|
Buy Vanguard Wellington Fund (VWELX) on Robinhood, Fidelity, or Schwab
Can I invest in Vanguard Wellington (VWELX) fund on Fidelity, Schwab, or Etrade?
|
Overview of Buying the Vanguard Wellington Mutual Fund at Other Brokers
Some brokers offer Vanguard mutual funds, and others do not. A transaction fee may be applied to the purchase or sale of a Vanguard fund at some brokers,
while other firms may provide the funds without any surcharges. Let’s take a look at the policies of Fidelity, Robinhood, Schwab, E*Trade, and Firstrade
regarding the availability and price of the Vanguard Wellington Fund.
Investing in Vanguard Wellington Fund on E*Trade
The Vanguard Wellington Fund is available in two share classes: Investor shares (VWELX) and Admiral shares (VWENX). The former has an expense ratio of 0.25%, while the latter charges a lower 16 basis points. Vanguard imposes an initial purchase minimum of $3,000 on VWELX, while the mutual fund company requires $50,000 for VWENX.
The Investors fund is available for purchase at E*Trade, but only for existing shareholders; while the Admiral class fund is not available for any customer.
Subsequent purchases of the Wellington Investors Fund at E*Trade have a $1 minimum. Dividends and capital gain distributions can both be reinvested in the fund or deposited as cash.
All Vanguard funds available at E*Trade are charged the broker’s transaction fee. It is now $0, and it’s applied to purchases, sales, and exchanges. Placing a trade over the phone with a live representative tacks on an extra $25.
Besides the Wellington Fund, another popular Vanguard mutual fund, the Total Stock Market Index (VTSMX) is also available. This fund is the Investor shares fund. Admiral shares of this fund are not available at E*Trade. VTSMX has a $3,000 minimum, which is Vanguard’s normal purchase requirement.
Investing in Vanguard Wellington Fund on Charles Schwab
Schwab offers 100 Vanguard funds. They are all no-load securities, but they do come with Schwab’s $49.95 transaction fee. This is applied only to the buy
side. Vanguard Wellington (VWELX) is one of the funds on the list. It is available for purchase by existing fund shareholders only. VWENX is
also available for purchase by current shareholders. Keep in mind that the $49.95 fee is applied to each purchase transaction; and the transaction fee is applied to both
online and automated phone orders. Executing a trade with a live agent tacks on an additional $25.
Because all Vanguard funds at Schwab carry a transaction fee, there is no short-term redemption fee. The Wellington fund has a Schwab report card that is available for download free of charge in pdf format.
Free Charles Schwab Account
Open Schwab Account
Investing in Vanguard Wellington Fund on Fidelity
There are 97 Vanguard funds available at Fidelity. None of them are transaction free. Fidelity’s transaction fee is $49.95. The fee is
only applied on the buy side. Some Vanguard funds at Fidelity have a $2,500 minimum, although they have a $3,000 minimum if purchased directly from Vanguard.
An effective mutual fund screener is available to Fidelity customers. It is able to search exclusively for Vanguard funds. Although the Wellington Investors fund is
shown in the results, Fidelity is not accepting orders for new purchases. The Wellington Admiral shares class is not shown in the screener’s results.
One Vanguard fund that does appear in the screener’s results is the Vanguard Total International Stock Index Fund (VGTSX). This is the Investor shares
security. It has an 18-basis point expense ratio. The Admiral fund is not available. Fidelity shows a lot of important information on VGTSX. The fund’s
profile page shows three stars from Morningstar, with Nestle and Samsung as top holdings.
Vanguard Wellington Fund on Robinhood
Mutual funds are not available at this time on Robinhood.
Free Robinhood Account
Open Robinhood Account
Investing in Vanguard Wellington Fund on Firstrade
The longest list of Vanguard funds so far is at Firstrade. The broker shows 161 funds that are available for purchase by new investors. Regrettably, the two Wellington
funds aren’t on this list. One that is the Admiral version of the Vanguard Total Stock Market Index Fund (VTSAX). As noted above, E*Trade customers have access to
the Investor class shares of this fund, but not the Admiral shares.
Firstrade charges $0 on any mutual fund. The broker shows basic information on this fund, such as top 5 holdings
and sectors. Lipper ratings are shown, and the fund has 5 out of 5 on almost all metrics. Because the fund
is an Admiral class fund, there is a $10,000 minimum to get in. The fund has more than $170 billion in
assets. Its expense ratio is a very low 0.04%, and it currently yields 1.92%.
Free Firstrade Account
Open Firstrade Account
Recap
All five brokerage houses restrict purchases of the Wellington fund to existing shareholders. Apparently, Vanguard has implemented this policy. If you want
to get in this fund and don’t currently own any shares, going through Vanguard directly may be the best option.
|