Vanguard to Open New Office in Dallas
Vanguard to Open New Office in Dallas
https://www.prnewswire.com/news-release ... 91719.html
From the press release: "Vanguard today announced plans to open a new office in the Dallas-Fort Worth region in early 2022. In alignment with the firm's commitment to making advice more accessible and affordable for investors, the new location will be dedicated to supporting all aspects of its growing advice businesses."
Does anyone know if Vanguard will begin to open brick and mortar office locations similar to the Schwab and Fidelity models?
Dave
From the press release: "Vanguard today announced plans to open a new office in the Dallas-Fort Worth region in early 2022. In alignment with the firm's commitment to making advice more accessible and affordable for investors, the new location will be dedicated to supporting all aspects of its growing advice businesses."
Does anyone know if Vanguard will begin to open brick and mortar office locations similar to the Schwab and Fidelity models?
Dave
"Reality always wins, your only job is to get in touch with it." Wilfred Bion
- abuss368
- Posts: 27850
- Joined: Mon Aug 03, 2009 2:33 pm
- Location: Where the water is warm, the drinks are cold, and I don't know the names of the players!
- Contact:
Re: Vanguard to Open New Office in Dallas
Hi Dave -Dave55 wrote: ↑Mon May 17, 2021 9:16 am https://www.prnewswire.com/news-release ... 91719.html
From the press release: "Vanguard today announced plans to open a new office in the Dallas-Fort Worth region in early 2022. In alignment with the firm's commitment to making advice more accessible and affordable for investors, the new location will be dedicated to supporting all aspects of its growing advice businesses."
Does anyone know if Vanguard will begin to open brick and mortar office locations similar to the Schwab and Fidelity models?
Dave
I did see this and thank you for sharing.
I am confused! At first I thought this was the announcement of your hedge funds new office!
Tony
John C. Bogle: “Simplicity is the master key to financial success."
Re: Vanguard to Open New Office in Dallas
Reading the press release it sounds like a brick and mortar call center for PAS advisors who will interact with customers virtually. Interesting that they appear to be staffing up a B&M call center, maybe 100% telework isn't working out for them?
Re: Vanguard to Open New Office in Dallas
It sounds to me like they are trying to compete with Schwab and Fidelity by having their advisors have offices where they can meet with customers. Perhaps they aren't getting as many sign-ups as they had anticipated for the phone version.
Re: Vanguard to Open New Office in Dallas
It sounds to me like it is a bit less of the mutual fund company that John Bogle founded and headed and a bit more of the advisory service that has been instituted.
Bob
Re: Vanguard to Open New Office in Dallas
However, any net "profit" earned by the advisory service *presumably* would be used to lower the ERs on the mutual funds and ETFs. If so, it's all good.
Re: Vanguard to Open New Office in Dallas
No. There is a thicket of regulations around fund expenses. Bar a few exceptions, funds can't be subsidized. Each must pull its own weight when it comes to expenses.
Yes, scale helps reduce the costs for everybody since shared costs can be spread over a wider base. However, there is little overlap between portfolio management (running the funds) and advisory services. There can even be diseconomies of scale here since certain business lines must be kept at arm's length.
Former brokerage operations & mutual fund accountant. I hate risk, which is why I study and embrace it.
Re: Vanguard to Open New Office in Dallas
Today ATT admitted its big mistake and is spinning off part of its conglomerate to focus on its core.
Is Vanguard headed down the same path?
With increasing problems being reported re poor customer service and long telephone waits, why expand an elite service for the benefit of only a tiny percent of customers?
Put the money where it is most needed--an abundance of 'perfectly' trained reps.
peace
Is Vanguard headed down the same path?
With increasing problems being reported re poor customer service and long telephone waits, why expand an elite service for the benefit of only a tiny percent of customers?
Put the money where it is most needed--an abundance of 'perfectly' trained reps.
peace
Re: Vanguard to Open New Office in Dallas
It is possible that it is easier to hire a qualified workforce in the Dallas area than in other areas of the country.
Some of my son's college friends now work in financial services in the DFW area. Others work in San Antonio.
Some of my son's college friends now work in financial services in the DFW area. Others work in San Antonio.
Re: Vanguard to Open New Office in Dallas
My understanding is that the costs of operating Vanguard (not the funds) is paid proportionately by each of the funds. If there are net profits from the advisory activity, that would decrease the net costs of Vanguard. Thus, each fund's share of Vanguard expenses would be lower.alex_686 wrote: ↑Mon May 17, 2021 1:45 pmNo. There is a thicket of regulations around fund expenses. Bar a few exceptions, funds can't be subsidized. Each must pull its own weight when it comes to expenses.
Yes, scale helps reduce the costs for everybody since shared costs can be spread over a wider base. However, there is little overlap between portfolio management (running the funds) and advisory services. There can even be diseconomies of scale here since certain business lines must be kept at arm's length.
