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Another question while I'm here: can I open multiple Roth accounts at the same broker, especially if I may want each one to hold money for a different purpose (long-term investing, swing trading, etc.)?
I suspect this is done most often when you have several classes of heirs you wish to treat differently. Ie, children from a previous marriage. Grand children with a variety of needs. Etc etc. Multiple accounts allows for much more fine tuning and/or complexity.

I used to see it most often in the case where you had a 3rd-party investment advisor (who might have been an affiliate of the broker, or an independent advisor) who would be given limited trading authority just over that account, and not the client's other assets with the brokerage firm. Limited authority also usually means the power to enter buy and sell orders, but not to withdraw or transfer funds.

I never ran into that arrangement with an IRA account, that I recall, but saw it plenty of times with personal accounts, trusts, company retirement plans, and charitable foundations and trusts.

For a while, one of my sisters was enrolled in Schwab's "Smart Investing" program, which required a new account to be set up for the assets under management. And the investment manager is/was a Schwab affiliate. The money was all invested in Schwab-sponsored ETFs, and others on their preferred/promoted list. And the trading was done frequently, often in selling small odd lots, which drove me nuts doing her taxes. And it turned out that this wasn't the style for her, either. She was one of the siblings who watched 100 shares of McDonalds Corp worth $3,300 turn into 800 shares worth $165,000 by waiting 30 years.

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