Clark has recommended using Vanguard, Fidelity and Charles Schwab for years. But recent issues at Vanguard have really soured his opinion on the brokerage. Is it time to move your money? Clark shares his answer.
Subscribe on Apple Podcast or wherever you listen to get the latest episode of The Clark Howard Podcast.
***
Relevant Links:
►
Clark.com: Advice You Can Trust:
SUBSCRIBE ►
★ FOLLOW US BELOW: ★
Twitter ►
Clark Howard Facebook ►
Clark Deals Facebook ►
Clark Howard Instagram ►
Clark Deals Instagram ►
Podcast ►
★ Need Consumer Advice? ★
Consumer Action Center: Call 636-492-5275 for Free Help for Your Money Questions
Need advice? The Consumer Action Center is a free community resource for advice on money and consumer issues. Call 636-49C-LARK (636-492-5275) and a member of Team Clark will assist you as soon as possible.
The Consumer Action Center is available Monday-Friday from 10 a.m. to 4 p.m. ET.
….(read more)
LEARN MORE ABOUT: IRA Accounts
INVESTING IN A GOLD IRA: Gold IRA Account
INVESTING IN A SILVER IRA: Silver IRA Account
REVEALED: Best Gold Backed IRA
Should You Be Using Vanguard?
Investing can be a daunting task, especially for those who are new to the world of finance. With so many options available, it’s difficult to determine which investment platform is the best fit for your needs. One popular choice is Vanguard, a well-known investment management company. In this article, we will explore the advantages and disadvantages of using Vanguard as your investment platform.
Vanguard is widely regarded as one of the most reputable investment companies in the industry. Known for its low fees and long-standing history, Vanguard has built a strong reputation among investors. Their focus is on providing low-cost index funds and exchange-traded funds (ETFs), which can be beneficial for individuals looking for a passive investment strategy.
One of the most significant advantages of using Vanguard is their low expense ratios. Unlike many other investment companies, Vanguard keeps its fees at a minimum, allowing investors to keep more of their returns. With expense ratios that are typically below the industry average, Vanguard ensures that investors can maximize their investment gains.
Furthermore, Vanguard has a vast selection of funds to choose from. Whether you’re interested in domestic stocks, international stocks, bonds, or even socially responsible investments, there are plenty of options available to suit your investment goals. Vanguard’s diverse range of funds caters to investors of all types and risk tolerances.
Additionally, Vanguard is known for its long-term approach to investing. They emphasize sticking to a disciplined investment strategy and discourage investors from making impulsive decisions based on short-term market fluctuations. This strategy promotes consistent and steady growth over time, benefiting long-term investors.
While Vanguard offers many advantages, it’s important to also consider the potential drawbacks. One disadvantage of using Vanguard is that their customer service may not be as hands-on as some investors desire. Since they primarily operate online, some clients may find it difficult to receive personalized support or guidance. However, Vanguard compensates for this by providing extensive educational resources on their website, which can help investors make informed decisions.
Additionally, Vanguard requires a minimum investment for certain funds, typically ranging from $1,000 to $3,000. This minimum amount might pose a barrier for some new investors who are just starting out with smaller amounts of capital. However, Vanguard does offer target-date retirement funds, which have lower minimum investment requirements, making them accessible to a wider range of investors.
Ultimately, whether or not you should use Vanguard depends on your individual investment goals and preferences. If you value low fees, a wide selection of funds, and a long-term investment approach, Vanguard might be an excellent choice for you. However, if you prefer a more hands-on and personalized approach, you may want to explore other investment platforms.
In conclusion, Vanguard is a widely respected investment company that offers a range of low-cost funds with attractive expense ratios. Their long-term investment approach and diverse offerings can be appealing to many investors. However, it’s essential to carefully consider your individual needs and preferences before deciding if Vanguard is the right fit for you.
3rd grader is an exaggeration; 10th grader is more accurate.
Schwab is my pic….Great Service….no political crap
When I call vanguard I feel like I work for them and not the other way around.
There is no need to ever talk with anyone. I never have.
Fidelity IS THE BEST!
My Roth IRA is with Schwab. I don’t often have questions, but when I do, their support is great, prompt and professional.
Vanguard and Blackrock all in in ESG scores. They don't care about you and your money!
Agree Clark. I called last week with questions and got some 20 something on the line who really didn't have an answer but gave me a song and dance. Also, the phone wait time was projected for up to 20 minutes. (!!) The Rep picked up much sooner, but if I ever have to wait that long the rest of my Vanguard money will be going to Fidelity.
