Stormy Kromer
Thinks s/he gets paid by the post
- Joined
- Oct 1, 2017
- Messages
- 1,159
I started investing with a FA about 25 years ago. He started us with a Roth IRA with a leading Mutual Fund Company using about 5 different funds. They took out large front end load on each contribution, about 5%. About 7 years ago when I ER'd I stopped contributing new money to the Roth. Then the FA switched us to a new Roth with Charles Schwabb that they manage under an AUM basis. It's baked in so deep I don't even know the annual charge. I've paid a lot of loads and annual fees.
I do know the Roth under management has lagged way behind the funds I manage myself with VG, mainly VTSAX. For example YTD VTSAX is up 17.99%. The Charles Schwabb Roth he has me in is up 9.06%. This is not just a one year event, its at least 5.
The Charles Schwabb setup that the FA manages consists of 4 Mutual Funds, 3 ETFs and 88 Individual Stocks. Seems to me that they want to make it look confusing. Trouble is this set up has never matched the S&P 500 in the years I've owned it.
I sold them all today and when the funds are available I'm going to put it all in VTSAX. I should point out that this is very long term money and I'll likely die with it. I'm 58. I'll tell my heirs to hang on to the same fund for the long run.
I feel better, should have done it years ago but I really thought it would perform better.
I do know the Roth under management has lagged way behind the funds I manage myself with VG, mainly VTSAX. For example YTD VTSAX is up 17.99%. The Charles Schwabb Roth he has me in is up 9.06%. This is not just a one year event, its at least 5.
The Charles Schwabb setup that the FA manages consists of 4 Mutual Funds, 3 ETFs and 88 Individual Stocks. Seems to me that they want to make it look confusing. Trouble is this set up has never matched the S&P 500 in the years I've owned it.
I sold them all today and when the funds are available I'm going to put it all in VTSAX. I should point out that this is very long term money and I'll likely die with it. I'm 58. I'll tell my heirs to hang on to the same fund for the long run.
I feel better, should have done it years ago but I really thought it would perform better.
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