Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Old 12-08-2012, 08:41 PM   #21
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: 16,428
Quote:
Originally Posted by Animorph View Post
Vanguard makes you hold mutual funds in a separate account from stocks/ETF's. That was one reason we ended up at Fidelity. With the separate accounts it will take 3 days to settle an ETF trade (industry standard, not Vanguard's fault), and then a day to transfer that cash to your MF account I guess. With Fidelity, they sort of float you a loan during the settlement period, which allows you to sell an ETF and buy a different ETF or mutual fund the same day with the sales proceeds. Standard brokerage procedure, but since Vanguard doesn't hold your MF's in a brokerage account it doesn't work with them.
A Vanguard rep recently told me that they plan to merge MF and brokerage accounts in 2013. My IRA currently has an MF account and a brokerage account but once they change it'll be just one account.
__________________

__________________
pb4uski 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 12-18-2012, 10:18 AM   #22
Confused about dryer sheets
MapleShade's Avatar
 
Join Date: Oct 2011
Posts: 1
Quote:
Originally Posted by audreyh1 View Post
Fidelity has a $75 transaction fee on Vanguard funds and some other fund families, other fund families are NTF (no transaction fee). It all depends on the agreement between Fidelity and the fund family. Transaction fees are usually required by the target fund company to protect their direct shareholders, and you can avoid them by investing directly with the fund company instead of through Fidelity's convenient "supermarket".

I own some transaction fee funds (transaction fee only apply when buying, not selling), and I usually wait until I have a large enough sum to invest to lower the impact of the transaction fee. Like say $10,000 min. If you are investing small amounts, you might want to consider transferring the assets directly to the MF company.
I have been at Fidelity for 20 years and own both Wellington and Wellesley. I paid the $75 transaction fee on my initial purchase of each. JFYI, for additional purchases, you can set up Automatic Investments to purchase additional amounts for only a $5 fee. It is a very flexible method to save on newer purchases. I have set it up for as little as two transactions,i.e, $5000 to invest, $2500 on Jan 5 and $2500 0n Feb 5. Total fee cost $10, saving $140. Then you don't have to wait for a larger amount to invest. You can even change the additional amounts after the first to whatever you need it to be, i.e., $2500 1/5 and $1000 2/5. You may want to look into it. Of course you could use equivalent ETF's for other Vanguard funds but Wellington and Wellesley don't have any.

Hope that helps
__________________

__________________
MapleShade is offline   Reply With Quote
Old 12-19-2012, 05:59 AM   #23
Dryer sheet aficionado
 
Join Date: Feb 2012
Posts: 33
Quote:
Originally Posted by MapleShade View Post
I have been at Fidelity for 20 years and own both Wellington and Wellesley. I paid the $75 transaction fee on my initial purchase of each. JFYI, for additional purchases, you can set up Automatic Investments to purchase additional amounts for only a $5 fee.

Hope that helps
It does help; so there are investors buying Vanguard funds at Fidelity. And being able to purchase additional amounts with automatic investments makes me want to look into a change (purchase) next year.
__________________

__________________
freetodream is offline   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


 

 
All times are GMT -6. The time now is 06:55 PM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.