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In addition to changing out smoke detector batteries - keeping accounts "active"

hank
edited September 2013 in Fund Discussions
Now that you've actually made some $$ in the market ... As previously discussed, the cautionary statement from Oakmark on states' ability to confiscate accounts deemed "inactive" for periods as little as 3 years (the case in Michigan) bears repeating. With money at several different houses, I plan to phone once a year those (like Oakmark) where I have not made any purchases, withdrawals, or exchanges over the past 12 months. (Simply logging-in to account information may not be enough.) In each call I'll mention my concerns about these inactivity laws and request current balances. Hopefully my voice will assure them I am still alive and otherwise of sound mind.

Oakmark Funds Statement: https://www.oakmark.com/OAKMARK/WEB/me.get?WEB.websections.show&OAKMARK_971

From NAOI: http://www.naoi.org/newsletter/news3abandon.htm

(For Reference) : NAOI website & background info http://www.naoi.org/about/Background.htm

Comments

  • InformalEconomist
    A useful reminder, though unfortunately it won't reach or be read by those who need it the most.
    I can think of various scenarios in which accounts appear to be idle, such as job loss and no contributions for a period of time.
    This flies in the face of what a retirement account is intended for.
    Most of the fund companies through which I hold an account directly have sent such a notice, though have not stressed it.
  • hank
    edited September 2013
    Reply to @InformalEconomist:
    "This flies in the face of what a retirement account is intended for." Yes, precisely. With many types of funds, most would be better served allowing the money to sit and grow.
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