Fidelity as a one stop shop

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mhalley
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Re: Fidelity as a one stop shop

Post by mhalley » Mon Jul 22, 2019 10:41 pm

Debit cards are the devil, I would never buy things (especially on the internet) with one.
https://clark.com/personal-finance-cred ... -card-pay/

captpete
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Re: Fidelity as a one stop shop

Post by captpete » Mon Jul 22, 2019 10:46 pm

snowman wrote:
Wed Jul 17, 2019 9:01 am
captpete wrote:
Wed Jul 17, 2019 7:59 am

Property taxes 17-18k but MD charges a fee of 2.25% of total to use cc for payment.
I would still consider CC. The fees total about $400. If you split the payment among 4 cards with big signup bonus each, you could earn $2K+ for not much work, all tax-free. I would at least give it consideration if I were you. There are many threads here on that subject if you want more info.
Interesting. Thanks for this I'll look into it.

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Re: Fidelity as a one stop shop

Post by lazyday » Tue Jul 23, 2019 5:56 am

MisterBill wrote:
Tue Jul 16, 2019 1:07 am
Is the yield on the Vanguard MM fund actually 0.3% higher? That's really what you need to be looking at, not the ER.
Fidelity might be taking greater risks in order to make up for the high ER.

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Re: Fidelity as a one stop shop

Post by aj76er » Tue Jul 23, 2019 12:11 pm

mhalley wrote:
Mon Jul 22, 2019 10:41 pm
Debit cards are the devil, I would never buy things (especially on the internet) with one.
https://clark.com/personal-finance-cred ... -card-pay/
I never use them either, but it’s the only way to get cash into the app. You can send cash to a bank account, but can’t pull from one. I needed cash in the app to reimburse someone for lunch :).

Anyway, the lack of history with the card, in my case, is probably what is prompting extra security.
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Re: Fidelity as a one stop shop

Post by MisterBill » Tue Jul 23, 2019 10:34 pm

lazyday wrote:
Tue Jul 23, 2019 5:56 am
MisterBill wrote:
Tue Jul 16, 2019 1:07 am
Is the yield on the Vanguard MM fund actually 0.3% higher? That's really what you need to be looking at, not the ER.
Fidelity might be taking greater risks in order to make up for the high ER.
On a money market account with a constant NAV of 1???

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Re: Fidelity as a one stop shop

Post by lazyday » Fri Jul 26, 2019 4:32 pm

MisterBill wrote:
Tue Jul 23, 2019 10:34 pm
On a money market account with a constant NAV of 1???
Maybe, I haven't read the annual report to see what's in the portfolio.

Just because the NAV has been 1 recently, doesn't mean it always will be. It wouldn't surprise me if after some financial disaster, Vanguard's conservative money market fund NAV stays at 1, but some more aggressive money market funds break the buck.

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Re: Fidelity as a one stop shop

Post by abuss368 » Fri Jul 26, 2019 4:47 pm

Curios if Vanguard will ever create a bank. A few years ago there were some surveys floated about the possibility. There are articles online that were interesting to read.
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Re: Fidelity as a one stop shop

Post by bck63 » Fri Jul 26, 2019 7:28 pm

abuss368 wrote:
Fri Jul 26, 2019 4:47 pm
Curios if Vanguard will ever create a bank. A few years ago there were some surveys floated about the possibility. There are articles online that were interesting to read.
If they did, I'd have everything at Vanguard.

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Re: Fidelity as a one stop shop

Post by abuss368 » Fri Jul 26, 2019 7:31 pm

bck63 wrote:
Fri Jul 26, 2019 7:28 pm
abuss368 wrote:
Fri Jul 26, 2019 4:47 pm
Curios if Vanguard will ever create a bank. A few years ago there were some surveys floated about the possibility. There are articles online that were interesting to read.
If they did, I'd have everything at Vanguard.
Great minds think alike.
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stlutz
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Re: Fidelity as a one stop shop

Post by stlutz » Fri Jul 26, 2019 7:31 pm

abuss368 wrote:
Fri Jul 26, 2019 4:47 pm
Curios if Vanguard will ever create a bank. A few years ago there were some surveys floated about the possibility. There are articles online that were interesting to read.
Don't think they would want to deal with the regulatory scrutiny. Both that the bank brings by itself but the oversight over their whole operation that adding a bank invites. Ten years later people on this board would be rueing the day that VG ever opened a bank.

