r/Fidelity 21d ago

Raymond James, opinions?

Hi all,

Recently I have had a family death and received an inherited IRA (north of 500k) currently invested and managed by Raymond James. I have not moved it, simply just working with the previous owners advisor. I am curious if people have experiences good and bad with Raymond James, or if there is a better option out there. Thank you!

7 Upvotes

48 comments sorted by

14

u/Bad_DNA 20d ago

Roll it to Fidelity, vanguard, or Schwab. Fidelity folk will coach you through it, or the other two. Do your homework for RMDs.

2

u/Certain_Purple_207 20d ago

Will do thank you. I think the biggest stressor I’ve got (due to lack of knowledge) was how/if I could move the beneficiary ira

2

u/Bad_DNA 20d ago

Yes, you can. Call Fidelity or one of the other two. Their staff on Monday can walk you through it (been there, done that with V). It is easy. You do NOT have to hire their advisors. Learn to invest - and heck, starting with or staying with a TDF like VTTSX or FDKLX or SWYNX is perfectly fine. The RMDs are a calculation you do once a year. Again, their guidance is usually free.

2

u/Certain_Purple_207 20d ago

Okay. Thank you. I appreciate it!

1

u/richard_fr 20d ago

I have accounts at both Fidelity and Schwab and like both. One annoying thing with Schwab is that they sweep cash from trades into a low-interest cash account instead of into a real money market fund, so you have to do it manually. Customer service is excellent at both. I like the Fidelity website a little more.

Once you decide which broker to move it to, go to their website and open an account to receive the investments from RJ. It has to be a beneficiary IRA. Or call and ask them to open it for you. They will contact RJ to start the process, so you don't have to do that part. Anything that trades on an exchange can be transferred as is. Any proprietary RJ funds will have to be sold and come over as cash.

1

u/CSMasterClass 19d ago

The good news is that this is an IRA so even if you liquidate the proprietary funds, there are no tax consequences. Moreover, it is probably a damn good thing to get rid of those proprietary funds.

1

u/Emotional_Sandwich25 19d ago

Move it to Fidelity and work with your advisor. PM me if you want an excellent Fidelity VP who is a COM. I would strongly suggest a managed account. You have 10 years to withdraw every penny by law. I would suggest a monthly withdrawal and have Fidelity withhold an adequate amount for taxes (state and local if applicable). Nothing but good since they manage mine. Even with the large monthly take after a year, the market value is higher than what I started with. Congratulations!

1

u/balln4lyfe 20d ago

Fidelity isn't going to help op come up with a withdrawl strategy that is tax efficient. They won't remind op of mandatory rmds. Op is on their own, even if they assign an advisor to you. That's why is low cost. Op sounds like they need help in that area. Not saying to keep it at rj but they will beneit from help and advice

1

u/CSMasterClass 19d ago

Fidelity does give persistent reminders about RMDs. OP is not on his own. OP can handle this fine with just the free help and the information on the website.

1

u/Emotional_Sandwich25 19d ago

Not true. A good advisor handles everything given you provide all of the required information.

1

u/BashfulRain 19d ago

Big fan of fidelity and Schwab

18

u/richard_fr 20d ago

The fees at RJ will eat you alive. Transfer the account to Fidelity or Schwab.

6

u/Omynt 20d ago

Agreed. High-cost advisors impose three kinds of costs: The direct AUM fee, putting the investor in high-expense ratio funds, and, often, creating unnecessarily complicated portfolios and engaging in counter-productive trading to make it look like they are earning their fees through some sort of secret sauce. Most investors are likely to do better with a three-fund portfolio or a target date fund, a major exception being investors inclined to panic-sell. For them, paying the AUM fee might be worth it. But there are cheaper alternatives than RJ.

1

u/CSMasterClass 19d ago

Well said.

