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I am sorry to learn of your difficulties in your attempt to purchase F sares. I am going to reference the link to American Funds I recently posted above.
It reads, in part, "Class F-1, F-2, F-3 & 529 F-1, are designed for invstors who choose to compensate their financial professional based upon the total assets in their portfolio." With this, I'm thinking that to purchase F shares your account has to be part of a qualified fee based program. Is your account at TIAA part of a fee based program?
Again, I admire you trying to find a short cut around the above ... and, if you do "I say "Bless You" and don't tell.
Again, I am sorry to learn of your difficulities; but, not surprised. And, I wish you the very best in your finding a resolution to this matter.
VF, I'm not trying imply that it is your fault. I know that if you go to the American Funds site, they also say that $250 if the minimum. Maybe somebody at TIAA just copied and pasted what they saw on the AF website on to their own page? Yes it's their fault. On the other hand, you might still be able buy shares, maybe with a higher minimum.
Let me try to harmonize the info that people have provided.
"Class F-1, F-2, F-3 & 529 F-1, are designed for invstors who choose to compensate their financial professional based upon the total assets in their portfolio."
However, "designed for wrap accounts" doesn't preclude being offered for sale through different sales channels (e.g. retail sales through third party brokerages). So F-1 shares can be offered for retail sale, regardless of what the designed was optimized for.
"TIAA clearly says minimum is $250 and additional is $50 for F-1 shares. It has NTF logo displayed prominently as well."
VF has noted (if I'm reading correctly) that TIAA does not flag funds as available for retail sale vs. available only through advisors. So if BALFX is available at TIAA only through advisors, then TIAA could be reporting correctly that it is NTF and its min is $250.
In fact, since TIAA says that it requires at least $500 for a position sold through its retail brokerage, that $250 min suggests that it doesn't sell BALFX to self-directed customers. TIAA writes:
"Minimum initial investment for mutual funds [in retail brokerage account]: The greater of either the listed amount in the fund’s prospectus or $500. Different minimums may apply for managed accounts."
What do I need to become an "advisor"? Is there an exam and that's it? Or are there other requirements like I should be working for some financial organization? I could really look into passing some stupid exam and become my own advisor (which I already am) in their eyes.
So I looked out the window, and I saw a pig flying. And tomorrow I expect to see another. And possibly the day after I might see one more, but I'll tell you after I confirm the 2nd pig tomorrow.
What I am trying to say is that my order for GBLEX for $500 just went through today.
@msf thanks. Though what you said makes sense, TIAA is making a piss poor job of explaining it. Regardless, now I'm going to complain a little less and try and learn to live with them. After all, nobody's perfect.
Comments
I am sorry to learn of your difficulties in your attempt to purchase F sares. I am going to reference the link to American Funds I recently posted above.
https://www.americanfunds.com/individual/investments/share-class-information/share-class-pricing.html
It reads, in part, "Class F-1, F-2, F-3 & 529 F-1, are designed for invstors who choose to compensate their financial professional based upon the total assets in their portfolio." With this, I'm thinking that to purchase F shares your account has to be part of a qualified fee based program. Is your account at TIAA part of a fee based program?
Again, I admire you trying to find a short cut around the above ... and, if you do "I say "Bless You" and don't tell.
Again, I am sorry to learn of your difficulities; but, not surprised. And, I wish you the very best in your finding a resolution to this matter.
Best regards,
Old_Skeet
"Class F-1, F-2, F-3 & 529 F-1, are designed for invstors who choose to compensate their financial professional based upon the total assets in their portfolio."
Class F (later relabeled F-1) does have a fee structure designed for wrap accounts. It is different from Class A's structure (aside from loads). For example, Class F charges 0.05% for administrative services (e.g. account bookkeeping), while Class A charges only 0.01%. These charges are buried in "other expenses".
https://www.sec.gov/Archives/edgar/data/1584433/000005193117000279/exhn.htm
However, "designed for wrap accounts" doesn't preclude being offered for sale through different sales channels (e.g. retail sales through third party brokerages). So F-1 shares can be offered for retail sale, regardless of what the designed was optimized for.
"TIAA clearly says minimum is $250 and additional is $50 for F-1 shares. It has NTF logo displayed prominently as well."
VF has noted (if I'm reading correctly) that TIAA does not flag funds as available for retail sale vs. available only through advisors. So if BALFX is available at TIAA only through advisors, then TIAA could be reporting correctly that it is NTF and its min is $250.
In fact, since TIAA says that it requires at least $500 for a position sold through its retail brokerage, that $250 min suggests that it doesn't sell BALFX to self-directed customers. TIAA writes:
"Minimum initial investment for mutual funds [in retail brokerage account]: The greater of either the listed amount in the fund’s prospectus or $500. Different minimums may apply for managed accounts."
https://www.tiaa.org/public/brokerage-account-fees
Click on mutual funds; the NTF section contains this info.
For completeness, here's the full info page I could find on TIAA retail brokerage accounts: https://www.tiaa.org/public/offer/products/brokerage
And tomorrow I expect to see another.
And possibly the day after I might see one more, but I'll tell you after I confirm the 2nd pig tomorrow.
What I am trying to say is that my order for GBLEX for $500 just went through today.
@msf thanks. Though what you said makes sense, TIAA is making a piss poor job of explaining it. Regardless, now I'm going to complain a little less and try and learn to live with them. After all, nobody's perfect.
Cheers.