Second-guessing my Fidelity advisor. Please give 2nd opinions.

[pepethecow]

I recently had a free meeting with a Fidelity advisor at my company's campus (I work for a big tech company as a software developer).

She reviewed all of my financials and gave me a number of recommendations. I've implemented some, but I'm a bit skeptical about others, so I wanted to get some second opinions.

Here are the recommendations:

1. Decrease reliance on 529s because they're inflexible and you don't know the future. I have three kids, three 529s worth $56K, $27K, and $20K respectively. She recommended instead opening a standard IRA and a Roth IRA and doing a pass-through donation of $7K per year for myself and SAH wife (I earn too much to donate directly to Roth IRA, but the passthrough is apparently allowed? I've done this once in 2024 and it worked.) Since disbursements for education are allowed, but not required, it's a safer alternative. However, I know I could just rollover funds to my child's Roth IRA at some point…
2. Consider ABLE account in future. Like a 529 for disabled children. My youngest is autistic, so his future is a little more unknown, but he seems to be doing well so far. He's only 5, so a ways to go. His teacher thinks he'll be ready for normal kindergarten. This seems like a good thing to keep in mind for the future.
3. For my brokerage account, apart from a few "play" investments, the majority is currently invested in ITOT. She recommended doing FZROX, which is zero-cost, but Fidelity-only. I have $450K in ITOT already. I'm skeptical of this advice, but open to more opinions.
4. I was buying $10K I-Bonds every year, starting 4-5 years ago when the interest rates were higher. They're lower now. She recommended selling them and investing in something with a better return now, but still flexible to pull out if needed. She recommended going to FFRHX, a mutual fund with 8% growth, but the fees aren't rock-bottom. I think I agree with the recommendation to sell the bonds, but not sure about the specific fund.
5. HSA - Don't use it. Invest it. Pay current health expenses out of pocket. Especially since I'd like to retire around 55ish.
a. Consider opening FSA - I did not do this during recent open enrollment.
6. ESPP - Drop contribution percentage to ensure purchases are spread through year and I don't max out in September. Makes sense.

Other relevant info:

* My 401(k) is maxed out pre- and post-tax.
* I'm planning on retiring in around 11 years when I'm age 55.
* I do not want my kids to have debt from a 4-year degree.

[mkc]

I recently had a free meeting with a Fidelity advisor at my company's campus (I work for a big tech company as a software developer).

She reviewed all of my financials and gave me a number of recommendations. I've implemented some, but I'm a bit skeptical about others, so I wanted to get some second opinions.


3. For my brokerage account, apart from a few "play" investments, the majority is currently invested in ITOT. She recommended doing FZROX, which is zero-cost, but Fidelity-only. I have $450K in ITOT already. I'm skeptical of this advice, but open to more opinions.

Welcome to Bogleheads!

You are wise to be skeptical of her suggestion for FZROX in a taxable brokerage account for exactly the reason you state - it can only be held at Fidelity, so should you want to change brokerage houses, you would be forced to sell it and realize taxable gains. The proprietary Zero funds are a means to tie you to Fidelity if held in a taxable brokerage (in a tax-advantaged account like an IRA they aren't an issue since you can liquidate without tax implications.) The difference between an ER of 0% and one of 0.03% (ITOT) is not worth that aspect.

You could also consider the non-Zero S&P 500 fund at Fidelity, FXAIX, with an expense ratio of 0.015% yet is portable.

[retired@50]

4. I was buying $10K I-Bonds every year, starting 4-5 years ago when the interest rates were higher. They're lower now. She recommended selling them and investing in something with a better return now, but still flexible to pull out if needed. She recommended going to FFRHX, a mutual fund with 8% growth, but the fees aren't rock-bottom. I think I agree with the recommendation to sell the bonds, but not sure about the specific fund.

FFRHX is a junk bond fund (ER 0.73%) that is an ocean away from an I-bond issued by the US Treasury.

If you really want to change up the risk profile that much, then using a low-expense "high yield" junk bond fund is possible.
VWEHX / VWEAX is one example from Vanguard.

However, since junk bonds are so closely correlated with the stock market ups and downs, many investors just choose to use a stock fund for money that they are willing to put at risk.

I suppose the first decision is to consider how much risk you're willing to take on with your fixed income holdings and your portfolio overall.

Welcome to the forum.

