Should I transfer my Roth IRA from Edward Jones?

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Re: Should I transfer my Roth IRA from Edward Jones?

Post by Vanguard User »

hnd wrote: Tue Jun 01, 2021 5:08 pm a mutual fund is a mechanism in which many people pool money and invest the money in securities. Those securities could be a selection of stocks and bonds picked by a team of analysts and fund managers. or they could be an unmanaged group of securities that are grouped based of a specific index.

mutual funds that follow their indexes are often called index funds. they are still mutual funds. the "mutual" part comes from how the funds are funded not by what they are invested in.
Thanks.
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by Vanguard User »

NativeTxn wrote: Tue Jun 01, 2021 5:17 pm
Vanguard User wrote: Tue Jun 01, 2021 4:45 pm
NativeTxn wrote: Tue Jun 01, 2021 4:23 pm
Vanguard User wrote: Mon May 31, 2021 9:52 pm
NativeTxn wrote: Mon May 31, 2021 9:36 pm

I mean, it's always going to be the most simplistic with the fewest funds needed to achieve your goals. That's why some people recommend VT rather than VTI+VXUS - it gets you basically the same coverage as the two funds but you only have to hold one.

I just prefer ETFs, especially since Fidelity allows fractional shares so it's easy to keep all of my money invested if I want to. So, I don't mix mutual funds and ETFs in the same account.

I was merely saying that if you really want to go 50% VTI and 50% FSKAX, I personally don't see anything wrong with that. Unless someone is just really pro MF, I honestly don't see the need to split it up that way, but I don't see anything inherently wrong with the concept.
FSKAX is a MF?
Correct.
Why is it called index funds?
An index fund, in this case, is simply a type of mutual fund that tracks a certain index. In the case of FSKAX, it tracks the Dow Jones U.S. Total Stock Market Index (VTSAX tracks the CRSP U.S. Total Market Index).

Not all mutual funds are index funds - ex: there are plenty of actively managed funds - but if the mutual fund is an index fund, it will usually note that in the name of the fund.
I thought FSKAX and VTSAX were identical tracking the index 500?
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Re: Should I transfer my Roth IRA from Edward Jones?

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Vanguard User wrote: Tue Jun 01, 2021 6:22 pm I thought FSKAX and VTSAX were identical tracking the index 500?
You need to learn to research and if you'd looked at the link I gave you before you'd know that FSKAX follows Dow Jones U.S. Total Stock Market Index and you could also look up VTSAX to find its index.
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by Vanguard User »

placeholder wrote: Tue Jun 01, 2021 6:34 pm
Vanguard User wrote: Tue Jun 01, 2021 6:22 pm I thought FSKAX and VTSAX were identical tracking the index 500?
You need to learn to research and if you'd looked at the link I gave you before you'd know that FSKAX follows Dow Jones U.S. Total Stock Market Index and you could also look up VTSAX to find its index.
Yes. Sorry I did not look at the link.
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by ruralavalon »

placeholder wrote: Tue Jun 01, 2021 6:34 pm
Vanguard User wrote: Tue Jun 01, 2021 6:22 pm I thought FSKAX and VTSAX were identical tracking the index 500?
You need to learn to research and if you'd looked at the link I gave you before you'd know that FSKAX follows Dow Jones U.S. Total Stock Market Index and you could also look up VTSAX to find its index.
The two funds are very similar. Neither fund uses the S&P 500 index.

Look up Vanguard Total Stock Market Index Fund Admiral Shares (VTSAX) on the Vanguard website. Use the "portfolio and management" tab, then "strategy and policy" to see the index used.

Look up Fidelity® Total Market Index Fund (FSKAX) on the Fidelity website, scroll down to "strategy" to see the index used.
"Everything should be as simple as it is, but not simpler." - Albert Einstein | Wiki article link: Bogleheads® investment philosophy
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by Vanguard User »

ruralavalon wrote: Tue Jun 01, 2021 6:52 pm
placeholder wrote: Tue Jun 01, 2021 6:34 pm
Vanguard User wrote: Tue Jun 01, 2021 6:22 pm I thought FSKAX and VTSAX were identical tracking the index 500?
You need to learn to research and if you'd looked at the link I gave you before you'd know that FSKAX follows Dow Jones U.S. Total Stock Market Index and you could also look up VTSAX to find its index.
The two funds are very similar. Neither fund uses the S&P 500 index.

Look up Vanguard Total Stock Market Index Fund Admiral Shares (VTSAX) on the Vanguard website. Use the "portfolio and management" tab, then "strategy and policy" to see the index used.

Look up Fidelity® Total Market Index Fund (FSKAX) on the Fidelity website, scroll down to "strategy" to see the index used.
Thanks.
nephromancer
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by nephromancer »

Get out now.
Any of the 3 choices mentioned should be fine. Schwab and Fidelity have long ago recognized that the future for them was adopting a Vanguard like model. Of course Vanguard is still Vanguard and still is very tax efficient. If you already have a Fidelity account you could use that as the safe landing place. it is far easier to keep track of things on a single platform, even if you can in fact buy and hold preferred Schwab or Vanguard funds. It is more laborious to move the money around, should you choose to do so, if the funds are not all from the same Investment Management Company.

