steady saver
Recycles dryer sheets
- Joined
- Apr 10, 2013
- Messages
- 498
I'd like to hear your thoughts on Fidelity's SMAs AND how you would best approach using index funds in retirement that are already in a taxable account.
I have an individual account at Fidelity, along with our company 401K. In the individual account, I have cash, individual stocks, and index funds.
My Fidelity advisors suggested I consider an SMA to help introduce a tax managing strategy. The suggestion was to take the cash (about 150K, tax loss harvest some stocks, and start with about $250K to be managed through an SMA at a cost of .65%
My initial reactions was guarded skepticism, then I become intrigued (I need to take taxes into my retirement planning, something I've never looked at before). When it comes down to it, I'm still not sure it's right for me for 2 reasons:'
1. If I was simplifying it, then I could just continue with my stocks and do my own tax loss harvesting once a year,
2. I'm not clear that I'm necessarily coming out ahead enough to warrant someone else taking over that portion of my investments.
That said, my DH is all for letting someone else do the work. I understand that.
Since we have about 400K in index funds in that account (VTI and VB - way more in VTI...) then I'm still stuck with index funds in a taxable account that I'm not sure how best to use.
Would love to hear your thoughts on these issues.
Many thanks!
I have an individual account at Fidelity, along with our company 401K. In the individual account, I have cash, individual stocks, and index funds.
My Fidelity advisors suggested I consider an SMA to help introduce a tax managing strategy. The suggestion was to take the cash (about 150K, tax loss harvest some stocks, and start with about $250K to be managed through an SMA at a cost of .65%
My initial reactions was guarded skepticism, then I become intrigued (I need to take taxes into my retirement planning, something I've never looked at before). When it comes down to it, I'm still not sure it's right for me for 2 reasons:'
1. If I was simplifying it, then I could just continue with my stocks and do my own tax loss harvesting once a year,
2. I'm not clear that I'm necessarily coming out ahead enough to warrant someone else taking over that portion of my investments.
That said, my DH is all for letting someone else do the work. I understand that.
Since we have about 400K in index funds in that account (VTI and VB - way more in VTI...) then I'm still stuck with index funds in a taxable account that I'm not sure how best to use.
Would love to hear your thoughts on these issues.
Many thanks!