINED in your accounts.

You can go into the bank to open a Wells Fargo PMA checking account and deposit $25,000 into it. The brick & mortar bank and the people inside it will be TOTALLY CLUELESS about the WellsTrade brokerage account which is 100% online or by phone. The people in the bank will NOT BE ABLE TO HELP YOU.

That said, the WF PMA relationship is one of the best deals going: Really free checking and free brokerage trades, but you must meet the requirements.

 

[PaddyMac]

Wells Fargo Bank and the Brokerage account can be linked up via your PMA account so you see everything online on one page. However, they are very different entities (despite the name). I would start with opening the PMA account and deposit $25K. Then everything is free - including money orders, international money orders, everything. You should even get a "fast" line at the bank for "premium" members if you have a busy branch. You will also get the number of a private banker who is there to assist with any enquiries (not sure if this involves a certain limit - can't remember now!). I believe you also get slightly better rates for their High-Yield Savings account, although it's still next to nothing!

Once the PMA account is open, it will be easier to open the brokerage account, transfer over the money, and link it so you see all your accounts online. You PMA checking account number becomes your master number. So yes, I would start at the branch. We do use our checking account, so make sure that there's no problem with keeping a nominal amount in it if that's what you want to do.

 

[HappyEarlyRetirementForum]

Working on opening the account and made it far enough that I can browse the trading area.

Have a question about the wells trade account.

For example, I want to buy VDAIX.

The question is can I buy this fund online?

When I go to the trade screen there is a blue link "Mutual Funds Available for online trading in this account." When I click the link and search for the fund VDAIX it can't be found.

However, If I go to the blue "quote" link and type in VDAIX an information pop window displays the info. In that window is a blue "trade" link. After clicking the trade link, the trade screen now has VDAIX typed into the screen. All that is left is to fill out the boxes.

I'm wondering why I can't find VDAIX in the blue link "Mutual Funds Available for online trading in this account." Or can I just type in any symbol and submit the trade?

I have been able to quote all the funds I want to buy.

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One more question about setting up the dividends. I have not been able to find a button or page that allows me to set up how the fund div are paid.

I was asked on the phone, but didn't understand. I want some funds to reinvest and some to produce income. Where do I set these options? I was wondering if these options are set when you preview your order??

 

[LOL!]

I cannot answer your questions as I no longer buy Vanguard mutual funds through WellsTrade. They changed their software in January 2011 and confused a bunch of people. I suggest you try to make the trade until the "confirm" button and see what happens. Then call up the customer service rep (they have always been superb to me) and ask them.

In January, they were getting a lot of calls about this according to chat rooms and the CSRs were clueless. Maybe they are less clueless now.

When I had funds, I was able to specify what to do with the distributions, so I would not worry about that.

And then please report back here when you've made the trade. Thanks!