Author Topic: Transferring between brokers via M1 App  (Read 325 times)

Deac

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Transferring between brokers via M1 App
« on: October 11, 2019, 01:16:39 PM »
I'm going to preface this by saying I'm brand new to investing so our approach right now is very simple until we get our "financial knowledge  feet" under us so to speak.

I currently have a few thousand dollars in a T Rowe Price Cap Appreciation fund.  Our plan is to transfer that over to Vanguard into the S&P 500 Index Fund because it has a much lower e/r.  I am new to MMM, but have been following other FI blogs/podcasts (J Money, Paula Pant, How to Money, Choose FI, Go Curry Cracker) for awhile with many of them promoting Index funds.

My wife heard about the M1 finance app and wants us to learn how to use it to complete this process.  I have contacted M1 and have been given pretty straight forward instructions, but have been hesitant to pull the trigger.  With the app, a joint account has to be transferred to a joint account (which is what we have),  but they differentiate between Joint accounts and retirement accounts.  This is where my ignorance and naiveté regarding this process kicks in. 

I'm assuming that despite the fact that we are purposing the funds that will be put into this index fund for retirement, a "retirement" account refers to specific retirement focused accounts (i.e. IRA, Roth, Etc.)?

Ultimately, I just don't want to be losing greater amounts of my investments down the road to taxes or fees because I have to transition them later, because I accidentally put them in the wrong type of account initially.

TomTX

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Re: Transferring between brokers via M1 App
« Reply #1 on: October 12, 2019, 05:32:38 PM »
Why would you insert an intermediary when you can just have a direct transfer from T Rowe to Vanguard?

Example:

https://investor.vanguard.com/account-transfer/how-to-transfer-money