I'm just about ready to transfer my Vanguard IRA into my Fidelity IRA after the last few days.

I have a program to re-allocate my portfolio over the next 12 to 18 months. Thought I'd dollar-cost average the transactions. Surprise! Vanguard only allows 2 online or telephone transactions per year in 500 Index fund (and several other index funds). Only way to do it is to send written instructions each time. No limit on number of transactions but no control over timing either given the variable of mail service.

So I sent the first letter of instruction. Clearly identified the funds involved by name and number or symbol. $10K from 500 Index to REIT Index. REIT is a new fund for me so I also confirmed I had read the prospectus and to setup beneficiary, etc. identical to all my other funds. Simple, right? Nope. Logged in this morning and discovered they had opened a GNMA fund account with my $10K. Call to my Voyager representative. Oh, we're sorry. We'll fix it. Probably take a day or two.

I pointed out rather strongly that if they didn't have those ridiculous restrtictions on online exchanges I could have done the whole thing correctly myself. I also told him they are one step closer to losing a $400K+ account.

No wonder Vanguard has low fees. They hire idiots.