ETF transfer from Vanguard to WellsTrade

For the purpose of free rebalancing, I submitted a request to transfer the ETFs I held in an IRA at VBS (Vanguard’s Brokerage Service) to WellsTrade (Wells Fargo’s free trade offering).

I was pleasantly surprised by the speed at which this was accomplished. I faxed in the request to WellsTrade on the morning of 2/04/2008 Monday. This evening (2/06/2008 Wednesday), I noticed that the shares have already been deposited into my WellsTrade account. All done in a matter of two business days!

Kudos to both WellsTrade and Vanguard for not dragging their feet in this matter!

PS. Vanguard does not charge any fee for out-going transfers.

8 Comments

  1. nicky

    I transfered my stocks from Scottrade on 2/4, my stocks were gone from Scottrade on 2/7, but nothing shows yet at Wells Fargo???

    Reply
  2. indexfundfan (Post author)

    My stocks show up the same day they got deducted from VBS. You might want to call up Wells Fargo.

    Reply
  3. nicky

    I sent them an email, turns out that I have to manually add the brokerage account, by going to account services -> add accounts.

    Reply
  4. indexfundfan (Post author)

    Oh, I am glad to hear that it is just a misunderstanding.

    Reply
  5. nicky

    May I ask where you keep your short term cash, bond fund or Money market? thanks.

    Reply
  6. indexfundfan (Post author)

    Nicky, for the money at WellsTrade, I put it into RMMXX and SHV. See LINK.

    Reply
  7. Nicky

    Thanks, I haven’t dealt with short term bonds before, the way I understand it is if I sell the bond, cash would be available immediately, with th MMF, it would be next day, is it safe to park money in SHV?

    Reply
  8. indexfundfan (Post author)

    SHV is an ETF. If you sell it, it will settle in 3 business days, but you can immediately use it to buy another ETF or stock (since this will also settle in 3 business days).

    SHV is a treasury bond fund so in terms of credit risk, it is as safe as it can be. But its price does fluctuate very slightly. You should check out the price chart — but be aware that it pays dividends at the end of the month so there is always a price dip on those days.

    Reply

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