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Re: Fidelity as a one stop shop

Post by abuss368 » Fri Jul 26, 2019 7:35 pm

stlutz wrote:
Fri Jul 26, 2019 7:31 pm
abuss368 wrote:
Fri Jul 26, 2019 4:47 pm
Curios if Vanguard will ever create a bank. A few years ago there were some surveys floated about the possibility. There are articles online that were interesting to read.
Don't think they would want to deal with the regulatory scrutiny. Both that the bank brings by itself but the oversight over their whole operation that adding a bank invites. Ten years later people on this board would be rueing the day that VG ever opened a bank.
Very good point. And if they did create a bank it may be checking and savings only and avoidance of lending and the issues that potentially brings! Or have only the highest quality clients for lending purposes.
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Re: Fidelity as a one stop shop

Post by Artsdoctor » Fri Jul 26, 2019 7:40 pm

abuss368 wrote:
Fri Jul 26, 2019 4:47 pm
Curios if Vanguard will ever create a bank. A few years ago there were some surveys floated about the possibility. There are articles online that were interesting to read.
The Vanguard Advantage plan allowed customers to almost use Vanguard as a bank and it was an utter failure. Vanguard is shuttering the program at the end of this month and it would be very hard to imagine them re-visiting any bank-like activity given the embarrassment of the Advantage program.

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Re: Fidelity as a one stop shop

Post by abuss368 » Fri Jul 26, 2019 7:42 pm

Artsdoctor wrote:
Fri Jul 26, 2019 7:40 pm
abuss368 wrote:
Fri Jul 26, 2019 4:47 pm
Curios if Vanguard will ever create a bank. A few years ago there were some surveys floated about the possibility. There are articles online that were interesting to read.
The Vanguard Advantage plan allowed customers to almost use Vanguard as a bank and it was an utter failure. Vanguard is shuttering the program at the end of this month and it would be very hard to imagine them re-visiting any bank-like activity given the embarrassment of the Advantage program.
Agreed. Sad but true.
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Re: Fidelity as a one stop shop

Post by bck63 » Sat Jul 27, 2019 1:20 am

abuss368 wrote:
Fri Jul 26, 2019 7:31 pm
bck63 wrote:
Fri Jul 26, 2019 7:28 pm
abuss368 wrote:
Fri Jul 26, 2019 4:47 pm
Curios if Vanguard will ever create a bank. A few years ago there were some surveys floated about the possibility. There are articles online that were interesting to read.
If they did, I'd have everything at Vanguard.
Great minds think alike.
:sharebeer

addicoe
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Re: Fidelity as a one stop shop

Post by addicoe » Sun Jul 28, 2019 6:21 pm

So a quick question. From all my research it seems that Fidelity is the only option for auto-sweep between CMA and MMA in a brokerage (via overdraft) that also has a debit card with free worldwide ATM withdrawals. Is that correct? Are there alternatives? I have BofA and Merrill Edge (for checking and CMA) and Schwab (for free ATM withdrawals) and unfortunately the only thing stopping me from using those is that Merrill Edge will not automatically deposit/withdraw money from the preferred deposit account (2.07% APY). If that were to work I would be set.

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Re: Fidelity as a one stop shop

Post by indexfundfan » Sun Jul 28, 2019 7:43 pm

addicoe wrote:
Sun Jul 28, 2019 6:21 pm
So a quick question. From all my research it seems that Fidelity is the only option for auto-sweep between CMA and MMA in a brokerage (via overdraft) that also has a debit card with free worldwide ATM withdrawals. Is that correct? Are there alternatives? I have BofA and Merrill Edge (for checking and CMA) and Schwab (for free ATM withdrawals) and unfortunately the only thing stopping me from using those is that Merrill Edge will not automatically deposit/withdraw money from the preferred deposit account (2.07% APY). If that were to work I would be set.
Correct. Both Merrill and Schwab do not automatically redeem your money from the higher yielding options to cover for debits.
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Re: Fidelity as a one stop shop

