Comments on: Should you open an account at the same location as your funds? http://www.moneymythos.com/2007/05/12/should-you-open-an-account-at-the-same-location-as-your-funds/ A narrative financial and investment column Fri, 20 Jan 2012 15:48:59 +0000 hourly 1 http://wordpress.org/?v=3.0.4 By: Q at $1 Million to My Name http://www.moneymythos.com/2007/05/12/should-you-open-an-account-at-the-same-location-as-your-funds/comment-page-1/#comment-14 Q at $1 Million to My Name Mon, 14 May 2007 19:47:31 +0000 http://www.moneymythos.com/2007/05/12/should-you-open-an-account-at-the-same-location-as-your-funds/#comment-14 I have all of my IRAs at Ameritrade. Much easier to keep track of, and I can buy individual stocks. I would be less inclined to open up directly with Vanguard, only because it's easier keep track of thru a brokerage house. I have all of my IRAs at Ameritrade. Much easier to keep track of, and I can buy individual stocks. I would be less inclined to open up directly with Vanguard, only because it’s easier keep track of thru a brokerage house.

]]> By: Bill http://www.moneymythos.com/2007/05/12/should-you-open-an-account-at-the-same-location-as-your-funds/comment-page-1/#comment-12 Bill Sat, 12 May 2007 20:52:16 +0000 http://www.moneymythos.com/2007/05/12/should-you-open-an-account-at-the-same-location-as-your-funds/#comment-12 In many cases, there are very good reasons to consolidate your holdings with one company. 1. It is easier to track your relationship with one company. 2. Companies often give you incentives to consolidate. For example, my checking is completely free b/c I have a total relationship in exceess of their minimums. 3. Many investments have pricepoints that consolidation allows you to take advantage of. For example, Vangaurd Spartan funds save a lot of money in investment fees. If you spread the money out, you won't get the savings. The key is to figure out when we benefit from splitting up money and when we benefit from keeping it in one spot. In many cases, there are very good reasons to consolidate your holdings with one company.
1. It is easier to track your relationship with one company.
2. Companies often give you incentives to consolidate. For example, my checking is completely free b/c I have a total relationship in exceess of their minimums.
3. Many investments have pricepoints that consolidation allows you to take advantage of. For example, Vangaurd Spartan funds save a lot of money in investment fees. If you spread the money out, you won’t get the savings.

The key is to figure out when we benefit from splitting up money and when we benefit from keeping it in one spot.

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