My dad passed in 2020, I am turning 35 this year and have only recently started getting involved with the IRAs he had in my name. The total value of the IRAs right now is $204k. They were minor Roth IRAs when he opened them so they were not inherited, they have always been mine, he was the custodian of them when I was a child and paid into them until I was 18.
My poor father was very trusting of people which led him to believe that Primerica was the best place to have his money managed. I have done enough research to know this is not the case, and I’ve learned that with an IRA that size I can get better performance out of it elsewhere.
I don’t know that I understand enough about managing the money to do it myself nor do I have the time to dedicate to it properly. My mother has been investing with JPMorgan through their private client service for a few years and I’m wondering if it’s a good idea to move my IRAs to them?
I don’t have any interest in touching the funds and don’t have a financial need to at this point in my life. I’ve saved enough and have enough income that I don’t have to really stress about it thankfully. I would like to invest then aggressively for the highest return but I’m also unsure if I’m making the right decision there. Really any advice here would be appreciated, I read through the wiki a bit but didn’t find anything that helped me in this situation completely.
Dad opened 2 minor Roth IRAs, now that he’s gone I have no clue what to do with them
byu/coolerguy09 inpersonalfinance
Posted by coolerguy09
2 Comments
Having a financial advisor managing your investments for you will cost you more in fees and isn’t likely to perform better than choosing a single broad investment fund on your own. If it were me, I would choose one of Fidelity, Schwab, or Vanguard, open a Roth IRA, rollover the funds, and put it all in either VT (total U.S. and international stock market) or a target date fund for the year closest to when you retire (so 2050 if you’re planning to retire at 60, or 2055 if you’re planning to retire at 65; these two funds likely are very similar at this point, so don’t sweat which one to pick if you go this route). Either of these are a set and forget for 20 years option.
If you really want professional advice, I suggest finding a fee-only flduciary to help you review your funds and consider options and strategy on an as-needed basis, rather than signing up for ongoing management.
Rollover both Roth IRA into a single Roth IRA at Fidelity, Vanguard, or Schwab.
Invest all the money into that brokerage’s version of the 2055 Target Date Index fund (FDEWX, VFFVX, SWYJX, respectively). Read the Personal finance wiki’s [investing page](https://www.reddit.com/r/personalfinance/wiki/investing/). If you want to invest more aggressively, select a later-dated fund (at Fidelity or Schwab, make sure to select the *index* version of their TDF), or manage your own [three-fund style portfolio](https://www.bogleheads.org/wiki/Three-fund_portfolio)
of total US + total International + Bonds, but still consider looking at a target date fund [glide path](https://institutional.vanguard.com/investment/strategies/tdf-glide-path.html) as a starting point for an asset allocation.