That said, I suggest you follow Sutton's Law, and echoing the sentiment expressed by Bonehead 3, I suggest you ask your self why you are allowing this company to fleece you. I have always enjoyed this brief vignette by Bill Bernstein and it echoes Bonehead 3's opinion of most, if not all, Investment Advisors or Investment Management Companies. I submit for your entertainment, Bequeathing Your Assets to Your Broker, a study of human nature. http://www.efficientfrontier.com/ef/996/broker.htm

I don't post much here but I hate seeing a person being actively drowned by people without any concept of Fiduciary Duty. Reminds me of me, before I heard of John Bogle and William Bernstein, circa 2008, and jumped to Vanguard via Employee Fiduciary from my John Hancock 401k. I made all of my money in the last 13 years by taking their advice seriously.

As for me, I am increasingly enamored of the simple strategies presented elsewhere on this forum, the 3 or 4 fund portfolios. They will beat 98% of active management investors. KISS

Per another Poster David Jay

The enemy of "staying the course" with a good plan is constantly searching for the perfect plan.
Pick an allocation. Stay with it.
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by Vanguard User »

nephromancer wrote: Tue Jun 01, 2021 8:21 pm Get out now.
Any of the 3 choices mentioned should be fine. Schwab and Fidelity have long ago recognized that the future for them was adopting a Vanguard like model. Of course Vanguard is still Vanguard and still is very tax efficient. If you already have a Fidelity account you could use that as the safe landing place. it is far easier to keep track of things on a single platform, even if you can in fact buy and hold preferred Schwab or Vanguard funds. It is more laborious to move the money around, should you choose to do so, if the funds are not all from the same Investment Management Company.

That said, I suggest you follow Sutton's Law, and echoing the sentiment expressed by Bonehead 3, I suggest you ask your self why you are allowing this company to fleece you. I have always enjoyed this brief vignette by Bill Bernstein and it echoes Bonehead 3's opinion of most, if not all, Investment Advisors or Investment Management Companies. I submit for your entertainment, Bequeathing Your Assets to Your Broker, a study of human nature. http://www.efficientfrontier.com/ef/996/broker.htm

I don't post much here but I hate seeing a person being actively drowned by people without any concept of Fiduciary Duty. Reminds me of me, before I heard of John Bogle and William Bernstein, circa 2008, and jumped to Vanguard via Employee Fiduciary from my John Hancock 401k. I made all of my money in the last 13 years by taking their advice seriously.

As for me, I am increasingly enamored of the simple strategies presented elsewhere on this forum, the 3 or 4 fund portfolios. They will beat 98% of active management investors. KISS

Per another Poster David Jay

The enemy of "staying the course" with a good plan is constantly searching for the perfect plan.
Pick an allocation. Stay with it.
I have 401k, ESPP and pension with Fidelity since 2007. They will credit my $135.
DRC67
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by DRC67 »

I got out of Edward Jones in December of 2020. It cost me $190.00 to transfer two accounts over to Vanguard. I gave vanguard my account numbers and the ticker symbols and they did the transfer, it took about two weeks. My Edward Jones advisor wanted to know why, I told her that Edward Jones fees were to high. She was quite upset with me but I know I am better off with Vanguard, no front loaded funds, no 12b1 fees and lower expense ratio. It was a win win for me. Get out and don't look back.
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by Vanguard User »

DRC67 wrote: Tue Jun 01, 2021 8:45 pm I got out of Edward Jones in December of 2020. It cost me $190.00 to transfer two accounts over to Vanguard. I gave vanguard my account numbers and the ticker symbols and they did the transfer, it took about two weeks. My Edward Jones advisor wanted to know why, I told her that Edward Jones fees were to high. She was quite upset with me but I know I am better off with Vanguard, no front loaded funds, no 12b1 fees and lower expense ratio. It was a win win for me. Get out and don't look back.
Vanguard didn’t credit you $190. Fidelity would have.
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by DRC67 »

Vanguard didn’t credit you $190. Fidelity would have.
[/quote]

No Vanguard did not credit me the $190.00. I went with Vanguard because I have my 401K with them and I am happy with the growth that my 401K has done. I have them manage my 401K and my Traditional IRA and Roth IRA that I moved in December. I am just happy to be rid of Edward Jones.
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by Vanguard User »

DRC67 wrote: Tue Jun 01, 2021 10:31 pm Vanguard didn’t credit you $190. Fidelity would have.
No Vanguard did not credit me the $190.00. I went with Vanguard because I have my 401K with them and I am happy with the growth that my 401K has done. I have them manage my 401K and my Traditional IRA and Roth IRA that I moved in December. I am just happy to be rid of Edward Jones.
[/quote]

Oh ok. Vanguard manages it for free?

How long were you with EJ?
DRC67
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by DRC67 »

Oh ok. Vanguard manages it for free?

How long were you with EJ?
[/quote]

No Vanguard does not manage it for free. They Charge 0.3% to manage it. I was with Edward Jones for about 17 years. I found the Bogleheads site and read a lot to educate myself and realized that Edward Jones was costing me a lot of money and I felt Vanguard was a better fit, way lower fees letting me keep more of my money for myself and not for the advisor.
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Re: Should I transfer my Roth IRA from Edward Jones?

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Vanguard User wrote: Tue Jun 01, 2021 8:28 pm
nephromancer wrote: Tue Jun 01, 2021 8:21 pm Get out now.
Any of the 3 choices mentioned should be fine. Schwab and Fidelity have long ago recognized that the future for them was adopting a Vanguard like model. Of course Vanguard is still Vanguard and still is very tax efficient. If you already have a Fidelity account you could use that as the safe landing place. it is far easier to keep track of things on a single platform, even if you can in fact buy and hold preferred Schwab or Vanguard funds. It is more laborious to move the money around, should you choose to do so, if the funds are not all from the same Investment Management Company.

