I am still in the process of moving Merrill Lunch funds to Vanguard. My plan was to move everything in-kind, then sell what does not have a back end sales charge and wait until it expires for those that do. Today my ML Financial Advisor left a message that my Merrill Lynch funds are proprietary funds and can't be held at another firm. VG had told me they could hold ML funds. Does anyone know who is right?
Proprietary Funds
- Thread starter smooch
- Start date
Smooch,
ML may be correct, I'm not sure what you bought so you'll have to do your own DD.
If the money is in tax deferred accounts I would pay the back end charges and move the money. Just make sure they don't send the check to you. It should go directly into a tax deferred account at Vanguard.
If it's a taxable account I would look at the total amount of fees and taxes and make a choice based on that info. That's a choice only you can make. If you can live with the fees and taxes I would just sell and get your monies in Vanguard ASAP and don't look back.
All of my money is now at Vanguard and some of it is still in Oppenheimer funds, but only the taxable accounts. I will have to do some DD and figure out if it pays to just get out or wait until I'm retired and in a lower tax bracket.
In the end you will feel better once it's all moved over.
Good luck
ML may be correct, I'm not sure what you bought so you'll have to do your own DD.
If the money is in tax deferred accounts I would pay the back end charges and move the money. Just make sure they don't send the check to you. It should go directly into a tax deferred account at Vanguard.
If it's a taxable account I would look at the total amount of fees and taxes and make a choice based on that info. That's a choice only you can make. If you can live with the fees and taxes I would just sell and get your monies in Vanguard ASAP and don't look back.
All of my money is now at Vanguard and some of it is still in Oppenheimer funds, but only the taxable accounts. I will have to do some DD and figure out if it pays to just get out or wait until I'm retired and in a lower tax bracket.
In the end you will feel better once it's all moved over.
Good luck
Vanguard lists ML funds on their web site which suggests that you can buy them through Vanguard. I suppose that doesn't necessarily mean that you can transfer an existing ML fund to you Vanguard account.
Why do you want to transfer administration of the ML funds to Vanguard? The only thing that will do is simplify your accounting a bit.
I agree with 73. I suggest that you look and see if it makes sense to sell the ML funds, take the tax consequence, and move the money into Vanguard funds.'
MB
Why do you want to transfer administration of the ML funds to Vanguard? The only thing that will do is simplify your accounting a bit.
I agree with 73. I suggest that you look and see if it makes sense to sell the ML funds, take the tax consequence, and move the money into Vanguard funds.'
MB
We transferred our Tweedy, Browne IRAs in-kind to Fidelity for three reasons:mb said:
- simpler IRA conversions to Roths (custodian's conventional IRA to the same custodian's Roth IRA)
- Tweedy insisted on charging their annual $10 IRA custodian fee (per IRA, so our Roth conversions at Tweedy would have cost $40/year)
- it boosted our assets under Fidelity's management above one of their breakpoints.
Fidelity charges $75 for buying Tweedy's funds but there's no fee for selling them. So we've spent nothing to obtain the above advantages.
Our intention is to sell the ML funds, but some have back-end charges. I thought it would be easier to move them in-kind to VG, then liquidate them as the sales charges go away. It would make it easier to just deal with VG instead of VG for some funds and ML for others. I guess I will liquidate them at ML and then move them. Thanks for the help!
mickeyd
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Two things to consider:
1. If your ML funds are in a taxable account (not an IRA) you should probably calculate how much in taxes you may incur. If they are in tax deferred funds, you will not have this problem.
2. I suggest that you consider the rollover the ML funds that have no back end load left as of now. Retain the ones that still have a back end load with ML and as they lose this expense, move them to VG.
1. If your ML funds are in a taxable account (not an IRA) you should probably calculate how much in taxes you may incur. If they are in tax deferred funds, you will not have this problem.
2. I suggest that you consider the rollover the ML funds that have no back end load left as of now. Retain the ones that still have a back end load with ML and as they lose this expense, move them to VG.
mickeyd
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Sounds like a plan. Let us know when you have it all set up with VG.
B
BabyApe
Guest
xxxx
Update: All non ML funds were moved with no problem. ML funds without the sales charge were liquidated, but the funds have not come over yet after two weeks. I finally called on Friday and as I expected, ML is giving me a story about Vanguard not doing things in the proper way, so now we start a few weeks of my money in limbo.
Brat
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
smooch said:
And if you believe that, I have a bridge for sale.
I wonder if ML would put in that statement in writing? Try something like, "Send me an e-mail detailing what they need to do and I will take care of that."
cute fuzzy bunny
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
"The proper way" == "not taking the money away before we can make a few extra bucks off of the float"
