Vanguard Notice About Fund Only Platform

[Midpack]

I moved all our VMMXX to online savings when interest cratered. Might as well make something on cash.

[target2019]

Quote:

Originally Posted by racy Come gather 'round, people Wherever you roam And admit that the waters Around you have grown And accept it that soon You'll be drenched to the bone If your time to you is worth savin' And you better start swimmin' Or you'll sink like a stone For the times they are a-changin' The Times They Are A-Changin' .... Bob Dylan

The Alamo - The Green Leaves of Summer
Dimitri Tiomkin
A time to be reapin', a time to be sowin'.
The green leaves of Summer are callin' me home.
'Twas so good to be young then, in a season of plenty,
When the catfish were jumpin' as high as the sky.
A time just for plantin', a time just for ploughin'.
A time to be courtin' a girl of your own.
'Twas so good to be young then, to be close to the earth,
And to stand by your wife at the moment of birth.

[RetiredAt55.5]

Quote:

Originally Posted by youbet The motivator for Vanguard no one seems to be mentioning is that they were losing some customers when the customers discovered that there were some products other than Vanguard MF's they might want to own and they want their holdings consolidated at one place.

That's not accurate though - Vanguard has offered ETFs and separate brokerage accounts for years.

The move to a consolidated account is a much more recent "feature".

[Cobra9777]

DW still has a small IRA at Fidelity in the old style, mutual-fund-only account. There's never been any request to move it or convert to a brokerage account.

That account holds our only Fidelity mutual fund. Everything else we own is Vanguard and iShares ETFs, all housed at Fidelity. I suppose I should move it to her other IRA at some point and convert to an ETF. That MF is actively managed with a high ER. But it's performed well over the decades and it's a small part of our overall portfolio, so I just don't pay much attention to it.

[easysurfer]

Quote:

Originally Posted by racy Come gather 'round, people Wherever you roam And admit that the waters Around you have grown And accept it that soon You'll be drenched to the bone If your time to you is worth savin' And you better start swimmin' Or you'll sink like a stone For the times they are a-changin' The Times They Are A-Changin' .... Bob Dylan

Yea- Hold on hold out, keep a hold on still
If you don't see what your love is worth
No one ever will
You've done your time on the bottom line
And it ain't no thrill
There's got to be something more
Keep a hold on still
You know what it is you're waiting for
Now you just hold on
Hold on hold out, hold on


From "Hold On Hold Out" .... Jackson Browne

[GTFan]

Started out converting IRA accounts to brokerage with no issues, then took the plunge and did the joint taxable account (big one for us) again with no issues. YMMV.

[Jeb-NY]

Switched all mine a couple of years ago when I wanted to set up a CD ladder in my 401K and couldn't figure out why I couldn't make it work. Completely painless, you don't have to keep money in the settlement account. My only glitch was I thought I got an extra 1099 the first year, since I switched mid year, I had one for the old account and one for the new. To my eyes they were the same account but on paper they were two different accounts. Open new, move everything over, close the old. No pain but more flexability. I don't think it has anything to do with phasing out mutual funds, just allows you to do new things in the same account.

[JeKa]

+1

[ArmchairMillionaire23]

Quote:

Originally Posted by easysurfer I just got another email from Vanguard asking to make the transition away from Mutual Funds only to the "new and improved" investment platform. At least now there is a year of 2022 or sooner to retire the old platform. I'm still loitering and lingering until the deadline comes closer as funds area all I need. Index investing and rebalance once a year. Don't need the fancy stuff .

I swapped over to the new platform last year. My only problem was that this year I was told to wait to file my taxes as I was to receive two sets of IRS forms. One set for my "old" accounts and one set for my brokerage accounts which would be late due to some reason or another.
Due to a death in my wife's family last year we were waiting for some estate tax forms anyway so it didn't really bother me all that much that I had to wait until the end of March to file our taxes but I would have been more upset if Vanguard was the only reason.

[pb4uski]

Quote:

Originally Posted by HNL Bill ....When I roll over my 401(k), I'll open another IRA account so that I can separately track the basis of the employer match for those funds. ...

Why? At least in my case I never got taxed on employer match so there is no basis... no different than pre-tax contributions to me.

[Bongleur]

On the 15th of... March? The day ETFs were selling at a discount to NAV -- I wanted to buy one, and I had a brokerage account as well as the Fund account. They would not let me buy, because I had no money in the brokerage settlement account.

