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Can I do a class conversion from PRWCX into TRAIX at Schwab?

edited November 17 in Fund Discussions
Last year I was able to swap PRWCX into TRAIX at Fidelity. Fidelity is not allowing this any more. Does anyone know whether Schwab assists clients holding the retail class of T Rowe Price Capital Appreciation Fund PRWCX into the institutional class shares TRAIX to get the lower expense ratio? And if so, what is the minimum $ value required for the class conversion?


  • rforno,
    Thank you for providing information from T Rowe Price, but I don't see any mention of Schwab or whether they allow a class exchange or not. Thanks again.
  • Call Schwab and ask if they can do this as tax-free exchange. If the Rep or broker-trainee doesn't know about this, ask for a senior personnel. Do it only if they say it can be done. It is easier for them to just do 2 trades, sell PRWCX, buy TRAIX, both commission-free to you, but that can be very costly to you tax-wise.

    It can be done at Price, if you have a/c there.
  • Moving from Investor shares to Admiral shares at Vanguard is not considered a taxable event. The total value of the account is converted to the new Admiral share’s NAV. Nothing was sold and bought. I wonder if that can only be done at TRP.
  • Any new data points on this?
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