ShokWaveRider
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
I moved from Vanguard to Schwab, we have an office relatively close by when we want to talk to someone face to face.
If you remember they used to charge the mutual fund accounts if they were less than a certain amount... not sure but I think it was $10 per quarter...
I never understood why people were reluctant to change to Vanguard brokerage accounts.
There are some pretty strict regulatory rules under the "Know your customer" and "Know your client" rubrics. From Investopedia:I never switched. A few years back when I got the message about switching, I happily logged on and started the process. It came to a questionnaire that asked ever more intrusive and personal questions as it progressed. They wanted to know my total net worth and where else I had accounts. Totally IMPERTINENT! I only "park" money there in a couple of index funds and have no intention of ever using them as a broker. That questionnaire was a full stop for me. There was no ability to skip those intrusive questions or to answer "NA". I would gladly have complied with their request to change the type of account save for the impertinent required questionnaire!
There are some pretty strict regulatory rules under the "Know your customer" and "Know your client" rubrics. From Investopedia:
FINRA Rule 2111 notes that a broker-dealer must have a reasonable belief that a recommendation is suitable for a customer based on the client’s financial situation and needs. This rule assumes that the broker-dealer has completed a review of the current facts and profile of the customer, including the customer’s other securities and investments before making any purchase, sale, or exchange of a security on the client's behalf.
Not sure what your beef is. What they "need to know" is whatever the regs say that they need to know. They are not going to tailor their SOPs for one relatively unprofitable customer. Do you expect them to do that?I have never and will never ask Vanguard for any recommendations. I have never asked them to be my "broker". As I said, I have only parked some money in their funds, period, end of story. They wanted me to update my account for their convenience, which I would have done. They've had my money for 25+ years and I have never contacted them for anything other than to change my address when I move. That's all they need to know.
Not sure what your beef is. What they "need to know" is whatever the regs say that they need to know. They are not going to tailor their SOPs for one relatively unprofitable customer. Do you expect them to do that?
Not sure what your beef is. What they "need to know" is whatever the regs say that they need to know. They are not going to tailor their SOPs for one relatively unprofitable customer. Do you expect them to do that?
Not sure what your beef is. What they "need to know" is whatever the regs say that they need to know. They are not going to tailor their SOPs for one relatively unprofitable customer. Do you expect them to do that?
But he wants to buy securities. "I have only parked some money in their funds ... " "I only "park" money there in a couple of index funds" Not sure how he can not have a broker/client relationship and still do that.... I think what EarlyandLate is saying is that s/he does not need, does not really want Vanguard as a broker (does not want a broker/client relationship.) Therefore, there is no need for Vanguard to know that info. ...
But he wants to buy securities. "I have only parked some money in their funds ... " "I only "park" money there in a couple of index funds" Not sure how he can not have a broker/client relationship and still do that.
I'm probably as private as anyone but I don’t see any logic in getting mad at someone who is simply complying with the regulations of their governing body. IMO life is too short to get spun up about things like that. He will run into basically the same thing anywhere he goes to open an account.
All I had to show was enough assets to meet their requirement.
This.
Just because they asked questions doesn't mean you have to tell them the truth and the whole truth. Just tell them what you need to get the account opened.
I recall moving from standard (or whatever the status was called) to "Admiral" shares which lowered fees at Vanguard. The savings were significant. YMMV
I see a difference between buying MFs and individual securities. If you don't, then we disagree about all this - and that's okay.
In any case, I've been with V for 25 years and never had these questions asked before (yeah, yeah, yeah, the law has changed - without really creating true fiduciary relationships.)
Well, I don't see a difference but your and my opinions really don't matter. I am pretty sure that the SEC does not see a difference. That matters.I see a difference between buying MFs and individual securities. If you don't, then we disagree about all this - and that's okay. ...
+1Well, I don't see a difference but your and my opinions really don't matter. I am pretty sure that the SEC does not see a difference. That matters.