Post by addicoe » Tue Jul 30, 2019 10:19 pm

Can someone please correct me if I'm wrong? I've read through most of the comments on this topic and my understanding is that the only reason I would want to keep my money in the investment account instead of the CMA is because I can then put limits on withdrawals from the CMA to protect against fraud, and because I can choose a better sweep account. And on the flip side the only reason I need the CMA is because it gives me free ATM withdrawals. Is that correct? My plan is:

- $0 in CMA with overdraft turned on
- Keep all money in investment account in FZDXX for the best yield and ability for auto redemption when withdrawing funds from CMA or bill pay
- Set up direct deposit into investment account to get benefit of auto-sweep into SPAXX core fund
- Set up some kind of scheduled transfer of core funds into FZDXX at regular intervals?
- Bill pay and checks can be done from either account depending on my risk tolerance (safer perhaps to use CMA)
- Only keep debit card for CMA to allow limiting how much can be withdrawn from account, and because investment account does not get free ATM reimbursement below some amount of assets I don't have

Anything I am missing? Is FZDXX really not allowed as a sweep?

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Kevin M
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Re: Fidelity as a one stop shop

Post by Kevin M » Wed Jul 31, 2019 11:22 am

addicoe wrote:
Tue Jul 30, 2019 10:19 pm
Can someone please correct me if I'm wrong? I've read through most of the comments on this topic and my understanding is that the only reason I would want to keep my money in the investment account instead of the CMA is because I can then put limits on withdrawals from the CMA to protect against fraud, and because I can choose a better sweep account. And on the flip side the only reason I need the CMA is because it gives me free ATM withdrawals. Is that correct?
Yeah, for me the better sweep account is the main reason I'm using just the brokerage account for bill payments. I have a CMA just in case I want to do ATM withdrawals, and don't even set a brokerage account as a funding account, so very limited potential for fraud.
My plan is:

- $0 in CMA with overdraft turned on
- Keep all money in investment account in FZDXX for the best yield and ability for auto redemption when withdrawing funds from CMA or bill pay
- Set up direct deposit into investment account to get benefit of auto-sweep into SPAXX core fund
- Set up some kind of scheduled transfer of core funds into FZDXX at regular intervals?
- Bill pay and checks can be done from either account depending on my risk tolerance (safer perhaps to use CMA)
- Only keep debit card for CMA to allow limiting how much can be withdrawn from account, and because investment account does not get free ATM reimbursement below some amount of assets I don't have
Seems like that will work.

Some have mentioned an occasional issue with the overdraft not working, but others have said they've never had a problem. I'm a little nervous about it, so am just using the brokerage with SPAXX for bill payments. I limit fraud risk by using a separate brokerage account for bill payments, with a limited amount of cash + margin in it.

I'm not bothering with FZDXX because the amount I lose in monthly interest on the amount necessary to pay bills is so small, and I don't want to rely on overdraft.
Anything I am missing? Is FZDXX really not allowed as a sweep?
Correct. I discussed with a Fidelity rep (although at the time I was more interested in Treasury Only), and he explained that Fidelity decided on a limited set of sweep funds for each type of account (e.g., IRA or taxable).

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addicoe
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Re: Fidelity as a one stop shop

Post by addicoe » Wed Jul 31, 2019 5:31 pm

I talked with a rep today and they told me that > 100k would qualify me for premium client status so I would get free ATM withdrawals from the investment/brokerage account. If that is the case I'm not sure of the point to the CMA. Is there a benefit to having both in this case?

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Re: Fidelity as a one stop shop

Post by Artsdoctor » Wed Jul 31, 2019 5:47 pm

addicoe wrote:
Wed Jul 31, 2019 5:31 pm
I talked with a rep today and they told me that > 100k would qualify me for premium client status so I would get free ATM withdrawals from the investment/brokerage account. If that is the case I'm not sure of the point to the CMA. Is there a benefit to having both in this case?
No. I use an isolated brokerage account at Fidelity for all of my checkwriting and billpay needs. I don't have a CMA and I don't use overdraft protection or anything else. I get ATM privileges and any fees incurred are promptly reimbursed by Fidelity. The brokerage account is fed by Vanguard whenever I need to replenish the balance (Vanguard will always have higher yielding money market accounts than Fidelity).