Regards,

[JayDee37]

Regarding the 529 accounts, I agree with the advisor. It is possible that your kids may get scholarships or merit-based aid, or decide that college is not on their path in life. Personally I aimed to cover about half of my daughters' college expenses from 529 accounts, and half from other funding sources (taxable brokerage, cash flow). In the end the markets were kind over the past several years and my older daughter (currently a Junior in college) chose to go to an in-state public university. So her 529 account will end up covering 3/4 of expenses; the rest I will draw from savings in a CD and an MMF in my taxable brokerage that I allocated for her education a couple years ago. I didn't want to touch my Roth for the kiddos' education since that is earmarked for my own retirement.

My younger daughter is on the autism spectrum. She is currently a sophomore in a special HS for "complex learners," and although she has above-average intelligence and does very well in most of her classes, the autism impacts her functioning in other ways that might make it difficult for her to thrive in a typical college environment. I don't know if her 529 will be overfunded (if she skips college or trade school/job training entirely) or underfunded (if she wants to go to college but continues to need a smaller or specialized environment). I will cross that bridge when I come to it, I guess.

Regarding I Bonds--I have been maxing out my purchases for the past several years and intend to continue this. They fit with my preferences and needs as an investment that is appropriate for buy-and-hold, but also appropriate for immediate liquidation if needed. Some are allocated to my emergency fund, some to my fixed-income allocation. If you only bought I Bonds for the juicy returns during the recent inflationary period, by all means sell them. But they can serve other purposes in your portfolio too.

[HomeStretch]

Welcome to the forum!

Consider posting your portfolio here for feedback using the “Asking Portfolio Questions” template found here:
https://www.bogleheads.org/wiki/Asking_ ... _questions
The quality of the free forum reviews is amazingly good. Without seeing your portfolio details, it’s hard to give best feedback on the Fidelity advisor’s recommendations. But here are some thoughts on the recommendations:

1. If your income is too high to make direct Roth IRA contributions, making annual contributions via a backdoor Roth for you and spouse is worthwhile as long as you/spouse don’t have any pretax IRA balances that would cause pro-rated taxes.

I would prioritize Roth IRA contributions over 529 contributions for flexibility. But if you have a state income tax and receive a 529 state tax benefit, consider how to utilize that tax benefit. My state allows cash flowing qualified college expenses through a 529 account which I used closer to college entry as it was worth $700/yr in state tax savings plus my state allows a 5-year carryforward.

2. ABLE accounts are a tool but not the only tool for financial support of a special needs or disabled family member. If you find this to be a need for your family, specialized financial/tax/estate planning will be beneficial.

3. Terrible recommendation. Don’t use FZROX in a Taxable account. Especially if you have a tax cost from selling ITOT to exchange into it. As the Fidelity zero funds are proprietary and can’t be transferred to another brokerage, this is a way to lock you into keeping your account at Fidelity.

4. If your marginal tax rate is high, the I-Bond interest deferral is a way to expand your tax deferred space. If you are subject to state income tax, the interest when redeemed/matured is state tax exempt. Tax considerations aside, were you investing in I-Bonds only for the high yield a few years ago? If yes, there are other higher-yield fixed rate investments available but don’t use the advisor-recommended FFRHX for the reason given by retired@50. As part of my portfolio’s fixed income allocation, I hold a lot of I-Bonds for the inflation protections even if they are not the highest yielding fixed income instrument available.

5. Agree with advisor about maxing out annual HSA contributions, paying current expenses out of pocket and investing the HSA balance (I prefer to use 100% equity) for retirement. Did the advisor give you the tip to keep all your multi-year receipts for qualified healthcare expenses paid out of pocket? This way in a true emergency you can take a tax-free distribution from the HSA up to the cumulative amount of past paid qualified expenses.

If you are using an HSA-eligible HDHP, you and spouse can only open a limited purpose healthcare FSA. You cannot use a regular healthcare FSA.

6. Makes sense. Are you selling the ESPP shares when acquired or are you holding them in your portfolio?

As you plan to retire at age 55, are you familiar with the IRS “Rule of 55” which will allow you to make penalty-free 401k distributions prior to age 59-1/2? This is most effective when your company’s 401k plan allows ex-employee 401k participants to take partial distributions.

[pepethecow]

You could also consider the non-Zero S&P 500 fund at Fidelity, FXAIX, with an expense ratio of 0.015% yet is portable.

Thank you! I will look into that.

I suppose the first decision is to consider how much risk you're willing to take on with your fixed income holdings and your portfolio overall.

Welcome to the forum.

