Jump to content

JC.

Members
  • Content Count

    30
  • Joined

  • Last visited

Posts posted by JC.


  1. Hi. The $36 OMNI fee is what my district pays OMNI per participant. My memory is foggy on this whole situation, but I do remember talking to and emailing with a representative from IPX. I also uses 403Bcompare.com. That is where I would have gotten my information from. The representative I spoke with and emailed with was Rick Moser <rmoser@fps-services.com. I would email him. He was very responsive and answered all of my questions. I ended up going with Vanguard direct and have been happy minus some issues with how quickly they processed my transfer of funds from Aspire. Please let me know if you have any other questions.


  2. On 5/26/2021 at 8:23 AM, Teacher88 said:

    Not sure if this post is still active.  My district also added IPX this year.  I have been working with the union to offer better options, the district obviously still resists.  According to 403b compare it says the fees for Fidelity is $126.  JC, where did you find the fees as $50 a year?  It also says that is based on $10,000.   What wold the yearly fees be for $300000?  I also see where IPX does not offer any index funds through Fidelty.  

     

    JC can you explain to me the $36 OMNI fee?  Does your district give you the option to pay that fee and invest where you like?  Does your district make each individual pay the $36 per year?  My district does not charge us a penny to invest in the 403b.  Instead they have adopted the awful P3 list of expensive options.  

     

    Hi. The $36 OMNI fee is what my district pays OMNI per participant. My memory is foggy on this whole situation, but I do remember talking to and emailing with a representative from IPX. I also uses 403Bcompare.com. That is where I would have gotten my information from. The representative I spoke with and emailed with was Rick Moser <rmoser@fps-services.com. I would email him. He was very responsive and answered all of my questions. I ended up going with Vanguard direct and have been happy minus some issues with how quickly they processed my transfer of funds from Aspire. Please let me know if you have any other questions.

     

    JC


  3. 20 hours ago, tony said:

    Thank you so much for your thoughts. You are right. I should focus on educating my friend. I'm on it. Have a great weekend.

    JC

    I say start right here at 403bwise.org. Lots of informational links on the main home page . Teacher  testimonial stories on here would help too ,and Dan's book Teach and Retire Rich opened my eyes and may do the same for her.  It's written in an easy to understand way that a newbie can grasp. Buy it for her as a gift. It's pretty cheap .Some folks need to see it in print before they believe something.  I don't blame them. I'm the same way. Just telling her won't do much good usually because everyone has an opinion.Plus ,some folks trust financial advisors because they are  seen  as experts and  many seek them out as knowledgeable  and because they don't want to do the research themselves.  But we know  how  often they   take advantage of teachers. We here  are on to them. They are nothing more than commissioned salespeople not true advisors.

    From there I would take her to the Vanguard website and show her the fees they charge on their mutual funds. They have a nifty tool called fund comparison which might be useful as it will breakdown info about the funds you type in. Here is the link; 

    https://personal.vanguard.com/us/faces/JSP/Funds/Compare/CompareEntryContent.jsp

    Now if she has a Voya sales rep you can bet he/she will try and keep her right where she is by any means necessary  if she tries to transfer and  will feed her all sorts of misinformation. She might not see the urgency of changing  unless you encourage and help her with the transfer.

    I don't mean to hate 403b salespeople, they are trying to make a living in a bad delivery system  but it's in your friends best interest to move over to Vanguard. But she won't have a helping advisor there and some folks need that and are willing to pay for it. In that instance Voya might be a better choice for her if she needs extensive handholding. Voya I believe might allow her to self direct into Vanguard but she will pay more in that structure.

    Sorry to have rambled on so much. Hope I've helped a little.

    Tony

     


  4. Hi Everyone,

     

    A while back a friend of mine chose Voya for their 403B. We now have access to Vanguard and I want to be able to provide her with "proof" that she is paying more for her Voya plan than it would cost for her to move to Vanguard. Where do you suggest I start my research to find out the costs of Voya vs. Vanguard? Any help would be greatly appreciated.

     

    Thanks in advance.

     

    JC


  5. IPX was recently added to my districts plan. The promoted access to dozens of low priced Fidelity funds for fee of $50 a year. I was supper excited and after reviewing the entire list, which I shared attached to this post, I decided to open an account.

    There was a catch with IPX though. They put me through a bait and switch. After I signed up for the account I noticed that not all of the investments that were disclosed to me before I started the account were available. When I questioned this they

    said

    "We are QA'ing the Fidelity fund list and should be pushing out to the system the list i first shared with you.  Would think it will be there by early next week."