That said, I suggest you follow Sutton's Law, and echoing the sentiment expressed by Bonehead 3, I suggest you ask your self why you are allowing this company to fleece you. I have always enjoyed this brief vignette by Bill Bernstein and it echoes Bonehead 3's opinion of most, if not all, Investment Advisors or Investment Management Companies. I submit for your entertainment, Bequeathing Your Assets to Your Broker, a study of human nature. http://www.efficientfrontier.com/ef/996/broker.htm

I don't post much here but I hate seeing a person being actively drowned by people without any concept of Fiduciary Duty. Reminds me of me, before I heard of John Bogle and William Bernstein, circa 2008, and jumped to Vanguard via Employee Fiduciary from my John Hancock 401k. I made all of my money in the last 13 years by taking their advice seriously.

As for me, I am increasingly enamored of the simple strategies presented elsewhere on this forum, the 3 or 4 fund portfolios. They will beat 98% of active management investors. KISS

Per another Poster David Jay

The enemy of "staying the course" with a good plan is constantly searching for the perfect plan.
Pick an allocation. Stay with it.
I have 401k, ESPP and pension with Fidelity since 2007. They will credit my $135.
So go ahead and do the rollover from Edward Jones to a Roth IRA with Fidelity, stop overthinking this.
"Everything should be as simple as it is, but not simpler." - Albert Einstein | Wiki article link: Bogleheads® investment philosophy
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by Vanguard User »

DRC67 wrote: Wed Jun 02, 2021 6:57 am Oh ok. Vanguard manages it for free?

How long were you with EJ?
No Vanguard does not manage it for free. They Charge 0.3% to manage it. I was with Edward Jones for about 17 years. I found the Bogleheads site and read a lot to educate myself and realized that Edward Jones was costing me a lot of money and I felt Vanguard was a better fit, way lower fees letting me keep more of my money for myself and not for the advisor.
[/quote]

I was with EJ since early 2007. Looks like we were in the same boat. Same here, I read about it here and other sites as well.

0.3% of your total portfolio yearly?
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by Vanguard User »

ruralavalon wrote: Wed Jun 02, 2021 9:42 am
Vanguard User wrote: Tue Jun 01, 2021 8:28 pm
nephromancer wrote: Tue Jun 01, 2021 8:21 pm Get out now.
Any of the 3 choices mentioned should be fine. Schwab and Fidelity have long ago recognized that the future for them was adopting a Vanguard like model. Of course Vanguard is still Vanguard and still is very tax efficient. If you already have a Fidelity account you could use that as the safe landing place. it is far easier to keep track of things on a single platform, even if you can in fact buy and hold preferred Schwab or Vanguard funds. It is more laborious to move the money around, should you choose to do so, if the funds are not all from the same Investment Management Company.

That said, I suggest you follow Sutton's Law, and echoing the sentiment expressed by Bonehead 3, I suggest you ask your self why you are allowing this company to fleece you. I have always enjoyed this brief vignette by Bill Bernstein and it echoes Bonehead 3's opinion of most, if not all, Investment Advisors or Investment Management Companies. I submit for your entertainment, Bequeathing Your Assets to Your Broker, a study of human nature. http://www.efficientfrontier.com/ef/996/broker.htm

I don't post much here but I hate seeing a person being actively drowned by people without any concept of Fiduciary Duty. Reminds me of me, before I heard of John Bogle and William Bernstein, circa 2008, and jumped to Vanguard via Employee Fiduciary from my John Hancock 401k. I made all of my money in the last 13 years by taking their advice seriously.

As for me, I am increasingly enamored of the simple strategies presented elsewhere on this forum, the 3 or 4 fund portfolios. They will beat 98% of active management investors. KISS

Per another Poster David Jay

The enemy of "staying the course" with a good plan is constantly searching for the perfect plan.
Pick an allocation. Stay with it.
I have 401k, ESPP and pension with Fidelity since 2007. They will credit my $135.
So go ahead and do the rollover from Edward Jones to a Roth IRA with Fidelity, stop overthinking this.
Little nervous but I will start the process online from Fidelity.
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ruralavalon
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by ruralavalon »

Vanguard User wrote: Wed Jun 02, 2021 12:39 pm
ruralavalon wrote: Wed Jun 02, 2021 9:42 am
Vanguard User wrote: Tue Jun 01, 2021 8:28 pm
nephromancer wrote: Tue Jun 01, 2021 8:21 pm Get out now.
Any of the 3 choices mentioned should be fine. Schwab and Fidelity have long ago recognized that the future for them was adopting a Vanguard like model. Of course Vanguard is still Vanguard and still is very tax efficient. If you already have a Fidelity account you could use that as the safe landing place. it is far easier to keep track of things on a single platform, even if you can in fact buy and hold preferred Schwab or Vanguard funds. It is more laborious to move the money around, should you choose to do so, if the funds are not all from the same Investment Management Company.

That said, I suggest you follow Sutton's Law, and echoing the sentiment expressed by Bonehead 3, I suggest you ask your self why you are allowing this company to fleece you. I have always enjoyed this brief vignette by Bill Bernstein and it echoes Bonehead 3's opinion of most, if not all, Investment Advisors or Investment Management Companies. I submit for your entertainment, Bequeathing Your Assets to Your Broker, a study of human nature. http://www.efficientfrontier.com/ef/996/broker.htm

I don't post much here but I hate seeing a person being actively drowned by people without any concept of Fiduciary Duty. Reminds me of me, before I heard of John Bogle and William Bernstein, circa 2008, and jumped to Vanguard via Employee Fiduciary from my John Hancock 401k. I made all of my money in the last 13 years by taking their advice seriously.