I have only been using the Fidelity account for this since the beginning of the year when the Vanguard Advantage account was on its way out. I can tell you that the ease of use at Fidelity is much greater, much faster, and more integrated than Vanguard.

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Re: Fidelity as a one stop shop

Post by arf30 » Thu Aug 01, 2019 7:13 am

Although I use the CMA because I prefer having 1 month of expenses in FDIC, the interest you'll make by using the brokerage instead would probably more than offset any ATM fees redunded by the CMA.

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Re: Fidelity as a one stop shop

Post by Artsdoctor » Thu Aug 01, 2019 9:25 am

arf30 wrote:
Thu Aug 01, 2019 7:13 am
Although I use the CMA because I prefer having 1 month of expenses in FDIC, the interest you'll make by using the brokerage instead would probably more than offset any ATM fees redunded by the CMA.
The large investment houses like Vanguard, Fidelity, and Schwab are going to have safe money market funds. I really don't think you're going to see their settlement funds, with all of the protection mandated by law, "breaking the buck." If you're using Fidelity's brokerage account and not the CMA account, your ATM card will still be free as well as long as you have a certain balance of investments anywhere at Fidelity.

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Re: Fidelity as a one stop shop

Post by Kevin M » Thu Aug 01, 2019 9:59 am

Artsdoctor wrote:
Wed Jul 31, 2019 5:47 pm
addicoe wrote:
Wed Jul 31, 2019 5:31 pm
I talked with a rep today and they told me that > 100k would qualify me for premium client status so I would get free ATM withdrawals from the investment/brokerage account. If that is the case I'm not sure of the point to the CMA. Is there a benefit to having both in this case?
No. I use an isolated brokerage account at Fidelity for all of my checkwriting and billpay needs. I don't have a CMA and I don't use overdraft protection or anything else. I get ATM privileges and any fees incurred are promptly reimbursed by Fidelity. The brokerage account is fed by Vanguard whenever I need to replenish the balance (Vanguard will always have higher yielding money market accounts than Fidelity).

I have only been using the Fidelity account for this since the beginning of the year when the Vanguard Advantage account was on its way out. I can tell you that the ease of use at Fidelity is much greater, much faster, and more integrated than Vanguard.
I'm in basically the same situation: switched from Vanguard Advantage to Fidelity brokerage, and using Vanguard MM fund for cash other than what I anticipate for this month's bills. I only have a few minor differences.

I'm keeping a small amount of Tbills in the brokerage account to provide margin for overdraft.

I don't even want a debit card for the brokerage account I'm using to pay the big bills. It seems like adding additional potential for fraud, although I'm not too worried about it. If you're not worried about this, and qualify for private client status (or whatever they call it these days), then no, you don't need a CMA.

I had opened a CMA before figuring out that the brokerage made more sense, and I have a debit/ATM card for the CMA. So I keep a small amount in the CMA, and could quickly transfer from brokerage to CMA if I wanted to do a larger ATM withdrawal. I have another convenient source for ATM withdrawals, which I only do once per month or less, so haven't even done one from the CMA yet.

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Re: Fidelity as a one stop shop

Post by LadyGeek » Sun Aug 04, 2019 2:35 pm

FYI - We now have a similar discussion for Schwab. See: Schwab as a one stop shop
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Re: Fidelity as a one stop shop

Post by BUBear29 » Wed Aug 07, 2019 5:56 pm

I just decided today to consolidate everything to Fidelity. Will be leaving Vanguard and moving over rira’s, 529’s and taxable accounts. Since I use the CMA and am index investor, it makes sense to have everything in one place. It will be a hassle though, I’m sure.

If anyone has any advice on how to transfer assets smoothly to Fidelity - would be appreciated.
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Re: Fidelity as a one stop shop

Post by aj76er » Wed Aug 07, 2019 6:45 pm

BUBear29 wrote:
Wed Aug 07, 2019 5:56 pm
I just decided today to consolidate everything to Fidelity. Will be leaving Vanguard and moving over rira’s, 529’s and taxable accounts. Since I use the CMA and am index investor, it makes sense to have everything in one place. It will be a hassle though, I’m sure.

