401k roll over to new 401k without actually selling the asset
Hi, I recently moved to a new company which use Vanguards. I want to roll over my 401k Fidelity account to Vanguards 401k to make it easier to manage.As market is fluctuating a lot, I want to keep my shares during the transfer. Basically if Fidelity sells my share, transfer the raw $ to Vanguard then Vanguard use the raw $ to buy the share, and the whole process takes 5 weeks then it could be problem as i want to stay in the market during this fluctuations. Just want to check if roll over will trigger selling my shares or not.
Does Fidelity offer the same 401K investments as Vanguard? Since it’s a new employer it’s likely different. You’ll have to select what they are opted into. Give your Vanguard rep a call call and they can walk you through the best options.
My thoughts: Your 401k is a long term investment tool. Suppose there is a “major” fluctuation in the market. How likely will this fluctuation matter when you retire X years from now?
Btw, what’s the benefit of transferring rather than just keep it as it is.
Keep two separate fidelity and vanguard. Any problem here?
When I did it, it was a straight transfer…no selling and re-buying
Call Vanguard.
Don't do this. Just open IRA account with Fidelity and move your old 401k funds there. In IRA you can hold any funds, stocks or oven trade options. Much better flexibility with IRA.
But there’s a limitation on TC, and a lot of Blinders are likely to hit it.
153k I’m googling.
@Amazon, I was talking about Roth IRAs. I do see now that traditional IRAs have no income limit. That, I didn’t know. Now, regarding rolling over, in the case of a 401k that does have Roth contributions in addition to pretax contributions (Snap’s, which also allows mega backdoor), it doesn’t seem sound to me that you can roll the Roth contributions into a traditional IRA, which is supposed to be pretax. Enlighten me please.
Leave a Roth as a Roth. Always.
Yes, but Roth IRAs do have income limits that apply to me, as I mentioned. So what would you do with this case of mixed contributions to a 401k of someone above the income limit to open a Roth IRA?
All the firms have online tools/processes to transfers. May be able to do in-kind. Perhaps call them?