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No. of Recommendations: 1
Make sure that you have a good selection of investments available before you do this. I opened a Wachovia IRA a couple years back and they tried like the devil to stick me in their Evergreen family of funds. The advisor I met with told me that she was invested in several of the funds and that they were quite good, but when I challenged her about the very high level of fees (often over 2% per fund, plus loads depending on what share class you bought) she seemed to reconsider the hard sales line.

I've recently had a negative experience with Wachovia as they have become very greedy with their account fees. There used to be ways to be exempt from certain fees (ie waive annual IRA maintenance fee if you maxed out the contrib each year or had over $xxx dollars invested with them), but they seem to be putting forth a determined effort to eliminate these and maximize their fee income.

I ended up moving my IRA to ETrade because of the fees, and my regular brokerage is next. I encourage you to shop around for the service you are looking for before you agree to any long-term arrangement. Be sure to actually add up the dollar amount of the fees. 1% sounds very small, and you probably won't ever see it explicitly broken out on the statement, so go into the process with your eyes wide open and with a good idea of how much the 1% is actually going to cost you.

If nothing else, however, be sure to stay away from the Evergreen funds. They are very high cost compared to other fund families, and I could not see any sustainable advantage that they had other than earning a commission for the advisor/salesperson you are working with.

Foolish best,

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