As for me, I am increasingly enamored of the simple strategies presented elsewhere on this forum, the 3 or 4 fund portfolios. They will beat 98% of active management investors. KISS

Per another Poster David Jay

The enemy of "staying the course" with a good plan is constantly searching for the perfect plan.
Pick an allocation. Stay with it.
I have 401k, ESPP and pension with Fidelity since 2007. They will credit my $135.
So go ahead and do the rollover from Edward Jones to a Roth IRA with Fidelity, stop overthinking this.
Little nervous but I will start the process online from Fidelity.
Please post back to let us know after the account is rolled over to a Roth IRA at Fidelity.
"Everything should be as simple as it is, but not simpler." - Albert Einstein | Wiki article link: Bogleheads® investment philosophy
Gadget
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by Gadget »

You have stumbled upon the topic that 100% of bogleheads agree on. Edward Jones is terrible and you should get out.

I think you've gotten the gist of all the reasons why, but if you're willing to read a big story, this is full of reasons why no one should be at Edward Jones:
http://kronstantinople.blogspot.com/p/e ... -saga.html
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by Vanguard User »

ruralavalon wrote: Wed Jun 02, 2021 12:50 pm
Vanguard User wrote: Wed Jun 02, 2021 12:39 pm
ruralavalon wrote: Wed Jun 02, 2021 9:42 am
Vanguard User wrote: Tue Jun 01, 2021 8:28 pm
nephromancer wrote: Tue Jun 01, 2021 8:21 pm Get out now.
Any of the 3 choices mentioned should be fine. Schwab and Fidelity have long ago recognized that the future for them was adopting a Vanguard like model. Of course Vanguard is still Vanguard and still is very tax efficient. If you already have a Fidelity account you could use that as the safe landing place. it is far easier to keep track of things on a single platform, even if you can in fact buy and hold preferred Schwab or Vanguard funds. It is more laborious to move the money around, should you choose to do so, if the funds are not all from the same Investment Management Company.

That said, I suggest you follow Sutton's Law, and echoing the sentiment expressed by Bonehead 3, I suggest you ask your self why you are allowing this company to fleece you. I have always enjoyed this brief vignette by Bill Bernstein and it echoes Bonehead 3's opinion of most, if not all, Investment Advisors or Investment Management Companies. I submit for your entertainment, Bequeathing Your Assets to Your Broker, a study of human nature. http://www.efficientfrontier.com/ef/996/broker.htm

I don't post much here but I hate seeing a person being actively drowned by people without any concept of Fiduciary Duty. Reminds me of me, before I heard of John Bogle and William Bernstein, circa 2008, and jumped to Vanguard via Employee Fiduciary from my John Hancock 401k. I made all of my money in the last 13 years by taking their advice seriously.

As for me, I am increasingly enamored of the simple strategies presented elsewhere on this forum, the 3 or 4 fund portfolios. They will beat 98% of active management investors. KISS

Per another Poster David Jay

The enemy of "staying the course" with a good plan is constantly searching for the perfect plan.
Pick an allocation. Stay with it.
I have 401k, ESPP and pension with Fidelity since 2007. They will credit my $135.
So go ahead and do the rollover from Edward Jones to a Roth IRA with Fidelity, stop overthinking this.
Little nervous but I will start the process online from Fidelity.
Please post back to let us know after the account is rolled over to a Roth IRA at Fidelity.
Once it done. I will have to sell it and buy either FZROX or FSKAX. Can’t decide.
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by ruralavalon »

Vanguard User wrote: Wed Jun 02, 2021 12:58 pm
ruralavalon wrote: Wed Jun 02, 2021 12:50 pm
Vanguard User wrote: Wed Jun 02, 2021 12:39 pm
ruralavalon wrote: Wed Jun 02, 2021 9:42 am
Vanguard User wrote: Tue Jun 01, 2021 8:28 pm

I have 401k, ESPP and pension with Fidelity since 2007. They will credit my $135.
So go ahead and do the rollover from Edward Jones to a Roth IRA with Fidelity, stop overthinking this.
Little nervous but I will start the process online from Fidelity.
Please post back to let us know after the account is rolled over to a Roth IRA at Fidelity.
Once it done. I will have to sell it and buy either FZROX or FSKAX. Can’t decide.
You don't have to decide before you do the rollover to the Roth IRA at Fidelity.

Either fund will be fine in a Roth IRA. Their performance has been nearly identical, the differences have been inconsequential. My personal preference would be Fidelity Total Market Index Fund (FSKAX).
"Everything should be as simple as it is, but not simpler." - Albert Einstein | Wiki article link: Bogleheads® investment philosophy
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by Vanguard User »

ruralavalon wrote: Wed Jun 02, 2021 1:07 pm
Vanguard User wrote: Wed Jun 02, 2021 12:58 pm
ruralavalon wrote: Wed Jun 02, 2021 12:50 pm
Vanguard User wrote: Wed Jun 02, 2021 12:39 pm
ruralavalon wrote: Wed Jun 02, 2021 9:42 am
So go ahead and do the rollover from Edward Jones to a Roth IRA with Fidelity, stop overthinking this.
Little nervous but I will start the process online from Fidelity.
Please post back to let us know after the account is rolled over to a Roth IRA at Fidelity.
Once it done. I will have to sell it and buy either FZROX or FSKAX. Can’t decide.
You don't have to decide before you do the rollover to the Roth IRA at Fidelity.