If anyone has any advice on how to transfer assets smoothly to Fidelity - would be appreciated.
If you hold Admiral mutual fund shares, you can convert in kind to ETFs at Vanguard prior to the transfer. No tax hit and no fees, except for any fractional shares, which should be minor. To my knowledge Admiral shares cant be held at Fido?
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Re: Fidelity as a one stop shop

Post by stlutz » Wed Aug 07, 2019 7:12 pm

aj76er wrote:
Wed Aug 07, 2019 6:45 pm
BUBear29 wrote:
Wed Aug 07, 2019 5:56 pm
I just decided today to consolidate everything to Fidelity. Will be leaving Vanguard and moving over rira’s, 529’s and taxable accounts. Since I use the CMA and am index investor, it makes sense to have everything in one place. It will be a hassle though, I’m sure.

If anyone has any advice on how to transfer assets smoothly to Fidelity - would be appreciated.
If you hold Admiral mutual fund shares, you can convert in kind to ETFs at Vanguard prior to the transfer. No tax hit and no fees, except for any fractional shares, which should be minor. To my knowledge Admiral shares cant be held at Fido?
With the elimination of the investor class of shares you can now transfer Admiral share funds to Fidelity without converting them to ETFs. Obviously you wouldn't pay $75 to buy more of such shares but you can hold and sell at no cost.

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Re: Fidelity as a one stop shop

Post by HMdocinPA » Wed Aug 07, 2019 7:38 pm

Fidelity will give you a bunch of free trades if you move your accounts over to them, just do the online chat with a rep. You can then sell the vanguard ETFs without any fees. I’ve moved 3 accounts to fidelity from Vanguard, all online without any paperwork to print or mail, very seamless.

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Re: Fidelity as a one stop shop

Post by indexfundfan » Wed Aug 07, 2019 7:44 pm

I thought I would mention here that Fidelity has improved the yield of the FDIC Insured automatic sweep option in their CMA. Its current yield is 1.08% APY. While this is low compared to money market funds, it is six times that at Schwab.

If you use a brokerage account instead of the CMA at Fidelity, you can use their MMFs for the automatic sweep option. The current yields are around 2%.

For comparison, the automatic bank sweep feature (the only option available) in Schwab's brokerage account (Schwab One) is currently 0.18% (for cash amounts up to $1m).
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Re: Fidelity as a one stop shop

Post by daca » Wed Aug 07, 2019 7:45 pm

arf30 wrote:
Thu Aug 01, 2019 7:13 am
Although I use the CMA because I prefer having 1 month of expenses in FDIC, the interest you'll make by using the brokerage instead would probably more than offset any ATM fees redunded by the CMA.
All you have to do is buy SPRXX in your CMA to enjoy both the ATM fee refunds and the higher interest rate. SPRXX gets auto-redeemed just like SPAXX.

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Re: Fidelity as a one stop shop

Post by mhalley » Wed Aug 07, 2019 10:11 pm

I recently switched my banking and I want to double check to make sure I have this right. I don’t have to keep any money at all in the Fidelity CMA settlement fund, sprxx will work fine and bill pay and atm withdrawals will continue to function? I have been manually moving funds thus far when the sweep gets low.

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Re: Fidelity as a one stop shop

Post by mervinj7 » Wed Aug 07, 2019 10:28 pm

mhalley wrote:
Wed Aug 07, 2019 10:11 pm
I recently switched my banking and I want to double check to make sure I have this right. I don’t have to keep any money at all in the Fidelity CMA settlement fund, sprxx will work fine and bill pay and atm withdrawals will continue to function? I have been manually moving funds thus far when the sweep gets low.
Yep, your life just got a tad bit simpler.

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Re: Fidelity as a one stop shop

Post by mhalley » Wed Aug 07, 2019 10:31 pm

:sharebeer

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Re: Fidelity as a one stop shop

Post by jpsfranks » Thu Aug 08, 2019 11:09 am

I had something new (at least for me) happen today. I transferred some money from an Ally online savings account to my Fidelity CMA account (a push from Ally to Fidelity). In my Fidelity CMA account I have an existing balance in FZDXX (a money market fund), no money in the core position (the core position shows as unfunded), and no other positions. Somehow the transferred money seemed to automatically go into FZDXX. That has never happened before, typically it goes into the core FDIC sweep position rather than the money market fund and I periodically manually purchase FZDXX with newly deposited money.

