What is the difference between an asset transfer and a direct rollover?
The main difference between an asset transfer and a direct rollover is where the money is held before you bring it to Vanguard. If you’re moving money to Vanguard from: • An IRA at another financial institution, you can initiate an asset transfer. You can move an IRA from another financial institution to Vanguard tax-free. You can also move securities held in a brokerage account at another financial institution to a Vanguard Brokerage Services® account. • An employer-sponsored plan such as a 401(k) or 403(b), you can initiate a direct rollover. You can make a direct rollover when you change jobs or retire. When you roll over your plan assets, you move them from a group plan to an IRA (which generally offers greater investment flexibility). Our 401(k) rollovers area has more information.