Either fund will be fine in a Roth IRA. Their performance has been nearly identical, the differences have been inconsequential. My personal preference would be Fidelity Total Market Index Fund (FSKAX).
Right. I guess I don’t have to tell EJ that I am leaving today.

FZROX has no fee but the inception of 2018 bothered me. It’s new.
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by KingRiggs »

FZROX and FSKAX are like vanilla and French vanilla. Don't agonize. Just pick one. Your are clearly suffering from paralysis by analysis...

On second thought, you might actually be one of the people in this world who actually BENEFIT from Ed Jones...

Best of luck!
Advice = noun | Advise = verb | | Roth, not ROTH | | "Remember, there's always money in the banana stand." - George Bluth, Sr.
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by Vanguard User »

KingRiggs wrote: Wed Jun 02, 2021 1:35 pm FZROX and FSKAX are like vanilla and French vanilla. Don't agonize. Just pick one. Your are clearly suffering from paralysis by analysis...

On second thought, you might actually be one of the people in this world who actually BENEFIT from Ed Jones...

Best of luck!
Oh ok. Yes because others will see this post now.
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by Snazster »

My wife has done so much better since I persuaded her to move out of EJ to VG.

In addition to all the fees, they appear to do this crazy thing to get more commissions by rebalancing every time you turn about. Which basically means selling chunks of the things that are doing well and buying more of the things that aren't and, adding injury to injury, creating more expenses for you in the process.
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by Vanguard User »

Snazster wrote: Wed Jun 02, 2021 2:39 pm My wife has done so much better since I persuaded her to move out of EJ to VG.

In addition to all the fees, they appear to do this crazy thing to get more commissions by rebalancing every time you turn about. Which basically means selling chunks of the things that are doing well and buying more of the things that aren't and, adding injury to injury, creating more expenses for you in the process.
Right. They make out believe to trust them and makes things complicated than they should be.
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by hnd »

Snazster wrote: Wed Jun 02, 2021 2:39 pm My wife has done so much better since I persuaded her to move out of EJ to VG.

In addition to all the fees, they appear to do this crazy thing to get more commissions by rebalancing every time you turn about. Which basically means selling chunks of the things that are doing well and buying more of the things that aren't and, adding injury to injury, creating more expenses for you in the process.
Their commission structure is completely transactional. so naturally they try and do things that require lots of transactions.
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by Vanguard User »

hnd wrote: Wed Jun 02, 2021 4:01 pm
Snazster wrote: Wed Jun 02, 2021 2:39 pm My wife has done so much better since I persuaded her to move out of EJ to VG.

In addition to all the fees, they appear to do this crazy thing to get more commissions by rebalancing every time you turn about. Which basically means selling chunks of the things that are doing well and buying more of the things that aren't and, adding injury to injury, creating more expenses for you in the process.
Their commission structure is completely transactional. so naturally they try and do things that require lots of transactions.
To maximize their pockets.
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by hnd »

i have a friend who is an EJ advisor. He says if an EJ advisor is churning your accounts, they doesn't have very many clients most likely or is trash. But he also said that some advisors take on too many clients and you'll never hear from them which is also a bad sign. I imagine this likely takes place at plenty of other advisor houses. He said a person should be able to make a good living off of 100 clients. 100 clients should give you enough typical "not out of the ordinary" transactions. if they are churning they likely have way less, if they don't give you the time of day they likely have too many. He said most EJ advisors fit one of those 2 categories. He currently is able to be picky with the clients he chooses. He gave me common sense investing.
NativeTxn
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by NativeTxn »

hnd wrote: Wed Jun 02, 2021 4:26 pm i have a friend who is an EJ advisor. He says if an EJ advisor is churning your accounts, they doesn't have very many clients most likely or is trash. But he also said that some advisors take on too many clients and you'll never hear from them which is also a bad sign. I imagine this likely takes place at plenty of other advisor houses. He said a person should be able to make a good living off of 100 clients. 100 clients should give you enough typical "not out of the ordinary" transactions. if they are churning they likely have way less, if they don't give you the time of day they likely have too many. He said most EJ advisors fit one of those 2 categories. He currently is able to be picky with the clients he chooses. He gave me common sense investing.
100 clients for one person is way too many to properly service all of them well, IMO. Max would be around 60-70, tops, again IMHO.
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by Vanguard User »

hnd wrote: Wed Jun 02, 2021 4:26 pm i have a friend who is an EJ advisor. He says if an EJ advisor is churning your accounts, they doesn't have very many clients most likely or is trash. But he also said that some advisors take on too many clients and you'll never hear from them which is also a bad sign. I imagine this likely takes place at plenty of other advisor houses. He said a person should be able to make a good living off of 100 clients. 100 clients should give you enough typical "not out of the ordinary" transactions. if they are churning they likely have way less, if they don't give you the time of day they likely have too many. He said most EJ advisors fit one of those 2 categories. He currently is able to be picky with the clients he chooses. He gave me common sense investing.
I hear from my FA only when I put in new money in.
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by Vanguard User »

