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Fasttrackers,
Two thoughts (one suggestion):
If you paid a 3% load on a fidelity fund and then you decide to move to
CASH, I suggest that you put this money into the Fidelity Select MMF -
FSMMKT. This way, you will not confuse your pots of "loaded" money.
However, you will be sacrificing a small fraction of your MM yield verse
what you could get in the Spartan MMF - SPRXX (for those that qualify). If
you decide to move to another Fidelity Fund, that does not have a 3% load,
you will have to remember (or ask your Fid. representative) at the time of
sale, if this money is already 'marked' as 3%. If so, move it into the
Select MMF if you are looking for a temporary holding place, but don't
invest it outside of Fidelity otherwise you just paid a pretty high
'commission' when you decide to bring it back to a 3% Fidelity fund.
Second, just a reminder, consider trading in your 'retirement' account.
Doing so will avoid the 3% front load for a majority of Fidelity funds
excluding the Select funds (and the Magellan Fund). This will allow you to
then trade Non-Fidelity funds without ever paying the 3% load in the first
place.
Hope this helps,
John Boggio
PS. I just called Fidelity and they informed me that the Select MMF is
currently yielding MORE THAN the Spartan MMF at the present time, this is
not typical, 5.44% vs. 5.30% respectively.
>
>----------
>> From: George R. Loyd <grloyd@xxxxxxxxxxx>
>> To: fasttrack@xxxxxxxxxxxxxx
>> Subject: Re: Fidelity 3% Load
>> Date: Monday, August 25, 1997 9:12 PM
>>
>> Richard,
>> You are VERY lucky you had the credit restored. If you buy any loaded
>fund
>> from any company, then sell the fund and buy some other company's fund
>then
>> go back to the original fund, they will charge you the load again. Read
>the
>> prospectus--it's buyer beware.
>>
>> If you plan on doing this again, setup different "pots of money"--money
>with
>> a Fidelity load already paid and Fidelity money not-loaded and trade them
>> separately. Otherwise you will experience the same problem again and this
>> time Fidelity will probably NOT give you a credit.
>>
>> George R. Loyd
>>
>> Richard C. Fredette wrote:
>>
>> > Fasttrackers:
>> >
>> > Perhaps you are all aware of this, but I just discovered it today. If
>> > you have a broker account at Fidelity for which you have already paid
>the
>> > 3% load--beware!! If you trade outside of Fidelity (e.g., Rydex,
>Roberts
>> > Stevenson, etc.) from that account and then return to a Fidelity MMF or
>> > other Fidelity Fund, that 3% credit gets wiped out for the amount of
>> > those funds you traded outside. You will be subject to the 3% all over
>> > again when you purchase Fidelity funds with the 3% load.
>> >
>> > I must confess that when I let Fidelity know of my consternation on
>> > having lost the 3% credit on a fairly large account and partially in
>> > another, they kindly restored the credit on a one time basis. However,
>I
>> > think this policy stinks and I hope that you will all check out what I
>> > say with Fidelity and register a complaint. I would love to see this
>> > changed. Maybe a large number of complaints could influence them.
>They
>> > claim the state of the "technology" makes it impossible to keep track
>of
>> > the credit when you go outside. I find this very hard to believe.
>> >
>> > Dick
>>
>>
>
>
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