I initiated some additional small trial transfers from Ally and another outside checking account to see if this repeats today. Has anyone else experienced this?

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Re: Fidelity as a one stop shop

Post by indexfundfan » Thu Aug 08, 2019 11:20 am

jpsfranks wrote:
Thu Aug 08, 2019 11:09 am
I had something new (at least for me) happen today. I transferred some money from an Ally online savings account to my Fidelity CMA account (a push from Ally to Fidelity). In my Fidelity CMA account I have an existing balance in FZDXX (a money market fund), no money in the core position (the core position shows as unfunded), and no other positions. Somehow the transferred money seemed to automatically go into FZDXX. That has never happened before, typically it goes into the core FDIC sweep position rather than the money market fund and I periodically manually purchase FZDXX with newly deposited money.

I initiated some additional small trial transfers from Ally and another outside checking account to see if this repeats today. Has anyone else experienced this?
That's very interesting. I haven't seen this, but I am using the brokerage side with a zero SPAXX core and the non-zero FZDXX holding. I saw an incoming credit went into SPAXX last week.
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Re: Fidelity as a one stop shop

Post by nura » Thu Aug 08, 2019 2:03 pm

jbranx wrote:
Sat Dec 15, 2018 10:17 pm
Fidelity advantages:

index funds as cheap or cheaper than Vanguard for most asset classes; three "zero" cost index funds;
Fidelity have no where near the number of index funds Vanguard has.
Furthermore, you will not find low cost active funds like Wesley or Wellington with ER <0.25. Heck, Fidelity money market fund has a ER of 0.45.

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Re: Fidelity as a one stop shop

Post by engineerbme » Thu Aug 08, 2019 2:43 pm

jpsfranks wrote:
Thu Aug 08, 2019 11:09 am
I had something new (at least for me) happen today. I transferred some money from an Ally online savings account to my Fidelity CMA account (a push from Ally to Fidelity). In my Fidelity CMA account I have an existing balance in FZDXX (a money market fund), no money in the core position (the core position shows as unfunded), and no other positions. Somehow the transferred money seemed to automatically go into FZDXX. That has never happened before, typically it goes into the core FDIC sweep position rather than the money market fund and I periodically manually purchase FZDXX with newly deposited money.

I initiated some additional small trial transfers from Ally and another outside checking account to see if this repeats today. Has anyone else experienced this?
nope never seen this happen to myself personally in my brokerage account, I wish this would happen! :P

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Re: Fidelity as a one stop shop

Post by BUBear29 » Thu Aug 08, 2019 3:10 pm

nura wrote:
Thu Aug 08, 2019 2:03 pm
jbranx wrote:
Sat Dec 15, 2018 10:17 pm
Fidelity advantages:

index funds as cheap or cheaper than Vanguard for most asset classes; three "zero" cost index funds;
Fidelity have no where near the number of index funds Vanguard has.
Furthermore, you will not find low cost active funds like Wesley or Wellington with ER <0.25. Heck, Fidelity money market fund has a ER of 0.45.
I am using the 3 fund approach, and I imagine many here do as well. So the number of index funds is no matter.

Also, the ER is not important but the total yield. You will see it slightly lower at Fidelity still but the amount is immaterial.

I am leaving Vanguard to 1) consolidate all holdings ton1 institution but also 2) to avoid having to deal with incompetent phone system and csr’s. I used to love Vanguard but Fidelity has caught up.
There is no dignity quite so impressive, and no one independence quite so important, as living within your means.

Spirit Rider
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Re: Fidelity as a one stop shop

Post by Spirit Rider » Thu Aug 08, 2019 3:35 pm

nura wrote:
Thu Aug 08, 2019 2:03 pm
Fidelity have no where near the number of index funds Vanguard has.
Fidelity has over 30 index funds. You would be hard pressed to find an asset class that Fidelity does not provide an index fund.

I suppose you could claim individual state munis, but not only are they of limited value. Active mutual funds of Individual state munis from many fund companies tend to out perform the indexes.

mervinj7
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Re: Fidelity as a one stop shop

Post by mervinj7 » Thu Aug 08, 2019 4:14 pm

Spirit Rider wrote:
Thu Aug 08, 2019 3:35 pm
nura wrote:
Thu Aug 08, 2019 2:03 pm
Fidelity have no where near the number of index funds Vanguard has.
Fidelity has over 30 index funds. You would be hard pressed to find an asset class that Fidelity does not provide an index fund.