Regards,

Thanks! I wish my original decision about the I bonds had been a little more methodical. I think it was more "This seems like a good place to park some extra money that's better than pure cash!" I already have $60K cash in savings for an emergency fund, so this seemed like a slightly better place to put "near-cash". But now I wonder why I didn't just invest it in the market...

Regarding the 529 accounts, I agree with the advisor. It is possible that your kids may get scholarships or merit-based aid, or decide that college is not on their path in life. Personally I aimed to cover about half of my daughters' college expenses from 529 accounts, and half from other funding sources (taxable brokerage, cash flow). In the end the markets were kind over the past several years and my older daughter (currently a Junior in college) chose to go to an in-state public university. So her 529 account will end up covering 3/4 of expenses; the rest I will draw from savings in a CD and an MMF in my taxable brokerage that I allocated for her education a couple years ago. I didn't want to touch my Roth for the kiddos' education since that is earmarked for my own retirement.

A balanced approach like that sounds good. Maybe I fund the Roths to their max every year, then I could fund each 529 up to about what I think a 50% level is. I'm 99% confident one kid will go to university, possibly an expensive one. I could easily see either of the other two kids making different choices just based on their personalities.

My younger daughter is on the autism spectrum. She is currently a sophomore in a special HS for "complex learners," and although she has above-average intelligence and does very well in most of her classes, the autism impacts her functioning in other ways that might make it difficult for her to thrive in a typical college environment. I don't know if her 529 will be overfunded (if she skips college or trade school/job training entirely) or underfunded (if she wants to go to college but continues to need a smaller or specialized environment). I will cross that bridge when I come to it, I guess.

So hard to see into the future for this! For our five-year-old, we keep going back and forth between "this guy is going to live with us forever" to "he's actually ahead of his peers". Who knows.

Regarding I Bonds--I have been maxing out my purchases for the past several years and intend to continue this. They fit with my preferences and needs as an investment that is appropriate for buy-and-hold, but also appropriate for immediate liquidation if needed. Some are allocated to my emergency fund, some to my fixed-income allocation. If you only bought I Bonds for the juicy returns during the recent inflationary period, by all means sell them. But they can serve other purposes in your portfolio too.

You can see above for my vague thought process. I think right now, I'm inclined to not have these and just put them in a growth fund.

Welcome to the forum!

Consider posting your portfolio here for feedback using the “Asking Portfolio Questions” template found here:
https://www.bogleheads.org/wiki/Asking_ ... _questions
The quality of the free forum reviews is amazingly good. Without seeing your portfolio details, it’s hard to give best feedback on the Fidelity advisor’s recommendations. But here are some thoughts on the recommendations:

Thank you! I will do that!

I would prioritize Roth IRA contributions over 529 contributions for flexibility. But if you have a state income tax and receive a 529 state tax benefit, consider how to utilize that tax benefit. My state allows cash flowing qualified college expenses through a 529 account which I used closer to college entry as it was worth $700/yr in state tax savings plus my state allows a 5-year carryforward.

We're in Washington state, so no income tax. I'm also leaning now towards fully funding the Roth IRA, and then keep filling up the 529s until I get to at least 50% of what I expect costs to be.

4. If your marginal tax rate is high, the I-Bond interest deferral is a way to expand your tax deferred space. If you are subject to state income tax, the interest when redeemed/matured is state tax exempt. Tax considerations aside, were you investing in I-Bonds only for the high yield a few years ago? If yes, there are other higher-yield fixed rate investments available but don’t use the advisor-recommended FFRHX for the reason given by retired@50. As part of my portfolio’s fixed income allocation, I hold a lot of I-Bonds for the inflation protections even if they are not the highest yielding fixed income instrument available.

Yes, marginal rate is high. I don't know anything about the interest rate deferral, so I'll research that. I have $60K in cash in savings now as an emergency fund. I think I had considered the I Bonds as extra cash with a higher rate, but I'm not sure I really need that. Would be nice to grow it some more.

6. Makes sense. Are you selling the ESPP shares when acquired or are you holding them in your portfolio?

As you plan to retire at age 55, are you familiar with the IRS “Rule of 55” which will allow you to make penalty-free 401k distributions prior to age 59-1/2? This is most effective when your company’s 401k plan allows ex-employee 401k participants to take partial distributions.

I keep ~5% of my taxable portfolio in the company stock, and immediately sell off the excess and transfer to my bank and treat it as income that got a 10% bonus because of the ESPP discount. If I don't really need the cash that quarter, I would move it to 529s or ITOT (the majority of my account).