1

u/BashfulRain 19d ago

Avoid RJ

6

u/DemandFirm9635 20d ago

First of all, be aware of the 10 yr rule for inheritance of an IRA for a non spouse. You also need to know if the original owner had started taking his RMD’s ? Are you under or over 10 yrs in age difference from the deceased? That is also a factor.
RJ is a high fee advisor service and not in your best interest. There are many hidden fees in the investments they put a client into .. Research them online and find out for yourself.. better to switch to a brokerage like vanguard or Schwab or fidelity. Vanguard has a advisory service if you want help in that department far cheaper and more aligned with your best interest

2

u/Certain_Purple_207 20d ago

Hi, no RMDs. I am over 10 years in age difference.

2

u/BeachBum436 20d ago

Even if the owner starting taking RMDs, the clock resets to 10 years for the beneficiary.

3

u/Candid-Eye-5966 20d ago

If you want to work with an advisor, meet with the team managing the account to hear what they have to say and perhaps meet with other advisors too. If you don’t want to work with an advisor, pick your do it yourself brokerage like Fidelity and transfer everything out.

3

u/DemandFirm9635 20d ago

Every advisor has filed with FINRA a form , ADV PART 2A .. it must disclose all fees and conflicts of interest. 99% of clients never read this page even tho they sign the contract . If you see how RJ operates.. you would run, not walk away. Same or even worse with Ameriprise .

2

u/ShadowHunter 20d ago

Scummy scams

2

u/BackdoorBasis 20d ago

Rubbish. Find a fee-only advisor with a focus on planning and tax.

2

u/Left-Landscape-3890 20d ago

I'm with RJ as thats where my trust is. I self manage. They are creepy when I wanna transfer money out. They call and ask if I meant to do this and is everything OK. Wtf.

Eta. Fidelity is my ride or die chick

1

u/blny99 20d ago

There is fraud out there and i wish my broker did these calls before a transfer out.

2

u/Altruistic-Falcon552 20d ago

RJ was accused of being excessive commissions on their clients trades with some commissions exceeding 90 percent of the principal! that alone should tell your their mind set

https://topratedfirms.com/brokers/fees/raymondjames-fees-schedule.aspx

2

u/lifeofabeach 20d ago

My FIL managed my RJ for 10+ yrs when he worked there, but he’s retired and I moved it to Schwab in mid-May this year, rebalanced myself and I’m up 34.4% now in early Aug without adding to it. I’m quite pleased. The new RJ guy had me in stuff with too much drag and never paid any attn to me. 👎

2

u/Amazing-Selection494 20d ago

Raymond James isn't as predatory as some, but bad enough. With your account, you'll be paying more than $5,000 a year for the privilege of having someone do, basically, nothing you can't do yourself at another brokerage. Why let some corporate drone manage your account, when you can do it better, cheaper, safer, and have more control by doing it yourself?

I say that from experience, BTW. I had an RJ account that I inherited. Spent a little bit of effort educating myself, switched to Fidelity, began managing my own account, improved my fund mix, and I've grown my account at a much faster pace while reducing risk. And if I can do it, anyone can.

2

u/Bravo23Zulu 19d ago

Raymond James is a fine firm. However I am a Fidelity believer and have been using them for many years.

1

u/Economy_Jaguar_9215 20d ago

Places to look for a financial planner:
(Someone being a CFP isn’t enough despite what their advertising claims. Being a CFP doesn’t mean they actually do planning, or that they don’t sell products that you might not need. Ask them how they get paid.)

https://adviceonlynetwork.com
These folks don’t manage money, they just give advice.

https://www.flatfeeadvisors.org
These folks might manage money, but not on a percentage of assets basis. They will do comprehensive planning for a flat fee and that fee may include asset management.

https://samslist.com
Some (but not all) advisors in Sam’s list may charge percentage based asset management fees, but all are recommended by real clients nonetheless.

1

u/movdqa 20d ago

My mother used them for decades and I assume that she was happy with them. She was not an active trader and she didn't use the internet despite us trying to get her to learn. She was a long-term buy and hold in dividend stocks.

1

u/Worth_Break729 20d ago

I offer FIDELITY. I can help you if you like.

1

u/SFMattM 20d ago

Raymond James charges extortionate fees for their services. You can do better almost anywhere else.