Clark, have your reviewed T Rowe Price? Their customer service is horrible, noticeable change in the last 3 years. Vanguard;s website needs major upgrade because their emphasis is on DIY. Fidelity puts new clients into total Fidelity funds portfolio, but their fees are competitive with Vanguard. Schwab keeps changing its marketing model.
Fidelity reps try to talk me into funds with higher expenses; Vanguard reps don't.
vanguards website sucks, my advisor is fixing to be fired because he missed a scheduled meeting with me and they will put you on hold for looooong periods of time. Fidelity here i come!
Agree. I have been with them since they started their Voyager service which I found woefully arrogant at times. Customer service wise Vanguard is very disappointing, and has been historically so. Fidelity is much better. But, fund wise Vanguard still seems to give greater value and performance than Fidelity. My advice is to just keep it simple at Vanguard so you don't need to get involved with customer service. For stock trades I think Fidelity is way better.
I recently opened a Vanguard account and I noticed this as well!!! I thought it was me. Thank you so much for sharing this!
It doesn’t matter who you sign up wIth they are NOT your friend. Bad news, when you get hungry they do too. If you F yourself that’s your fault. They are doing it to themselves and we are the middle men and women. They are just addicted idiots and I BELIEVE IN GOD. Have a blessed day!
My father just pulled all his retirement out of Vanguard. At 75, his sick of their service.
I have accounts with Schwab, Fidelity, TD and Vanguard and Vanguard is squarely in last place in my experience. Thankfully, I only have a UTMA-UGMA account with them for each of my daughters. I don't have any plans to do any further business with them, when it was time for my daughters to open their Roth's, I went with Schwab.
I have been a long time investor of Vanguard, it has gotten so bad I just want to cash out they are horrible. I do not recommend them to anyone
If Zelle has too much risk, How should I send money to family members. I was enjoying not having to send paper checks in the US post.
So what's the other half of the equation? What's good about Vanguard? Why do they attract so much money??
I’m considering moving my money I don’t want to hear any more woke shlt from them
Only one of them doesn't have to answer to shareholders…
Clark, so is your email newsletter. Design is super Antiquated too. Agree with you about Vanguard
So I'm thinking about moving my retirement accounts to Charles Schwab, but you always advise to find a Fiduciary. Is Schwab similar to a Fiduciary? Or is it you like Schwab or Vanguard because of the lower fees.
You attack the two things I love Vanguard and Elon LOL
Fidelity has really started upping their game the last few years. I was on the cusp of moving money elsewhere, but they’re listening to feedback, always available, and have added so many more features than they had even compared to 2020.
I have been with Vangard for over 40 years and I opened up a Fidelity account three months ago because I just wanted a non- vanguard IRA account. I don't have a problem with their website.
Mass incompetence has won in the USA.
Vanguard's pizza is still not as bad as Dominos.
Clark I commented on the full show this piece was taken from awhile back. And I'm gonna repeat my comment AGAIN. Few weeks ago I called vanguard with questions about my Roth ira and traditional IRA. After navigating the phone menu for a minute or 2 I got a live customer service representative Matt, and he promptly and professionally answered my questions. So you once AGAIN know my experience with vanguard customer service is 5 Star ⭐. Note I have a fidelity account too and their customer service is 5 Star.
I have had a self managed Roth IRA account at Vanguard for years, mostly in a SP500 index fund & a global index fund. It’s not my main investment with an advisor I work with, but it is substantial enough that it got moved to an Admiral fund with lower fees. Starting a few years ago a bunch of spam started coming to my email that I should move it into a managed Vanguard funds so I could pay them a bunch of money to manage it. Why? And why do I need their app? I’m not visiting my account every day. Their website WAS functional, but someone felt it needed an upgrade. Now it’s hard to find what I need.
Just buy Vanguard ETFs in a Fidelity account. Bam!
Please get that Audio Fixed… every post has static and channel mix issues.
I have my accounts with Vanguard and they are managed by the personal advisor. We are retired and I don’t feel confident to just stop using the service and allocate things on my own. Not sure how I would balance things and get the best outcome. As well as just having peace of mind…So I’ll probably keep paying. Would love to. Have a podcast on how to educate myself better about doing it myself with Vanguard.
Excellent and well-deserved Clark! 20 years ago I thought Vanguard was a godsend and moved all my assets there, but the last 3 years or so they have deteriorated faster then I believe any company could, like rotting Roadkill on the surface of the Sun. There's nothing left there worth keeping. I'm so sorry I directed so many people to open accounts with them really undermines my credibility these days. The tax consequences limit some departures, I can't move my retirement accounts out of there fast enough. DONE!
I can't stand Vanguard's website, it's antiquated and clunky. The changes they made recently did not help. Time for a major redo.
Your right channel audio is not working