    After the week the fund list was refreshed, but with out many of the low cost investments that were originally advertised. When I question this again, the representative apologized and

    said

    "Good morning.  There were several funds from the original list that I sent to you which are cannot be included in the lineup.  Most of those were the institutional index funds which had to be deleted.  I apologize that they were included in that original list provided.    

    Please let me know of any additional questions I can answer for you."

     

    Needless to say I will not be doing business with IPX. I will be going with Vanguard instead. Please make sure you watch these companies. We need to keep them honest.

    Thanks agin to all that post here for your support and guidance.

    Enjoy.

     

    JC

    fidelity p3 funds (1).xlsx


  6. On 2/12/2020 at 4:49 PM, EdLaFave said:

    If you sign up for it, please report back over time and if there aren’t any catches then I’ll document it and add it to my list of best vendors on my site. 

    Hi Ed,

    There was a catch with IPX. When I signed up for the account not all of the investments that were disclosed to me before I started the account were available. When I questioned this they

    said

    "We are QA'ing the Fidelity fund list and should be pushing out to the system the list i first shared with you.  Would think it will be there by early next week."

    After the week the fund list was refreshed, but with out many of the low cost investments that were originally advertised. When I question this again, the representative apologized and

    said

    "Good morning.  There were several funds from the original list that I sent to you which are cannot be included in the lineup.  Most of those were the institutional index funds which had to be deleted.  I apologize that they were included in that original list provided.    

    Please let me know of any additional questions I can answer for you."

     

    Needless to say I will not be doing business with IPX. I will be going with Vanguard instead. Please make sure you watch these companies. We need to keep them honest.

    Thanks agin to all that post here for your support and guidance.

    Enjoy.

     

    JC


  7. Thank you so much for your response. That website 403bcompare.com is a wonderful resource.

    I would say the IPX plans that do not charge BP seem to be a wonderful option. You have to remember though Fidelity charges $24, but I have to content with the $36 fee Omni charges. So if Omni brought Fidelity into the P3 I would have to pay $60. with IPX I pay $50 and that includes Omni's $36 fee. It's actually cheaper. Since I will just be using this account for the Fidelity SP 500 index fund FXAIX at .02% it's an incredibly inexpensive plan.

     

    Thanks again for the reply.

     

    JC


  8. 3 hours ago, Jeff the Teacher said:

    I was wondering if anyone knows if Charles Schwab offers any 403(b) services for schools. I found a document online related to Schwab 403(b) but saw little mention of 403(b) on the Website when doing a quick look.

    Here is a custodial agreement I found:

    https://www.schwab.com/public/schwab/nn/schwab_403b7_account_agreement.html

     

    Whatever insights people have would be appreciated.

    I have yet to see them as an option, but I would be surprised if they didn't have some way of addressing that market.

     

    JC


  9. 17 hours ago, EdLaFave said:

    Just to be clear, what I said is that I have every reason to believe they’re unethical because they don’t list any useful information on their website. I reserve my actual judgment until I have the necessary information.

    I followed the link you sent. I see a $50/year custodial fee and I see a $121 annual cost fee listed at the top. I’m not sure what is what there.

    I also see you have access to:

    Fidelity 500 - 0.02%

    Fidelity Mid Cap - 0.03%

    Fidelity International - 0.04%

    Fidelity Emerging Markets - 0.08%

    Fidelity Intermediate Treasuries - 0.03%

    So if you only have to pay $50 on top of those expense ratios and there aren’t any other fees then this is a really good plan. 

    I'm with you Ed. I really appreciate the thoughts. I agree, the website is weird. I have been emailing with a representative and everything seems like its on the up and up. I had never even heard of this company. The link I sent from 403b compare seems to confirm what I am being told. The $121 they reference seems to be the $50 fee, plus the cost of owning funds. The site estimates this 71 fee by taking   the average expense ratio of all investment options. and multipling it by a 10k investment. I would just use the Fidelity SP 500 index fund FXAIX .02%.

     

    It sounds almost too good to be true, which is why I'm questioning it. I also have a Vanguard proper option, but that is $60 a year and I would rather Fidelity funds.

     

    Thanks again Ed.

     

    JC


  10. 3 hours ago, EdLaFave said:

    I don't know why you're phrasing the expenses this way and I'm deeply skeptical of the "$50 a year for Fidelity funds" phrasing because:

    • Vendors typically charge a flat rate to have the account (like Vanguard's $60/year) and/or an AUM to have the account (like Aspire's 0.15%/year).
    • Furthermore, vendors at least to my knowledge, don't give different fees for a family of funds (like say Fidelity funds in your example)...they may inflate a fund's expense ratios.

