Personal Finance (Not Investing) • close my Empower Self-Directed Brokerage account inside 401k account?

Hello,

I have an Empower Self-Directed Brokerage account within my Empower 401(k) account. My Empower Self-Directed Brokerage account holds about 80% of my Empower 401k; the rest of the funds sit outside the Self-Directed Brokerage but inside the regular Empower 401k account. (Yes, it's odd the way they have this setup.)

Is there any potential drawback to closing the Empower Self Directed Brokerage 401k but of course keeping the regular Empower 401k open and just managing everything there?

The regular Empower 401k account seems to offer good fund options. I use the equivalent three funds in each account. (See below.)

I’m considering closing the self-directed brokerage account and moving all funds from it into the regular Empower 401(k). The main advantage is that the regular Empower 401(k) account is easier to manage, incurs no additional fees, and avoids the $35 transaction fee charged by the self-directed brokerage (which I encountered when making my first purchase today).

For reference, here are the funds I am invested in with Empower:

Empower 401(k) (non-self-directed):
•FXAIX
•VTSNX
•VBTIX

Empower 401(k) Self-Directed Brokerage (sits within the above Empower 401k account):
•FSKAX
•FXNAX
•FSGGX

Statistics: Posted by bogleboy — Tue Jan 07, 2025 2:38 pm — Replies 0 — Views 25

---