I made a mistake a couple years ago to rollover my previous company’s 401k to a Fidelity rollover IRA managed account. It made 8% return in 1 year which was less than all the indexes. Current YTD it only made 0.5% and that’s with 1% in fees. Should I move it to my current employer’s 401k or self managed IRA? #personalfinance #investments
Sorry, you clearly have no idea on how to manage money. Returns depend on where you invest. You cant take 401k and put it in Roth IRA. It should go to Rollover IRA. So, moved your funds to Rollover IRA and then decide where you want to put your money - stocks, index funds, etfs, bonds are all your options.
S/he can actually convert the money from the rollover IRA it’s in now to a Roth IRA. That assumes it’s in a traditional now. Maybe OP had a roth 401k and it’s now sitting in a rollover Roth IRA.
It is a managed Rollover IRA https://www.fidelity.com/retirement-ira/401k-rollover
Why do low returns in the actively managed fund mean you need to move it to a different brokerage? Just change the investment. Also if you’re planning to convert to roth make sure it makes sense from a tax perspective. Are you in a low tax bracket now?
It’s a managed account so I don’t make the investment. I pay them to. Maybe Roth isn’t what I wanted since that’s after tax investment but wanted ideas on what my other options are.
Why don’t you just keep it in the traditional rollover IRA but sell the actively managed fund and buy a few indexes.. mostly S&P, a small cap index, and an international index. You shouldn’t move it into your current employers 401k plan-probably has higher fees and fewer investment options.
Always self manage..
Self manage. 401k is a scam
How?
Just move to IRA and use vanguard funds if you don't have other ideas. You are in tech, don't you have thoughts on what tech might grow faster than overall market?