Vanguard transfers 1,300 staffers to outsourcing partner Infosyshttps://www.inquirer.com/news/vanguard-infosys-outsource-401...Vanguard Group, the Malvern-based investment giant that employs more than 12,000 in Chester County, says it will transfer out of the company 1,300 workers who handle employers’ 401(k) plans for five million working and retired Americans.The staffers will start working later this year for a contractor...
There was a huge thread over at the bogleheads forum about this action.I was planning to close my account anyhow since I prefer other brokerages. The only real reason to have a Vanguard account IMO is access to certain mutual funds which I don't need.I don't like to have everything at one brokerage so I'll probably settle on TD Ameritrade, which I like, and Fidelity (still on the fence with them although customer service has been good).
You do realize that TD Ameritrade has been bought by Schwab? So it's not really TD Ameritrade anymore (they haven't gotten rid of the name yet, but I expect they will within a few years).I started long ago with Schwab. Then found Scottrade (much cheaper). Scottrade was bought by TD Ameritrade. Still pretty cheap (and then suddenly we have commissionless trades). Now TD Ameritrade has been bought by Schwab. Right back where I started. ESPP is with ETrade. I'll probably move it out of there when I retire. They are expensive trades (relatively speaking).I have my IRA at Vanguard. Cheap index funds. As long as they remain such, I'm content to leave that money there.401K is with Fidelity. Have had no issues, so content to leave that money there also. At some point I may want to transfer/roll-over to Vanguard. I'm just interested in cheap funds (mostly index) that I buy and forget.
You do realize that TD Ameritrade has been bought by Schwab? So it's not really TD Ameritrade anymore (they haven't gotten rid of the name yet, but I expect they will within a few years).Yes, I do. And I have never opened an account directly with TD. All of mine were taken over by TD via Scottrade and ThinkorSwim acquisitions.I've chatted with some people at TD and my understanding is that the trading platform, originally created by Thinkorswim will remain since that is considered a significant asset and would cause many to leave if it were to go away.I'm not sure what the web interface will look like. I have zero experience with Schwab (unless you count way back in the dinosaur days of the early 90s).Right now I find TD, Fidelity and Vanguard in that order. With Vanguard a very distant 3rd in terms of the web interface down to customer service.Thankfully now, if you want cheap indexes you can buy ETFs from any broker and not be stuck with mutual funds.
Ugh. At my company, various groups over the years would get outsourced to Infosys as a 'cost-saving' measure. Occasionally one of them would report back. Reportedly, if you found yourself at Infosys, you were expected to find another job. One person had a one-year performance review with his manager and was point-blank asked, "Why are you still here?""Outsourcing to Infosys" became code for "We wanna layoff people but not pay severance packages." Naturally, due to the 'cost-savings', executives usually get performance bonuses and juiced stock-option returns.
....so I'll probably settle on TD Ameritrade,..Good luck until the end of Covid 19..The local (Texas) TD office has been closed permanently; most others are closed at least temporarily.I tried to call and the wait was 50 minutes....today it was 1 1/2 hours. IMO, TD was a drop down from Scottrade. I'm now trying to get the last of my accounts out.A few years ago I wouldn't have said this, but I'm trying to consolidate everything at Fidelity now.
There was a huge thread over at the bogleheads forum about this action.Yes, but it was locked. One of the admins commented along the lines of "Vanguard knows best", apparently having forgotten that Vanguard got rid of John Bogle over 20 years ago.
While I have empathy for those affected I can understand Vanguard's situation. Many clients have furloughed a large number of employees, and a lot of them may never be brought back. The volume of work for Vanguard 401k staffers has to be down significantly. It's the kind of business decision no one like to make but probably a necessary one.
I am amazed that they actually needed more than 1300 people to handle 401k's.
$0 trading certainly had to cut into budgets somewhere.
The volume of work for Vanguard 401k staffers has to be down significantly. With all this market volatility, you think business is down at financial firms?
Best Of |
Favorites & Replies |
Start a New Board |
My Fool |