[Jack FFR1846]

iBonds can be a better investment than just looking at today's rate. They follow inflation (the i means inflation). If you live in a state with an income tax, they are a good deal with you sell vs a CD or HYSA. If you income is low enough, you may be able to sell the iBonds and pay no income tax if used to pay for college. I use bonds as part of my "Bonds and Fixed Income" allocation. I've got just under half a million in them. All are dual owner so we could easily gift any to our kids without limit or gift tax form filed because....well....they're a co-owner and the one who has physical custody (they're all paper) owns it. Their tax rate is what they'll pay, not my higher rate. They were particularly appreciated during the 2008 downturn. Interest every month like usual.

[munemaker]

Certainly FFRHX is an ocean away from iBonds.

However, while lower expense ratio, VWEHX and VWEAX perform inferiorly to FFRHX. FFRHX is rated 5 stars by Morningstar, while the Vanguard comparables are not. I am a believer in low expenses, but there is more to a fund than expense ratio.

FFRHX is a great fund for what it is, but it is not in any way a substitute for iBonds.

MUN

[ladycat]

Regarding portability of FXAIX (Fido's S&P 500 index fund), I recently asked Schwab if I could move my position to a brokerage account there, and the customer service rep said no. Maybe she replied in error, I haven't asked again.
FXAIX can be moved to Etrade.
I'd stick with ITOT or other etfs in a taxable brokerage account. It's something I wish I knew when I started investing.

[glitchy]

Regarding portability of FXAIX (Fido's S&P 500 index fund), I recently asked Schwab if I could move my position to a brokerage account there, and the customer service rep said no. Maybe she replied in error, I haven't asked again.

Unless something has changed at Schwab (always possible!) that is incorrect. Looking at Schwab now it says "Available to Existing Shareholders" for availability, $75 fee to buy more, and no fee to sell. I have moved Fidelity funds to Schwab but it was a few years ago. Actually I've ACATS'd all sorts of weird things to Schwab and they've been good about taking them and holding them, and they have even offered to waive fees for an entire fund family if it meant they'd get some new business out of it. I'm pretty sure the rep was confused.

[ladycat]

Regarding portability of FXAIX (Fido's S&P 500 index fund), I recently asked Schwab if I could move my position to a brokerage account there, and the customer service rep said no. Maybe she replied in error, I haven't asked again.

Unless something has changed at Schwab (always possible!) that is incorrect. Looking at Schwab now it says "Available to Existing Shareholders" for availability, $75 fee to buy more, and no fee to sell. I have moved Fidelity funds to Schwab but it was a few years ago. Actually I've ACATS'd all sorts of weird things to Schwab and they've been good about taking them and holding them, and they have even offered to waive fees for an entire fund family if it meant they'd get some new business out of it. I'm pretty sure the rep was confused.

It seemed strange to me that I could purchase Fido funds at Schwab (for a fee), but couldn't transfer them. At the time (mid-2024), the CS rep said they used to have some sort of agreement with Fidelity, but didn't have it anymore. I could call again and ask someone else. My goal in moving some of the Fido funds is to reduce the risk of having almost all my eggs in the Fido basket.

[Chuckles960]

FFRHX is a junk bond fund (ER 0.73%) that is an ocean away from an I-bond issued by the US Treasury.
...
However, since junk bonds are so closely correlated with the stock market ups and downs...

Regards,

Since FFRHX buys short term junk, it is NOT "closely correlated with the stock market". It can drop sharply during extreme events e.g. 2008, but then tends to bounce back, and otherwise chugs along steadily. It is not a bad suggestion for those willing to take a little risk and not obsessing on expense ratio.

In general this advisor's suggestions are fairly reasonable, unlike some Fidelity-advised portfolios reported here.Yes, of course FXAIX rather than FZROX.

[retired@50]

Since FFRHX buys short term junk, it is NOT "closely correlated with the stock market".

True. I didn't realize how short the duration was on the FFRHX fund when I typed out that remark. It appears it has around a 3 month duration.

I find FFRHX to be a very weird fund. For the longest time it performed worse than VBTLX, but since mid-2022 it seems to have taken off - which is probably where the 5-star rating comes from. Not sure what's going on, but FFRHX doesn't seem like a great idea for an investor with a long time horizon and a buy and hold mentality - at least not to me. To each their own.



Regards,

[dogagility]

Providing some thoughts below but largely agree with previous responses.

She reviewed all of my financials and gave me a number of recommendations. I've implemented some, but I'm a bit skeptical about others, so I wanted to get some second opinions.

