Personal Finance (Not Investing) • Bank of America/Merrill Edge - Preferred Rewards

Fidelity has spoiled you As far as I know, they are the only ones that do this auto-sell MMF's to meet cash needs.

What's this statement in the Merrill Edge Self-Directed Investing Client Relationship Agreement:

Automatic Liquidation of Additional Money accounts

If you have a CMA Account and the funds within your primary money account are depleted, you may select the order in which your Additional Money accounts are automatically liquidated to satisfy obligations to your account(s) by speaking with Merrill Edge Self-Directed Investing at 877.653.4732, or view your account agreement.

That is account level backup, not fund level backup. I.e.you have 2 accounts, 1 with $100 in the core cash position and a second account with $200 in it also in the core cash position.

You spend $150 from the 1st account, it will take $50 from the second account. That's all that is. If you have $10k in TTTXX, it will never be sold for you[0].

It will not sell your MMF's to fund cash expenses. It will take from the FDIC cash core position across accounts, if you have it setup ahead of time.


0: The exception is if you have margin enabled and you are margin called.

Statistics: Posted by zie — Thu May 02, 2024 8:08 am — Replies 7325 — Views 953323

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