Author Topic: Moving ROTH from Schwab robo advisor to Vanguard?  (Read 257 times)

vvelouriaa

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Moving ROTH from Schwab robo advisor to Vanguard?
« on: June 17, 2020, 10:19:09 AM »
Iím still in the wealth building phase (31y/o) and am considering moving my Schwab Roth IRA (20k) from their robo advisor to a self directed account. Hoping to capitalize on the current market environment. 

Is there any benefit to moving this account to Vanguard? I am considering opening a sep Ira there too.

I am interested in investing the funds into REITS or other dividend stocks. Any suggestions for specific stocks or asset allocation for Roth IRA?

Thanks for the help!

terran

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Re: Moving ROTH from Schwab robo advisor to Vanguard?
« Reply #1 on: June 17, 2020, 11:47:34 AM »
Yes, the advantage is that you'll save whatever robo advisor fee Schwab is charging you. You could accomplish the same thing at other brokerages, including Schwab.

Not what you're asking about, but consider a solo 401(k) instead of a SEP IRA if you meet the qualifications (namely no current or plans for employees other than you and your spouse).

MustacheAndaHalf

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Re: Moving ROTH from Schwab robo advisor to Vanguard?
« Reply #2 on: June 18, 2020, 12:25:13 AM »
If you like mutual funds, then Vanguard is the best place to buy Vanguard mutual funds.  For ETFs or stocks, all of the big brokerages (Vanguard, Fidelity, Schwab) charge $0/trade now.  Vanguard started it, and the others felt competitive pressure to follow (just like with expense ratios and indexing).

You should contact Vanguard to get them moving your account to Vanguard.  The place with your money now has little incentive to help lose your account, and they can't push an account to another institution anyways.  So your next step would be Vanguard.

MissPeach

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Re: Moving ROTH from Schwab robo advisor to Vanguard?
« Reply #3 on: June 18, 2020, 02:15:57 PM »
Most brokerages have low cost indexes and commission free trades so there is not a huge inventive IMO based on the numbers. It's a lot of personal preference. Just do your research on the fees/costs for whatever index you're looking for. I found some brokerages with lower fees than Vanguard on a certain indexes so I used the other firm. Vanguard usually gives you the best bang if you have enough money for admiral shares but I haven't ALWAYS found them cheaper but they often are or are competitve.