You're right to be skeptical.

1. Decrease reliance on 529s because they're inflexible and you don't know the future. I have three kids, three 529s worth $56K, $27K, and $20K respectively. She recommended instead opening a standard IRA and a Roth IRA and doing a pass-through donation of $7K per year for myself and SAH wife (I earn too much to donate directly to Roth IRA, but the passthrough is apparently allowed? I've done this once in 2024 and it worked.) Since disbursements for education are allowed, but not required, it's a safer alternative. However, I know I could just rollover funds to my child's Roth IRA at some point…

If you can use money from other sources to fund college, I would not use your IRA accounts for this.

Your spouse may be able to make a tax deductible contribution to their IRA (spousal IRA). https://www.nerdwallet.com/article/inve ... ion-limits

3. For my brokerage account, apart from a few "play" investments, the majority is currently invested in ITOT. She recommended doing FZROX, which is zero-cost, but Fidelity-only. I have $450K in ITOT already. I'm skeptical of this advice, but open to more opinions.

FZROX is an excellent fund but can only be used for investing at Fidelity. If you want to move this money to a different brokerage in the future, you'd have to sell FZROX (incurring taxes). For this reason, it is not recommended to purchase FZROX in a taxable account. Using FZROX in a tax advantaged account like an IRA is fine since taxes are not incurred upon selling.

4. I was buying $10K I-Bonds every year, starting 4-5 years ago when the interest rates were higher. They're lower now. She recommended selling them and investing in something with a better return now, but still flexible to pull out if needed. She recommended going to FFRHX, a mutual fund with 8% growth, but the fees aren't rock-bottom. I think I agree with the recommendation to sell the bonds, but not sure about the specific fund.

I suggest you keep the I bond investment and consider this all (or part of) your emergency fund.

As others have mentioned, FFRHX is a completely different investment (much more volatility). I bond values are stable which make these excellent to use as an emergency fund.

5. HSA - Don't use it. Invest it. Pay current health expenses out of pocket. Especially since I'd like to retire around 55ish.
a. Consider opening FSA - I did not do this during recent open enrollment.

You cannot contribute to both an FSA and an HSA in the same tax year. I would prioritize the HSA over the FSA... triple tax advantaged, can be invested, not a use it or lose it proposition.

The advise to cash flow health care expenses and using the HSA as a retirement vehicle is a good one... assuming you are also maxing out the contributions to your other tax advantaged retirement accounts (IRAs and 401k/403b).

6. ESPP - Drop contribution percentage to ensure purchases are spread through year and I don't max out in September. Makes sense.

Are you maximizing your contribution to the ESPP? This is a great idea, especially if the holding period is very short. See https://www.bogleheads.org/wiki/Priorit ... nvestments

* I do not want my kids to have debt from a 4-year degree.

To estimate college costs, use Net Price Calculators to see how much out of pocket expenses would be. These are very accurate for most families. However, your family has significant uncertainty given college is still years away. Still, these NPCs can give you some idea.

[Torino]

FFRHX - Floating Rate High Income - is not specifically a bond fund. It is a leveraged bank loan fund where the interest paid by the borrower increases when interest rates increase and decreases when interest rates go down.

Thus the reason it has outperformed over the last few years in line with rates being increased by the Fed and underperformed during the long period of zero percent rates prior.

Floating rate duration does not have the same meaning as regular interest rate sensitive bond funds.

Fidelity has good research but it does not seem ideal for a high income professional in a taxable account.

Also it most likely will underperform a high yield bond fund if rates decline. The best time to buy floating rate funds is before an increase in interest rates.

[retired@50]

FFRHX - Floating Rate High Income - is not specifically a bond fund. It is a leveraged bank loan fund where the interest paid by the borrower increases when interest rates increase and decreases when interest rates go down.

Thus the reason it has outperformed over the last few years in line with rates being increased by the Fed and underperformed during the long period of zero percent rates prior.

Floating rate duration does not have the same meaning as regular interest rate sensitive bond funds.

Fidelity has good research but it does not seem ideal for a high income professional in a taxable account.

Also it most likely will underperform a high yield bond fund if rates decline. The best time to buy floating rate funds is before an increase in interest rates.

Thanks for this additional insight into FFRHX.

It almost seems as though the adviser is performance chasing by suggesting the OP sell I-bonds and buy the FFRHX fund.

