FZROX vs Vanguard (VTI)?

[El_Mariachi]

I have my IRA and regular investments with Fidelity

Since August I've been interested in their zero cost funds and starting last month I've been investing in FZROX

I have a substancial portion of my IRA in VTI

but curious if any one else on here is high on FZROX

[jacoavluha]

they're both fine, more important is if you have a preference or prior relationship or already established accounts with Vanguard or Fidelity

I wouldn't move from one institution to the other purely because of either offering

My preference is Vanguard. It has about 40% more holdings I believe, ~3600 vs ~2500.

The ER difference is trivial

[El_Mariachi]

Thanks

I wouldn't sell them and then move them over, just talking about what to buy going forward

I had purchased VTI from my Fidelity account, maybe I didn't make that clear

[jacoavluha]

I probably wouldn't pay a fee for VTI if I could get the Fidelity product free. Especially in the case of recurring transactions.

Once a year, I'd probably pay for VTI. That's just me

[El_Mariachi]

That's exactly what I had in mind

Take advantage of the free to buy FZROX and treat it as my cash to trade, then once I had a substancial amount I would sell and chunk buy VTI

[jacoavluha]

That's exactly what I had in mind

Take advantage of the free to buy FZROX and treat it as my cash to trade, then once I had a substancial amount I would sell and chunk buy VTI

trouble with that plan is it makes no sense to sell FZROX and incur capital gains taxes, in order to invest in VTI. If you're in a situation to harvest a capital loss then sure it makes sense. But don't pay unnecessary tax to swap one for another

[El_Mariachi]

That's a good point, I was thinking of that still in terms of IRA