Making Sure

[smooch]

I am in the process of moving my Merrill Lynch Funds to Vanguard. Several of my ML funds have a deferred load, so I asked the VG rep if I could hold the ML funds at VG until the time for the load expires. He said Yes. Does that sound right? I really don't want to pay that load!

I think it will be easier to move everything as is, then sell one fund at a time and purchase a VG fund each time. Does that sound like a logical plan?

 

[LOL!]

I think you will have to read the prospectus of the ML funds. I have some MorganStanley funds in my 401(k) and I seem to recall that you cannot even have those fund shares held anywhere but at MS.

OTOH, what's the big deal with keeping them at ML? Is there some additional fee that they are going to charge on top of the load already inherent in the fund shares?

 

[JPatrick]

Did you ask VG if there would be a fee (from them) to sell your ML funds after they are moved?  Not talking about the load, but rather  a service fee for the sell transaction.

 

[73ss454]

I am in the process of moving my Merrill Lynch Funds to Vanguard. Several of my ML funds have a deferred load, so I asked the VG rep if I could hold the ML funds at VG until the time for the load expires. He said Yes. Does that sound right? I really don't want to pay that load!

I think it will be easier to move everything as is, then sell one fund at a time and purchase a VG fund each time. Does that sound like a logical plan?

Smooch,

I'm doing the same thing as you as we speak. Just get everything over to vanguard and worry about it later. It'll be great just knowing that your broker isn't getting the 12B1 fees.

I have been running into a lot of problems doing the transaction but I'm determined to get it done.

You will have to open a brokerage account with vanguard though.
There shouldn't be any costs involved as long as the amount is over 3K I think. What ever the figure is it's not much.

Good luck.

 

[LOL!]

I just looked at my brokerage account at TDWaterhouse. I am allowed to buy/sell/exchange ML funds there. So I can extrapolate that since ML allows its funds to be traded by a non-ML discount broker, that they allow them to be traded by Vanguard, and the VG rep is sounding right.

 

[BUM]

Smooch,

I'm doing the same thing as you as we speak. Just get everything over to vanguard and worry about it later. It'll be great just knowing that your broker isn't getting the 12B1 fees.

I have been running into a lot of problems doing the transaction but I'm determined to get it done.

You will have to open a brokerage account with vanguard though.
There shouldn't be any costs involved as long as the amount is over 3K I think. What ever the figure is it's not much.

Good luck.

Smooch,


I agree with '73. I did the same thing in January of 2005. I took the hit on several funds that I never should have allowed myself to get talked into buying in the first place. Good riddence! Once my accounts were set up at VG I was able to pick and choose what I wanted. Havent regretted the move.

Git 'er done!

 

[smooch]

Thanks for the answers. I am moving the funds because I want to get rid of them and invest in Vanguard funds instead. I thought it would be asier to move everything. Then, when it gets to VG, I could sell all but the deferred load ones and sell them when the time for the load passes. I will check with VG on the fees to sell.

 

[SamHouston]

Thanks for the answers. I am moving the funds because I want to get rid of them and invest in Vanguard funds instead. I thought it would be asier to move everything. Then, when it gets to VG, I could sell all but the deferred load ones and sell them when the time for the load passes. I will check with VG on the fees to sell.

That's exactly what I'm doing with my Ameriprise/American Express accounts...I'm only a couple of weeks into the process but the ball is rolling. The only things I couldn't move in-kind, according to Ameriprise, were an annuity with IDS and a REIT with Boston Capital. All the other accounts and the various mutual funds within those accounts are being moved over in-kind from Ameriprise and then I'll judge when to move them over into Vanguard funds.

Ameriprise is charging me $250 in fees, per account, to move them over ($110 per Roth Account), so I'm looking at $720 for the paperwork, but I'll make that up in three months of not paying their "wrap fees."