I suppose you could claim individual state munis, but not only are they of limited value. Active mutual funds of Individual state munis from many fund companies tend to out perform the indexes.
Here's the link to Fidelity Index Funds for those who are interested.
https://www.fidelity.com/mutual-funds/i ... ndex-funds

There are also 329 Commission-free iShares ETFs for most categories not included above. For most 3-fund and slice-dice portfolios, it covers the bases. And if you really need a specific Vanguard ETF, the trading cost is $4.95.

BUBear29
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Re: Fidelity as a one stop shop

Post by BUBear29 » Thu Aug 08, 2019 5:23 pm

Curious what funds people hold at fidelity for 3 fund. Since I will have my taxable account there. I am think across all my accounts that I will use:

ITOT for total stock market
FTIHX for total intl
FXNAX for bonds


Thoughts?
There is no dignity quite so impressive, and no one independence quite so important, as living within your means.

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indexfundfan
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Re: Fidelity as a one stop shop

Post by indexfundfan » Thu Aug 08, 2019 5:49 pm

BUBear29 wrote:
Thu Aug 08, 2019 5:23 pm
Curious what funds people hold at fidelity for 3 fund. Since I will have my taxable account there. I am think across all my accounts that I will use:

ITOT for total stock market
FTIHX for total intl
FXNAX for bonds


Thoughts?
While I am currently only using the banking services on Fidelity, my preference is to use ETFs in the taxable account, for ease of transfer in the future if necessary. But for tax-deferred account, I have no qualms using Fidelity's index mutual funds.

IXUS and AGG are the equivalent ETFs that trade commission free on Fidelity.
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sarabayo
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Re: Fidelity as a one stop shop

Post by sarabayo » Thu Aug 08, 2019 5:57 pm

BUBear29 wrote:
Thu Aug 08, 2019 5:23 pm
Curious what funds people hold at fidelity for 3 fund. Since I will have my taxable account there. I am think across all my accounts that I will use:

ITOT for total stock market
FTIHX for total intl
FXNAX for bonds


Thoughts?
In a taxable account you shouldn't use non-Vanguard mutual funds because they can't avoid distributing capital gains like Vanguard's MFs can. Use ETFs instead. I'd use:

ITOT for total US stock market
IXUS for total international stock market
AGG for total US bond market

These are all free to trade at Fidelity. If you can persuade Fidelity to give you some free trades for moving money in, then you could also consider the Vanguard version of the above, which would be VTI, VXUS, and BND respectively.

BUBear29
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Location: Dallas, TX

Re: Fidelity as a one stop shop

Post by BUBear29 » Thu Aug 08, 2019 6:25 pm

sarabayo wrote:
Thu Aug 08, 2019 5:57 pm
BUBear29 wrote:
Thu Aug 08, 2019 5:23 pm
Curious what funds people hold at fidelity for 3 fund. Since I will have my taxable account there. I am think across all my accounts that I will use:

ITOT for total stock market
FTIHX for total intl
FXNAX for bonds


Thoughts?
In a taxable account you shouldn't use non-Vanguard mutual funds because they can't avoid distributing capital gains like Vanguard's MFs can. Use ETFs instead. I'd use:

ITOT for total US stock market
IXUS for total international stock market
AGG for total US bond market

These are all free to trade at Fidelity. If you can persuade Fidelity to give you some free trades for moving money in, then you could also consider the Vanguard version of the above, which would be VTI, VXUS, and BND respectively.
Correct! I have only total stock in my taxable currently hence the ITOT. Fidelity is going to give me 500 free trafes over two years so i may convert my current vangaurd total stock to VTI and continue to buy VTI after i transfer tk Fido
There is no dignity quite so impressive, and no one independence quite so important, as living within your means.