NativeTxn wrote: Wed Jun 02, 2021 4:34 pm
hnd wrote: Wed Jun 02, 2021 4:26 pm i have a friend who is an EJ advisor. He says if an EJ advisor is churning your accounts, they doesn't have very many clients most likely or is trash. But he also said that some advisors take on too many clients and you'll never hear from them which is also a bad sign. I imagine this likely takes place at plenty of other advisor houses. He said a person should be able to make a good living off of 100 clients. 100 clients should give you enough typical "not out of the ordinary" transactions. if they are churning they likely have way less, if they don't give you the time of day they likely have too many. He said most EJ advisors fit one of those 2 categories. He currently is able to be picky with the clients he chooses. He gave me common sense investing.
100 clients for one person is way too many to properly service all of them well, IMO. Max would be around 60-70, tops, again IMHO.
FA could also hire a team to handle it. My FA has an employee who handles it too.
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by tibbitts »

NativeTxn wrote: Wed Jun 02, 2021 4:34 pm
hnd wrote: Wed Jun 02, 2021 4:26 pm i have a friend who is an EJ advisor. He says if an EJ advisor is churning your accounts, they doesn't have very many clients most likely or is trash. But he also said that some advisors take on too many clients and you'll never hear from them which is also a bad sign. I imagine this likely takes place at plenty of other advisor houses. He said a person should be able to make a good living off of 100 clients. 100 clients should give you enough typical "not out of the ordinary" transactions. if they are churning they likely have way less, if they don't give you the time of day they likely have too many. He said most EJ advisors fit one of those 2 categories. He currently is able to be picky with the clients he chooses. He gave me common sense investing.
100 clients for one person is way too many to properly service all of them well, IMO. Max would be around 60-70, tops, again IMHO.
As a practical matter how many clients would be necessary to earn a living would probably depend on the income each one generates. So it would depend somewhat on the "neighborhood", since EJ is somewhat neighborhood-based.
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by GT99 »

Vanguard User wrote: Tue Jun 01, 2021 2:12 pm
GT99 wrote: Tue Jun 01, 2021 9:33 am
Vanguard User wrote: Tue Jun 01, 2021 12:56 am
TropikThunder wrote: Tue Jun 01, 2021 12:49 am
Vanguard User wrote: Thu May 27, 2021 2:34 pmWorking on it. My FA is trying hard for me to stay.
That's like asking the tick for permission before you burn it off.
I don’t blame him. He is a sales person.
Exactly. He's NOT an FA, he's a salesperson.
Pretty much everyone wants your money in any given business. Even the doctors don’t care about you.
I think you'd be surprised how many people both care and want to make money. I certainly care about doing right by my customers.

But you clearly missed the point. If a doctor is a salesperson who is a terrible doctor are you going to continue to use them?
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by Vanguard User »

GT99 wrote: Wed Jun 02, 2021 6:54 pm
Vanguard User wrote: Tue Jun 01, 2021 2:12 pm
GT99 wrote: Tue Jun 01, 2021 9:33 am
Vanguard User wrote: Tue Jun 01, 2021 12:56 am
TropikThunder wrote: Tue Jun 01, 2021 12:49 am
That's like asking the tick for permission before you burn it off.
I don’t blame him. He is a sales person.
Exactly. He's NOT an FA, he's a salesperson.
Pretty much everyone wants your money in any given business. Even the doctors don’t care about you.
I think you'd be surprised how many people both care and want to make money. I certainly care about doing right by my customers.

But you clearly missed the point. If a doctor is a salesperson who is a terrible doctor are you going to continue to use them?
Acting like they care meaning emotional intelligence or actually care and money?

I would switch doctors.
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by mrscatterbrain »

Vanguard User wrote: Wed May 26, 2021 6:18 pm So it look like I will have to pay $95 termination fee and another $40 closing fee with EJ.

Is in-kind the quickest and cheapest route?
Others may have mentioned this already, but Vanguard, Fidelity, and Schwab will likely reimburse you for the ACATS transfer fee if you ask them. You’re bringing them new business with your IRA, so they’re often happy to waive/reimburse these fees. I’m at Schwab and they have done this for me.
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by Jeepergeo »

Vanguard User wrote: Wed May 26, 2021 6:18 pm So it look like I will have to pay $95 termination fee and another $40 closing fee with EJ.

Is in-kind the quickest and cheapest route?
The bad press here has already cost EJ more than your termination fees.

I would never do business with a company that had termination fees.

Spend the money and move your money to someone that you are comfortable with and that values your business. It will be a good move for $135.
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by Vanguard User »

I opened the Roth IRA at Fidelity but my concern is this:

The transfer is not a taxable event and will not be reported to the IRS. If you are transferring the assets from your qualified retirement plan(s) to the Fidelity Retirement Plan, contact your tax advisor to determine if it is necessary to file Form 5310-A prior to the transfer.

Do I need to file Form 5310-A?
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by RickBoglehead »

Vanguard User wrote: Fri Jun 04, 2021 10:34 pm I opened the Roth IRA at Fidelity but my concern is this:

The transfer is not a taxable event and will not be reported to the IRS. If you are transferring the assets from your qualified retirement plan(s) to the Fidelity Retirement Plan, contact your tax advisor to determine if it is necessary to file Form 5310-A prior to the transfer.

Do I need to file Form 5310-A?
No. You're done.
Avid user of forums on variety of interests-financial, home brewing, F-150, EV, home repair, etc. Enjoy learning & passing on knowledge. It's PRINCIPAL, not PRINCIPLE. I ADVISE you to seek ADVICE.
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by Vanguard User »

mrscatterbrain wrote: Wed Jun 02, 2021 8:07 pm
Vanguard User wrote: Wed May 26, 2021 6:18 pm So it look like I will have to pay $95 termination fee and another $40 closing fee with EJ.