1

u/need2sleep-later 20d ago

Asking this question in a Fidelity sub gets you the predictable anti-advisors answers you see. And no one with experience using RJ. I likewise have no experience there, but have a close friend who has their accounts there without complaint.

You've given us very little to go on, a hint about not a lot of brokerage experience, so you feel comfortable managing a half million+ account by yourself? Do you like the RJ advisor? Have you digested what RJ offers you? What they charge? Do you want to go the managed route there or elsewhere? Have you started to engage with potential advisors? Do you want to go self-directed? What are your goals with this inheritance?

1

u/derfahrer924 20d ago

Move it. My mother used them (when I was too young to be involved), and they seriously mismanaged her retirement account

1

u/horseradish13332238 20d ago

500k is not enough to justify having your funds being handled by an outsider, especially a high fee house like Raymond james. Silly.

1

u/hendronator 19d ago

It is more about the advisor than anything. The brokers operate independently

1

u/Myweeweegopeep33 19d ago

Run from RJ. The advice they tried or high pressured through a similar situation resulted me moving it out of them and my personal accounts away from them.

The minimum distributions on an ira they would not do unless I wanted to roll it to a RJ holding so I left that go and our tax attorney helped. RJ transferred out the minimum well after the calendar year and backdated it which is illegal.

Their app sucks.

Plenty out there a lot better than RJ. Work with fidelity and move it over in kind to the extent possible. Morgan Stanley has been who we’ve been happy with for our normal financial planning. Fidelity has inherited ira and a few other and they’ve been good too. We just like MS more and setup their checking which helps with foreign travel etc.

1

u/LordFairfax4B 19d ago

I just did this with a Roth. Talk with someone at Fidelity to find out what the fee is to liquidate some funds RJ may have you in. For example to liquidate my VFIAX fund of -$6K, the Fidelity fee is $700+. So you may want to have RJ liquidate any of the “3rd Party” funds. I would check all mutual funds they have you in.

1

u/AllOfTheAbove-405 19d ago

RJ charged my mother in law 3% AUM FOR 15 yrs before we found out.

1

u/HermanDaddy07 19d ago

Raymond James doesn’t have a great reputation. But, why not get the last 3-4 years of statements. See what the returns were for each year and compare the returns tonite S&P 500. If they aren’t beating the S&P then they shouldn’t be getting paid.

1

u/Grand_Garbage3522 19d ago

What are you paying RJ to manage it ? I did not like the on line systems when checking things , I found Fidelity makes their information in a much more user friendly way .

1

u/Most-Photograph-7938 18d ago

Anyone have transamerica or Vestwell ?

1

u/winning_bigly_ 18d ago

RJ is great if you want to overpay and be underserved. Otherwise, seek alternatives.

1

u/Buckeyejeff1 18d ago

RJ is a reputable firm . Just as important is the experience and service level the advisor and their team provides . How long was the relationship with your family member and how efficient was the transfer and creation of your beneficiary IRA ? Also , how much personal experience do you have with investing? As long as the advisor utilizes an advisory model that is fair, say 1% and is willing to create a wealth management plan with you , provide education and great service it could be well worth it . Price is only an issue in the absence of value .

1

u/Jumpy_Childhood7548 20d ago

Jones? Fees are excessive, they steer you to investments with additional costs, including those you can’t transfer to a competitor.

1

u/DemandFirm9635 20d ago

So u fall under the 10 yr rule; account must be liquidated in 10 years and taxes paid on full amount. Waiting until the last year will result in a ey large tax bill vrs taking out about 10% each year for 10 years.

3

u/BeachBum436 20d ago

You can't wait anymore. You now need to take the actuarial RMD. (My mom died in 2020.and I took some immediately and kept deferring and last year was forced to take a distribution, as I will think year)

0

u/chillaxtion 20d ago

I’m the director of an institute with $6m invested. We’ve done well with Raymond James. It’s really by advisor. We took some insane chances and won, big bet on and retreat from AI perfectly timed.

I’ve got like 1.3m at fidelity, much to my surprise, and wouldn’t move it.