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Old 02-01-2024, 02:20 PM   #21
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In general it goes like this:

pre-tax accounts: put all bonds here first

post-tax (Roth): all equity (tax inefficient funds go here before taxable)

taxable: all equity (most tax efficient funds here first)

This is a rule of thumb. The idea is to minimize the tax drag on your portfolio.
Thanks. The transfers are in process but I did an analysis and I can totally load the ROTH with all equities but my ira will still have to have some equities so that I can get to my asset allocation. My taxable will have some individual stocks that have LTC gains but I don't want to increase that any higher with equities because the rest is my liquid stash (couple years expenses).
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Old 02-01-2024, 02:27 PM   #22
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Up thread, it was said to buy an ETF versus a fund. Fidelity doesn't seem to have a total market ETF of their own. Their fund is FSKAX. Would it be better to get VTI through Fidelity (if I can), or is there a Fidelity branded ETF that I'm not seeing. I'm guessing VTI through Fidelity would have higher fees than their FSKAX fund.
FSKAX expense ratio is 0.015%
VTI expense ratio at Fido is 0.05% (There is no extra cost to buy or sell most (all?) ETF's.)
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Old 02-01-2024, 02:40 PM   #23
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Originally Posted by Jerry1 View Post
Up thread, it was said to buy an ETF versus a fund. Fidelity doesn't seem to have a total market ETF of their own. Their fund is FSKAX. Would it be better to get VTI through Fidelity (if I can), or is there a Fidelity branded ETF that I'm not seeing. I'm guessing VTI through Fidelity would have higher fees than their FSKAX fund.
VTI is a fine choice, and Fido doesn't charge fees for purchasing ETFs (confirm that before buying).

That being said, there may not be any material difference between a mutual fund and an ETF. Depending on how much you withdraw, your federal tax rate may be 0% for cap gains and unqualified dividends.

We hold FSKAX, and pay no income taxes on the distributions.
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Old 02-01-2024, 02:43 PM   #24
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I have VTI that I bought in my Fido account. They treat it the same as any other ETF.
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Old 02-01-2024, 03:09 PM   #25
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Up thread, it was said to buy an ETF versus a fund. Fidelity doesn't seem to have a total market ETF of their own. Their fund is FSKAX. Would it be better to get VTI through Fidelity (if I can), or is there a Fidelity branded ETF that I'm not seeing. I'm guessing VTI through Fidelity would have higher fees than their FSKAX fund.
You can buy iShares ETFs through Fidelity. iTOT is the total stock market ETF.
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Old 02-01-2024, 08:57 PM   #26
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I believe the conversion of VTSAX to the ETF VTI is done only at Vanguard & not at Fidelity. If one uses VTSAX or any non Fidelity Mutual Fund at Fidelity, a fee is charged.
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Old 02-01-2024, 09:40 PM   #27
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FSKAX expense ratio is 0.015%
VTI expense ratio at Fido is 0.05% (There is no extra cost to buy or sell most (all?) ETF's.)
VTI ER at Fidelity is 0.03%.
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Old 02-02-2024, 04:58 AM   #28
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I believe the conversion of VTSAX to the ETF VTI is done only at Vanguard & not at Fidelity. If one uses VTSAX or any non Fidelity Mutual Fund at Fidelity, a fee is charged.
A fee is charged for purchases for outside mutual funds. But not to sell. They also do not charge a fee for reinvestment of dividends.
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Old 02-02-2024, 06:30 AM   #29
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You can buy Total Stock Market ETF with different tickers. The expense ratios are very low (quoted above).

In the IRA and Roth, for the equity allocation, I'd go with Fidelity ZERO Total Market Index Fund FZROX. No expenses for the foreseeable future.
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Old 02-09-2024, 09:08 PM   #30
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Check out Paul Merrimanís 4 fund combo strategy - mix of small and large cap, value and blend. Does well over time and requires no thought or monitoring. I have my Roth assets and youngenís IRAís that we help them manage to compliment their company 401ks
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Old 02-10-2024, 02:56 AM   #31
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You can buy Total Stock Market ETF with different tickers. The expense ratios are very low (quoted above).

In the IRA and Roth, for the equity allocation, I'd go with Fidelity ZERO Total Market Index Fund FZROX. No expenses for the foreseeable future.
fidelity made up their own indexes so as not to have to pay to use the standardized ones most funds use .

not that it matters as it tracks pretty close but just something to be aware of
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Old 02-10-2024, 03:33 AM   #32
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The transfer is complete. I used Fidelity’s zero cost total market fund (FZROX) for all my equity holdings. The ROTH’s are 100% equity’s. Our fixed portion of the portfolio is CD’s and a MYGA (the MYGA is in my IRA and stayed with the FA - three years left on that). No bonds or bond funds. I may revisit that at some point. Our longest CD is one year. I’m pretty comfortable with my setup and will revisit things at the end of the year. My overall AA is 35 percent equities 55 percent fixed and 10 percent cash (mostly in a MM).

Pretty conservative but I’m more into “not losing” at this point than further accumulation. My pension and our SS make up about 90% of our spend so our withdrawal rate is very small.

Overall, I was happy with the FA but our situation is such that any value he had in the early years of retirement has passed and we’re on autopilot now. There’s no need to pay his fees any longer. An amicable separation.
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Old 02-10-2024, 06:36 AM   #33
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How does it take so long to transfer money between these various companies? I started a small transfer on Monday and still so sign of it by this morning. I could have walked it over myself in a wheelbarrow by now FFS.
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Old 02-10-2024, 06:39 AM   #34
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How does it take so long to transfer money between these various companies? I started a small transfer on Monday and still so sign of it by this morning. I could have walked it over myself in a wheelbarrow by now FFS.
I know. I had to liquidate and during the time of transfer, the market was hot. Frustrating but have to look at the big picture - itís a long game. Thankfully, everything did get there with no issues and Iím back up and running now.
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Old 02-10-2024, 11:41 AM   #35
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Up thread, it was said to buy an ETF versus a fund. Fidelity doesn't seem to have a total market ETF of their own. Their fund is FSKAX. Would it be better to get VTI through Fidelity (if I can), or is there a Fidelity branded ETF that I'm not seeing. I'm guessing VTI through Fidelity would have higher fees than their FSKAX fund.
Check out ITOT IShares Total Market ETF--we hold in our Fido accounts. Use Fido ETF Comparison tool to see other options and performance
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Old 02-10-2024, 01:06 PM   #36
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I know. I had to liquidate and during the time of transfer, the market was hot. Frustrating but have to look at the big picture - itís a long game. Thankfully, everything did get there with no issues and Iím back up and running now.
I'm in the process of moving most of my TSP over to Vanguard. Check should arrive any day, but it is about 1/3rd of my investments, so having it sit on the sidelines during this time is torture!
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Old 02-10-2024, 05:24 PM   #37
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I did one transfer to Schwab when offices closed for COVID. No problem, the check went to a processing office in Florida. Problem was that office was also getting deposits that previously were processed at the now-closed offices. Long delays. Somehow I was able to get someone on the phone. He found my check and it was processed that day.

So yes, it can be stressful.
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