Is in-kind the quickest and cheapest route?
Others may have mentioned this already, but Vanguard, Fidelity, and Schwab will likely reimburse you for the ACATS transfer fee if you ask them. You’re bringing them new business with your IRA, so they’re often happy to waive/reimburse these fees. I’m at Schwab and they have done this for me.
Vanguard won’t. Fidelity will.
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by Vanguard User »

Jeepergeo wrote: Wed Jun 02, 2021 8:33 pm
Vanguard User wrote: Wed May 26, 2021 6:18 pm So it look like I will have to pay $95 termination fee and another $40 closing fee with EJ.

Is in-kind the quickest and cheapest route?
The bad press here has already cost EJ more than your termination fees.

I would never do business with a company that had termination fees.

Spend the money and move your money to someone that you are comfortable with and that values your business. It will be a good move for $135.
Fidelity will reimburse me.
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by Vanguard User »

RickBoglehead wrote: Fri Jun 04, 2021 10:41 pm
Vanguard User wrote: Fri Jun 04, 2021 10:34 pm I opened the Roth IRA at Fidelity but my concern is this:

The transfer is not a taxable event and will not be reported to the IRS. If you are transferring the assets from your qualified retirement plan(s) to the Fidelity Retirement Plan, contact your tax advisor to determine if it is necessary to file Form 5310-A prior to the transfer.

Do I need to file Form 5310-A?
No. You're done.
So what was this disclaimer all about before I was suppose to hit the submit button?
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by RickBoglehead »

Vanguard User wrote: Fri Jun 04, 2021 10:45 pm
RickBoglehead wrote: Fri Jun 04, 2021 10:41 pm
Vanguard User wrote: Fri Jun 04, 2021 10:34 pm I opened the Roth IRA at Fidelity but my concern is this:

The transfer is not a taxable event and will not be reported to the IRS. If you are transferring the assets from your qualified retirement plan(s) to the Fidelity Retirement Plan, contact your tax advisor to determine if it is necessary to file Form 5310-A prior to the transfer.

Do I need to file Form 5310-A?
No. You're done.
So what was this disclaimer all about before I was suppose to hit the submit button?
https://www.irs.gov/forms-pubs/about-form-5310-a
Avid user of forums on variety of interests-financial, home brewing, F-150, EV, home repair, etc. Enjoy learning & passing on knowledge. It's PRINCIPAL, not PRINCIPLE. I ADVISE you to seek ADVICE.
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by Vanguard User »

RickBoglehead wrote: Sat Jun 05, 2021 6:45 am
Vanguard User wrote: Fri Jun 04, 2021 10:45 pm
RickBoglehead wrote: Fri Jun 04, 2021 10:41 pm
Vanguard User wrote: Fri Jun 04, 2021 10:34 pm I opened the Roth IRA at Fidelity but my concern is this:

The transfer is not a taxable event and will not be reported to the IRS. If you are transferring the assets from your qualified retirement plan(s) to the Fidelity Retirement Plan, contact your tax advisor to determine if it is necessary to file Form 5310-A prior to the transfer.

Do I need to file Form 5310-A?
No. You're done.
So what was this disclaimer all about before I was suppose to hit the submit button?
https://www.irs.gov/forms-pubs/about-form-5310-a
So it has transfer of plan assets. So I guess this doesn’t apply to me?
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by NativeTxn »

KingRiggs wrote: Wed Jun 02, 2021 1:35 pm FZROX and FSKAX are like vanilla and French vanilla. Don't agonize. Just pick one. Your are clearly suffering from paralysis by analysis...

On second thought, you might actually be one of the people in this world who actually BENEFIT from Ed Jones...

Best of luck!
Advisor, maybe. Edward Jones, no.
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by Vanguard User »

NativeTxn wrote: Sat Jun 05, 2021 3:49 pm
KingRiggs wrote: Wed Jun 02, 2021 1:35 pm FZROX and FSKAX are like vanilla and French vanilla. Don't agonize. Just pick one. Your are clearly suffering from paralysis by analysis...

On second thought, you might actually be one of the people in this world who actually BENEFIT from Ed Jones...

Best of luck!
Advisor, maybe. Edward Jones, no.
Advisor would benefit as in?
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by NativeTxn »

Vanguard User wrote: Sat Jun 05, 2021 3:50 pm
NativeTxn wrote: Sat Jun 05, 2021 3:49 pm
KingRiggs wrote: Wed Jun 02, 2021 1:35 pm FZROX and FSKAX are like vanilla and French vanilla. Don't agonize. Just pick one. Your are clearly suffering from paralysis by analysis...

On second thought, you might actually be one of the people in this world who actually BENEFIT from Ed Jones...

Best of luck!
Advisor, maybe. Edward Jones, no.
Advisor would benefit as in?
In response to the statement in bold, I was simply asserting that you might benefit from an advisor, but not Edward Jones.

IMO, there are lots of people that can benefit from using an advisor; however, also IMO, nobody benefits from using Edward Jones.
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by Vanguard User »

NativeTxn wrote: Sat Jun 05, 2021 4:00 pm
Vanguard User wrote: Sat Jun 05, 2021 3:50 pm
NativeTxn wrote: Sat Jun 05, 2021 3:49 pm
KingRiggs wrote: Wed Jun 02, 2021 1:35 pm FZROX and FSKAX are like vanilla and French vanilla. Don't agonize. Just pick one. Your are clearly suffering from paralysis by analysis...