They made me do a separate transaction to sell from the Fund account and transfer to the brokerage account -- and it took DAYS for the money to get there.

Sucks.

[Bongleur]

Quote:

Originally Posted by HNL Bill I've opened up a two extra accounts...[*]1 Rollover IRA[*]1 Inherited IRA[*]1 Brokerage (inheritance, not tax-deferred)[*]1 Brokerage (majority of taxable accounts)[*]1 Brokerage (annual expenses and new house fund where sales of equities with LTCGs resulting in 0% taxes go)[/LIST]

How do you set up SEPARATE accounts for the same SS or EIN number? How can you have several copies of the same fund or ETF?

[Palmtree]

I've stubbornly held out also but it seems like they are doing the full court push on me lately. Lots of email reminders to switch and pop-ups whenever I log in to Vanguard.com. I'd like to wait till Jan/2021 to make the switch. Just to avoid two sets of 1099s.

[MRG]

Quote:

Originally Posted by Bongleur How do you set up SEPARATE accounts for the same SS or EIN number? How can you have several copies of the same fund or ETF?

I'm not who you asked but if I understand the question.
You can have multiple accounts with the same SSN. The SSN is an attribute of the account not It's ownership. The full legal registration is what determines account ownership not SSN. The same applies to ownership of funds within different accounts. I own several different funds in both taxable and non-taxable accounts, no problem.

That's also the reason why you will get two set of tax documents when you upgrade from a fund account to a brokerage. The account charged not SSN.

[Jeb-NY]

Quote:

Originally Posted by Bongleur On the 15th of... March? The day ETFs were selling at a discount to NAV -- I wanted to buy one, and I had a brokerage account as well as the Fund account. They would not let me buy, because I had no money in the brokerage settlement account. They made me do a separate transaction to sell from the Fund account and transfer to the brokerage account -- and it took DAYS for the money to get there. Sucks.

If you're an active trader you need to leave money in the settlement account.

[jazz4cash]

I switched no big deal. If I didn’t trust them on something like this, I would take my funds elsewhere. I thought they explained that it was cheaper in the long run to be on a single modern platform. Having to maintain the legacy platform is increasing cost for all of us. I think there was a time when the crew went along with the Captain without so much skepticism.

[Texas Proud]

Quote:

Originally Posted by Bongleur How do you set up SEPARATE accounts for the same SS or EIN number? How can you have several copies of the same fund or ETF?

I am not the one you asked, but I have many accounts at Vanguard... most are styled different, (IRA, ROTH, etc.) but I do have 2 that are regular IRAs...


There is no restriction on opening up more than one account.. heck, I wished I would have opened another taxable account to move my mom's MFs into as they did NOT keep the basis separate but just put them in the pool... so now I have to keep track of my basis... another reason to leave Vanguard...

[HI Bill]

Quote:

Originally Posted by Bongleur How do you set up SEPARATE accounts for the same SS or EIN number? How can you have several copies of the same fund or ETF?

You just go to My Accounts, Open an Account. You can open as many accounts with the same SS or EIN as you want. Unfortunately, you can't name them, so you may end up with several brokerage accounts identified as:

Name - Brokerage - Account #

Each account can hold the same assets (ETFs or MFs) as the others, or can hold different assets. I hold VTI, VOO, VEA, and VUG in multiple accounts, for instance.

[HI Bill]

Quote:

Originally Posted by Texas Proud I am not the one you asked, but I have many accounts at Vanguard... most are styled different, (IRA, ROTH, etc.) but I do have 2 that are regular IRAs... There is no restriction on opening up more than one account.. heck, I wished I would have opened another taxable account to move my mom's MFs into as they did NOT keep the basis separate but just put them in the pool... so now I have to keep track of my basis... another reason to leave Vanguard...

I opened up a new account for inherited, non-IRA rollover, and another for FIRE expenses. Since the accounts have holdings that are different ages, the cost basis is different for each, which gives me flexibility in withdrawing funds to match my tax situation for the year.

[Texas Proud]

Quote:

Originally Posted by HNL Bill I opened up a new account for inherited, non-IRA rollover, and another for FIRE expenses. Since the accounts have holdings that are different ages, the cost basis is different for each, which gives me flexibility in withdrawing funds to match my tax situation for the year.

Yea, that is my problem... I thought that Vanguard would keep track of the step up in basis for me so I could sell whichever shares I wanted.... but NOOOO...


And they refuse to reverse the transfer from my old account into a new account even though I brought it up to them few days after transfer from the estate....