    Additionally, I went to their website and it doesn't provide any useful information despite having pages and pages of "content." This is the same approach used by vendors looking to rip-off investors because they want you to call or they want to send a rep to you so they can apply high pressure tactics to get you to sign up for something you don't understand. They certainly don't want you to understand the product in the comfort of your home and then count on you signing up because it is so awesome.

    So although I don't have any experience with IPX, I have every reason to believe they're unethical.

    Hi Ed,

    Thank you for the response. From my understanding IPX has three different types of accounts that you can open all with a different fee structures and investing opportunities.

     

    What the representative shared with me seems to be confirmed by 403bcompare.

     

    Here is there product list https://www.403bcompare.com/vendors/1966#/productlist

     

    And here is the plan that gives access to Fidelity Funds for a $50 flat fee.

     https://www.403bcompare.com/products/272#/investmentoptions

     

    Ed thinks IPX is unethical. Does anyone else have an opinion?

    '

    Thanks again Ed. 

     

    JC


  11. Hi Everyone,

     

    My district just added two new vendors to our list.

    IPX and Vanguard.

     

    Which would you choose:

     

    Vanguard $60 a year or IPX with Fidelity Funds for $50 a year?

     

    I'm a Fidelity investor, the fund I am interested in are on average less expensive than Vanguard, but my money would be house with IPX not Fidelity directly.

     

    Thoughts?

     

    JC


  12. Has anyone ever dealt with a company called IPX

     

    https://www.ipxplatform.com/overview/

     

    They just came online as an Omni P3 provider. They seem to be set up just like Aspire, but their cost structure is better.

    For Vanguard Admiral share funds it costs $86 which includes Omni's $36, Vanguards fees and IPX fees.

    For Fidelity funds it costs $50 which includes Omni's $36, Fidelities fees and IPX fees.

    or

    their Fund Portal option which is $50 & .2% This includes a bunch of investment options.

     

    I'm not sure why you would do the Vanguard one or the Fund Portal since Vanguard itself only charges $60 a year and my district pays Omni's $36 or the Fund Portal option.

    But

     

    $50 for access to a boatload of Fidelity funds sounds great. 

     

    Has anyone heard or dealt with IPX before??

     

    Thanks in advance.

     

    JC

     

     


  13. Are you sure you are not grandfathered into the plan you had previously opened at Fidelity? I am currently with Aspire. There is a maintenance charge and they do charge basis points. I would look into them first.

     

    JC


  14. Hi Everyone,

    I'm in NY and am having a difficult time with not dropping the 403b altogether and moving to the 457 which has an administrative fee which is a combination of a $20 annual fee, paid in two $10 semi-annual installments and an asset-based fee calculated as a percentage of a participant's account balance. The annual asset-based fee is estimated to be 3.0 basis points, paid in two 1.50 basis point semi-annual installments. The asset-based fee will be charged only on accounts with balances in excess of $20,000. Account assets subject to the asset-based fee are capped at $200,000.

    So for the NY 457 $200,000 would be $20 + ($200,000*0.0003) = $80 annual fee MAX since the asset-based fee is capped at $200,000. That $80 turns out to be an admin fee of .04%

     

    Am I wrong or isn't that a really inexpensive plan?

     

    JC


  15. I will have to check up on that. The information I was passed just talked about Vanguard's $60 annual fee not Omni's fee of an additional $60.

    I'm in NY and am having a difficult time with not dropping the 403b altogether and moving to the 457 which has an administrative fee which is a combination of a $20 annual fee, paid in two $10 semi-annual installments and an asset-based fee calculated as a percentage of a participant's account balance. The annual asset-based fee is estimated to be 3.0 basis points, paid in two 1.50 basis point semi-annual installments. The asset-based fee will be charged only on accounts with balances in excess of $20,000. Account assets subject to the asset-based fee are capped at $200,000.

    So for the NY 457 $200,000 would be $20 + ($200,000*0.0003) = $80 annual fee MAX since the asset-based fee is capped at $200,000. That $80 turns out to be an admin fee of .04%

    Isn't that better?

    Is there something I am missing?

     

    Thanks all.

     

    JC


  16. Hi Everyone,

     

    Just heard that Vanguard is back on Omni's P3 provider list. Vanguard Fee is $5 a month/$60 a year plus fund expenses.

    So 200k .04% fund expense is $80 plus $60 annual fee= $140

     

    Has anyone else heard this? I will be calling my district office tomorrow to confirm, but it looks like good news is coming.

     

    Thoughts?

     

    JC

    Vanguard 403(b) Services_Core Fund Offering 4Q19.pdf Vanguard 403(b) Services Program.pdf

×
×
  • Create New...