On second thought, you might actually be one of the people in this world who actually BENEFIT from Ed Jones...

Best of luck!
Advisor, maybe. Edward Jones, no.
Advisor would benefit as in?
In response to the statement in bold, I was simply asserting that you might benefit from an advisor, but not Edward Jones.

IMO, there are lots of people that can benefit from using an advisor; however, also IMO, nobody benefits from using Edward Jones.
What about Robo advisors?
NativeTxn
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by NativeTxn »

Vanguard User wrote: Sat Jun 05, 2021 4:19 pm
NativeTxn wrote: Sat Jun 05, 2021 4:00 pm
Vanguard User wrote: Sat Jun 05, 2021 3:50 pm
NativeTxn wrote: Sat Jun 05, 2021 3:49 pm
KingRiggs wrote: Wed Jun 02, 2021 1:35 pm FZROX and FSKAX are like vanilla and French vanilla. Don't agonize. Just pick one. Your are clearly suffering from paralysis by analysis...

On second thought, you might actually be one of the people in this world who actually BENEFIT from Ed Jones...

Best of luck!
Advisor, maybe. Edward Jones, no.
Advisor would benefit as in?
In response to the statement in bold, I was simply asserting that you might benefit from an advisor, but not Edward Jones.

IMO, there are lots of people that can benefit from using an advisor; however, also IMO, nobody benefits from using Edward Jones.
What about Robo advisors?
Robo advisors aren’t the same thing as an actual financial planner.

I would argue that the biggest value add for most FAs is the ability to talk clients off the ledge when they are scared or greedy and help them avoid doing the wrong thing at the wrong time. Robos don’t have that ability.

That being said, if someone just wants to use a robo to invest the actual funds, rebalance, etc. I don’t have any issue with it personally (though I personally do not use a robo - I tried both betterment and wealthfront in the past but decided they weren’t worth it to me).
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by Vanguard User »

NativeTxn wrote: Sat Jun 05, 2021 4:23 pm
Vanguard User wrote: Sat Jun 05, 2021 4:19 pm
NativeTxn wrote: Sat Jun 05, 2021 4:00 pm
Vanguard User wrote: Sat Jun 05, 2021 3:50 pm
NativeTxn wrote: Sat Jun 05, 2021 3:49 pm

Advisor, maybe. Edward Jones, no.
Advisor would benefit as in?
In response to the statement in bold, I was simply asserting that you might benefit from an advisor, but not Edward Jones.

IMO, there are lots of people that can benefit from using an advisor; however, also IMO, nobody benefits from using Edward Jones.
What about Robo advisors?
Robo advisors aren’t the same thing as an actual financial planner.

I would argue that the biggest value add for most FAs is the ability to talk clients off the ledge when they are scared or greedy and help them avoid doing the wrong thing at the wrong time. Robos don’t have that ability.

That being said, if someone just wants to use a robo to invest the actual funds, rebalance, etc. I don’t have any issue with it personally (though I personally do not use a robo - I tried both betterment and wealthfront in the past but decided they weren’t worth it to me).
Where do you recommend that someone hire a FA? At Fidelity?
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Re: Should I transfer my Roth IRA from Edward Jones?

Post by NativeTxn »

Vanguard User wrote: Sat Jun 05, 2021 4:30 pm
NativeTxn wrote: Sat Jun 05, 2021 4:23 pm
Vanguard User wrote: Sat Jun 05, 2021 4:19 pm
NativeTxn wrote: Sat Jun 05, 2021 4:00 pm
Vanguard User wrote: Sat Jun 05, 2021 3:50 pm

Advisor would benefit as in?
In response to the statement in bold, I was simply asserting that you might benefit from an advisor, but not Edward Jones.

IMO, there are lots of people that can benefit from using an advisor; however, also IMO, nobody benefits from using Edward Jones.
What about Robo advisors?
Robo advisors aren’t the same thing as an actual financial planner.

I would argue that the biggest value add for most FAs is the ability to talk clients off the ledge when they are scared or greedy and help them avoid doing the wrong thing at the wrong time. Robos don’t have that ability.

That being said, if someone just wants to use a robo to invest the actual funds, rebalance, etc. I don’t have any issue with it personally (though I personally do not use a robo - I tried both betterment and wealthfront in the past but decided they weren’t worth it to me).
Where do you recommend that someone hire a FA? At Fidelity?
Somewhat depends on what you want.

If you want a robo but with access to advisors for questions, etc., PAS at Vanguard or Fidelity's Personalized Planning and Advice might be worthwhile. They're going to be cheaper than an independent fee-only advisor, but the downside is that unless you have enough assets with them, when you email or call, it's whoever happens to be there that day that takes your call. If you have enough in assets (I believe it's $500,000 at Vanguard and $250,000+ at Fidelity), you can get a dedicated advisor.

If you're looking for "non-algorithmic" investment management as well as someone to manage the whole thing so that you don't really have to worry about anything and you know that you will always get to talk to the same person every time, a fee-only advisor might be worth a look. I would suggest starting by searching the CFP website for advisors in your area and also asking friends and family if they have any recommendations as a starting point. Talk to at least 3 before hiring someone and always make sure that they are a fiduciary and that they are fee-only, NOT fee-based.

If you simply want someone to look over what you've got and make a few suggestions once a year, you could hire a fee-only planner and pay them for an hour or two of time (probably cost $300-$500, give or take).
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