Transferring between multiple funds

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L1: Transferring between multiple fundsCan I transfer money between funds within a SEPP IRA without incurring the 10% penalty? For example. if I have a GOW index fund and a Bond fund within the IRA, can I move money from the Bond fund to the Stock fund, or will I then be subject to the penalty?2007-09-17 22:04, By: clay, IP: [75.31.249.23]
L2: Transferring between multiple fundsIf your IRA is on a “brokerage account platform” and all funds are within that one account, or if you have all funds at one fund family and they are within one account with one account number, then you can freely move the money around among the different funds with no problems.
If you have funds at different fund families with separate account numbers and all of these funds are within your “SEPP Universe,”then it”s a little more complicated and the answer is not so clear. You would have to do “trustee-to-trustee transfers” which should not be a problem doing. The complication would arise in getting the custodians to understand what you are doing and to code correctly. Furthermore, with the recent PLR that has thrown a real monkey wrench into this issue, it could be a bust. If you are in this situation, then I would suggest contacting Bill Stecker, “TheBadger,” directly for assistance.
Jim2007-09-18 08:27, By: Jim, IP: [24.252.195.14]