Regards,

[nedsaid]

This thread is proof that advice should always be double checked, the value of the Bogleheads forum as a place to run ideas past informed participants. Looks to me the advisor might be right on point 1, point 2 looks good, point 3 was wrong, point 4 was wrong, point 5 was wrong, point 6 looks good. Even the very best Advisors don't know everything, everyone in practice has their strong points and their weak points, pretty much Advisors need to know their circle of competence. There is always more to know. Gosh, Allan Roth just discovered in recent years how to build a TIPS ladder, Allan learns just like the rest of us.

[tibbitts]

.
It almost seems as though the adviser is performance chasing by suggesting the OP sell I-bonds and buy the FFRHX fund.

I agree with this. Although I own FFRHX it's in deferred; I wouldn't own it in taxable, and wouldn't own it at all as any kind of near-cash substitute.

[secondopinion]

I recently had a free meeting with a Fidelity advisor at my company's campus (I work for a big tech company as a software developer).

She reviewed all of my financials and gave me a number of recommendations. I've implemented some, but I'm a bit skeptical about others, so I wanted to get some second opinions.

Here are the recommendations:

1. Decrease reliance on 529s because they're inflexible and you don't know the future. I have three kids, three 529s worth $56K, $27K, and $20K respectively. She recommended instead opening a standard IRA and a Roth IRA and doing a pass-through donation of $7K per year for myself and SAH wife (I earn too much to donate directly to Roth IRA, but the passthrough is apparently allowed? I've done this once in 2024 and it worked.) Since disbursements for education are allowed, but not required, it's a safer alternative. However, I know I could just rollover funds to my child's Roth IRA at some point…
2. Consider ABLE account in future. Like a 529 for disabled children. My youngest is autistic, so his future is a little more unknown, but he seems to be doing well so far. He's only 5, so a ways to go. His teacher thinks he'll be ready for normal kindergarten. This seems like a good thing to keep in mind for the future.
3. For my brokerage account, apart from a few "play" investments, the majority is currently invested in ITOT. She recommended doing FZROX, which is zero-cost, but Fidelity-only. I have $450K in ITOT already. I'm skeptical of this advice, but open to more opinions.
4. I was buying $10K I-Bonds every year, starting 4-5 years ago when the interest rates were higher. They're lower now. She recommended selling them and investing in something with a better return now, but still flexible to pull out if needed. She recommended going to FFRHX, a mutual fund with 8% growth, but the fees aren't rock-bottom. I think I agree with the recommendation to sell the bonds, but not sure about the specific fund.
5. HSA - Don't use it. Invest it. Pay current health expenses out of pocket. Especially since I'd like to retire around 55ish.
a. Consider opening FSA - I did not do this during recent open enrollment.
6. ESPP - Drop contribution percentage to ensure purchases are spread through year and I don't max out in September. Makes sense.

Other relevant info:

* My 401(k) is maxed out pre- and post-tax.
* I'm planning on retiring in around 11 years when I'm age 55.
* I do not want my kids to have debt from a 4-year degree.

1. Cannot comment really, but I like flexibility personally.
2. Maybe. Autism varies widely; I did not survive “normal” kindergarten yet got a 4.0 GPA for a Master’s degree from a Public Ivy university. It will impact their life, though. Being supportive is the best thing.
3. The recommendation will result in lock-in in a taxable account. I would not do it.
4. Junk bonds are not I-Bonds; TIPS are far more comparable. The tip off for the advisor is yield seeking, you could do SPHY at 0.05% ER and you would likely do better for junk bonds. But if taxes are high, this is the wrong way to take risk.
5. I agree with this but I personally think there is a limit here. Since I get the tax deductions and want to keep them, I do use it up when there is no tax benefit to claim medical expenses out of pocket. Since I am single, heirs would have to pay taxes if I pass.

[Wash.Invest]

Agree with the investment advice given here at BH - Fidelity rep is advising very 'Fidelity like', as expected.

With your approaching retirement goals, I would incorporate LT tax planning, which may preclude current investment decisions.

After 20 yrs of early retirement, I've come to appreciate the preplanning tax steps. Especially utilizing my DAF (donor advised funds) during my earning years, to stash and invest taxable gains which will endure as available charitable gifting for perpetuity.

529 over funding - I would avoid, in light of assuring you have adequate retirement funds growing throughout the college years. Then pay down student's interest deferred loans AFTER graduation, with deflated $$. Many low cost college options today. I expect many more coming in the future. Plus it's impossible to really know the outcome of kids or career choices and available future opportunities.

You've done well, finish strong.

There will be bumps and detours.