Author Topic: Vanguard fund question  (Read 2043 times)

CommonCents

  • Handlebar Stache
  • *****
  • Posts: 2386
Vanguard fund question
« on: March 17, 2014, 11:22:42 AM »
If I invest enough to get standard vanguard shares, and then add to it sufficiently to reach the admiral level, how easy is it to switch the funds over?  Is this just a Vanguard label, or will the switch mean I have short term capital gains, which I'd like to avoid?

Basically I can invest the initial $3,000 today, but won't be able to invest the full $10,000 minimum for 1-2 months.  Do I get started now, or wait?

ZMonet

  • Stubble
  • **
  • Posts: 195
Re: Vanguard fund question
« Reply #1 on: March 17, 2014, 11:26:35 AM »
I've heard it happens automatically, but it looks like it is a manual review (see link below).  I'm sure if you notify Vanguard once you hit $10k it will expedite the transfer.

https://personal.vanguard.com/us/insights/article/admiral-questions-112013

DeepEllumStache

  • Magnum Stache
  • ******
  • Posts: 3389
  • Age: 36
  • Location: Hiding under my desk
  • I came, I saw, I made it awkward
Re: Vanguard fund question
« Reply #2 on: March 17, 2014, 11:29:58 AM »
I did a bunch last year.  When you hit $10k, a little indicator goes up on your page.  You click it and it asks if you want to upgrade to Admiral shares.  Vanguard does the conversion tax free.

tat96

  • 5 O'Clock Shadow
  • *
  • Posts: 41
Re: Vanguard fund question
« Reply #3 on: March 17, 2014, 11:37:42 AM »
It happens automatically as long as the fund offers Admiral Shares.  You should get an email stating that you are eligible for Admiral Shares and unless you opt out they convert automatically.

Cwadda

  • Handlebar Stache
  • *****
  • Posts: 2182
  • Age: 25
Re: Vanguard fund question
« Reply #4 on: March 17, 2014, 12:22:20 PM »
If it doesn't happen automatically, the experience I've have with customer service has been good. They should be willing to help. 

CommonCents

  • Handlebar Stache
  • *****
  • Posts: 2386
Re: Vanguard fund question
« Reply #5 on: March 17, 2014, 12:39:36 PM »
Thanks all!