Ferdinand2014
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Re: Fidelity as a one stop shop

Post by Ferdinand2014 » Thu Aug 08, 2019 6:42 pm

nura wrote:
Thu Aug 08, 2019 2:03 pm
jbranx wrote:
Sat Dec 15, 2018 10:17 pm
Fidelity advantages:

index funds as cheap or cheaper than Vanguard for most asset classes; three "zero" cost index funds;
Fidelity have no where near the number of index funds Vanguard has.
Furthermore, you will not find low cost active funds like Wesley or Wellington with ER <0.25. Heck, Fidelity money market fund has a ER of 0.45.
Correct. Fidelity has more. Fidelity has 58 index funds. Vanguard has 48.
I keep 4 week T-bills on auto roll instead of money market for $0.
Either way, been with Fidelity for 22 years. Very happy. You can’t go wrong with either.
“You only find out who is swimming naked when the tide goes out.“ — Warren Buffett

nura
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Re: Fidelity as a one stop shop

Post by nura » Thu Aug 08, 2019 10:48 pm

Ferdinand2014 wrote:
Thu Aug 08, 2019 6:42 pm
Correct. Fidelity has more. Fidelity has 58 index funds. Vanguard has 48.
I am looking for following equivalent Fidelity index funds which I currently have with Vanguard:
  • VDADX Dividend Appreciation Index
  • VCT Corporate Bond Index
And low E/R (<0.25) active funds:
  • VTMFX Tax Managed Balanced
  • VMVFX Global Minimum Volatility
I have looked at Fidelity and Schwab, have not found anything close.

tj
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Re: Fidelity as a one stop shop

Post by tj » Fri Aug 09, 2019 12:12 am

nura wrote:
Thu Aug 08, 2019 10:48 pm
Ferdinand2014 wrote:
Thu Aug 08, 2019 6:42 pm
Correct. Fidelity has more. Fidelity has 58 index funds. Vanguard has 48.
I am looking for following equivalent Fidelity index funds which I currently have with Vanguard:
  • VDADX Dividend Appreciation Index
  • VCT Corporate Bond Index
And low E/R (<0.25) active funds:
  • VTMFX Tax Managed Balanced
  • VMVFX Global Minimum Volatility
I have looked at Fidelity and Schwab, have not found anything close.
You mean VTC? The total corporate bond index?

nura
Posts: 143
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Re: Fidelity as a one stop shop

Post by nura » Fri Aug 09, 2019 1:04 am

Yes, VTC

tj
Posts: 2515
Joined: Thu Dec 24, 2009 12:10 am

Re: Fidelity as a one stop shop

Post by tj » Fri Aug 09, 2019 2:23 am

nura wrote:
Fri Aug 09, 2019 1:04 am
Yes, VTC
That VTC ETF only has $151 million in total assets, so I'd say that's pretty niche.

In comparison, Vanguard Intermediate Term Investment Grade has $30 billion and Vanguard Total Bond Market has $229 billion.

If Vanguard was bringing in a lot of assets for that fund, perhaps you'd see more of the competitors launching a similar fund...

In any event, you can buy VTC (and VIG) at Fidelity with a very low trading fee.

BUBear29
Posts: 257
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Location: Dallas, TX

Re: Fidelity as a one stop shop

Post by BUBear29 » Fri Aug 09, 2019 11:45 am

stlutz wrote:
Wed Aug 07, 2019 7:12 pm
aj76er wrote:
Wed Aug 07, 2019 6:45 pm
BUBear29 wrote:
Wed Aug 07, 2019 5:56 pm
I just decided today to consolidate everything to Fidelity. Will be leaving Vanguard and moving over rira’s, 529’s and taxable accounts. Since I use the CMA and am index investor, it makes sense to have everything in one place. It will be a hassle though, I’m sure.

If anyone has any advice on how to transfer assets smoothly to Fidelity - would be appreciated.
If you hold Admiral mutual fund shares, you can convert in kind to ETFs at Vanguard prior to the transfer. No tax hit and no fees, except for any fractional shares, which should be minor. To my knowledge Admiral shares cant be held at Fido?
With the elimination of the investor class of shares you can now transfer Admiral share funds to Fidelity without converting them to ETFs. Obviously you wouldn't pay $75 to buy more of such shares but you can hold and sell at no cost.
Fidelity just confirmed that my Admiral shares can transfer without conversion! Thanks!

Now to decide if I keep them in my roth or exchange for ishares......
There is no dignity quite so impressive, and no one independence quite so important, as living within your means.

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