Not true at all, look at all the Edward Jones locations. Also, liquidation is expensive depending on your tax basis - you either pay capital gains, or transfer holdings in kind to another broker and have to manage it all yourself.av111 wrote: ↑Sat Jan 19, 2019 5:01 pmWhakamole wrote: ↑Sat Jan 19, 2019 12:51 pmYes. They've changed their business plans enough times that there's no telling what it will be next year. That could be increased fees, a different investment plan (more in the hot strategy that makes them the most money), whatever.
If you ever think about leaving, you may find that your portfolio looks like this or this or this or this or end up with 490 individual stock positions like this poster, and either you'll have to deal with managing all these individual positions for a long time (assuming a rising stock market, there may not ever be an opportunity to TLH out) meaning increased complexity - tell me, can you tell me if any of the equity portions of those portfolios are total market cap weight? - or you stay with Wealthfront. What's that they say about the Hotel California?
Doing TLH yourself very easy.
Thanks but are the fears logical? I would think that they will always need to be competitive with the market to attract new money. If you decide to exit, liquidate
The whole concept of Wealthfront is that they put you into a moat - you get some mild TLH the first year, and your investment complexity increases because their robo is spreading your investments out over dozens of funds, to the point where extraction is difficult if not essentially impossible. Not to mention that the benefits of TLH are generally only for more recent investments; since equities generally rise in price, you will eventually be paying a 0.25% fee on investments made ten, twenty, thirty years ago, investments that are unlikely to ever benefit from TLH. And if they do, well, you can do that yourself, and you'll know when it's time because it will be because of a major stock market crash like 2008.
Internal Revenue Service, and ultimately the investor is going to be responsible if they've claimed a disallowed wash sale.