Re: Vanguard to Open New Office in Dallas
Correct. Vanguard has probably saturated the employment market in its current locations - PA, AZ, NC. Thus to expand the Advice business, Vanguard must satisfy two conditions: 1) sufficient workforce with requisite skills (CFP), and 2) ability to operate within its cost structure. DFW fits the bill unlike others which may satisfy condition #1 (NY, LA, SF).
Yes, this appears to be the case.
Re: Vanguard to Open New Office in Dallas
Still virtual engagement with clients, not in person interaction with clients at this time. Reading between the lines 100% telework (although they are doing it to start) isn't "immersive" enough and they want the B&M facility. Would also guess security and compliance is easier when the people are on-site.The new location, like all Vanguard offices, will immerse Vanguard crew in the firm's client-centric culture and collaborative work environment, and will offer development opportunities that enable crew to best support their clients. Newly hired crew will work remotely until the new office opens in early 2022. Consistent with the existing virtual PAS service model, advisors in the Dallas office will engage with clients via phone, email, and videoconference.
Re: Vanguard to Open New Office in Dallas
For what Vanguard does, off-site is as easy as on-site. Compliance stuff is much easier when you are selling vanilla products and all communications run through the company.stan1 wrote: ↑Mon May 17, 2021 5:53 pm Still virtual engagement with clients, not in person interaction with clients at this time. Reading between the lines 100% telework (although they are doing it to start) isn't "immersive" enough and they want the B&M facility. Would also guess security and compliance is easier when the people are on-site.
Compliance is harder when the client has the reps personal cell phone number and they chat business on the golf course.
Former brokerage operations & mutual fund accountant. I hate risk, which is why I study and embrace it.
Re: Vanguard to Open New Office in Dallas
Tony, we closed down the hedge fund, too much work.abuss368 wrote: ↑Mon May 17, 2021 11:06 amHi Dave -Dave55 wrote: ↑Mon May 17, 2021 9:16 am https://www.prnewswire.com/news-release ... 91719.html
From the press release: "Vanguard today announced plans to open a new office in the Dallas-Fort Worth region in early 2022. In alignment with the firm's commitment to making advice more accessible and affordable for investors, the new location will be dedicated to supporting all aspects of its growing advice businesses."
Does anyone know if Vanguard will begin to open brick and mortar office locations similar to the Schwab and Fidelity models?
Dave
I did see this and thank you for sharing.
I am confused! At first I thought this was the announcement of your hedge funds new office!
Tony
Dave
"Reality always wins, your only job is to get in touch with it." Wilfred Bion
Re: Vanguard to Open New Office in Dallas
Equities in Dallas? Rough.
55% VUG - 20% VEA - 20% EDV - 5% BNDX
-
- Posts: 235
- Joined: Wed Jul 10, 2013 2:41 pm
- Location: Jasper, MO/Double Deuce
Re: Vanguard to Open New Office in Dallas
"I'm not an inventor. I'm an improver. I see things that are wrong, and I improve them." - Larry David, Curb Your Enthusiasm
Re: Vanguard to Open New Office in Dallas
Copying from the press release:
To start, the new hub will be staffed by financial advisors aligned to the firm's leading virtual advice offer, Personal Advisor Services, as well as IT professionals supporting Vanguard's broader advice services.
I agree with others that this expansion is to tap into the DFW labor market to support existing Vanguard business activities.
I don’t see Vanguard opening up local offices like Fidelity and others.
To start, the new hub will be staffed by financial advisors aligned to the firm's leading virtual advice offer, Personal Advisor Services, as well as IT professionals supporting Vanguard's broader advice services.
I agree with others that this expansion is to tap into the DFW labor market to support existing Vanguard business activities.
I don’t see Vanguard opening up local offices like Fidelity and others.
Retired life insurance company financial executive who sincerely believes that ”It’s a GREAT day to be alive!”
Re: Vanguard to Open New Office in Dallas
I don't think they would have bothered to send out a press release for renting a 30x35ft space in a strip mall in Dallas, which is what the local offices of other firms seem to look like.
- mokaThought
- Posts: 481
- Joined: Tue Jan 01, 2019 6:57 pm
- Location: Texas
Re: Vanguard to Open New Office in Dallas
I'll add a local angle to this: we have major new facilities here in the DFW area for Fidelity, Schwab, and TD Ameritrade, so I will be shocked if they don't try to snag some of the competitors' employees. I tried to get hired at one of them before becoming...a truck driver.
"October: This is one of the peculiarly dangerous months to speculate in stocks. The others are July, January, September, April, November, May, March, June, December, August and February."
Re: Vanguard to Open New Office in Dallas
Phoenix is the same way, massive call centers for financial services and insurance industry (Vanguard, Discover, Amex, USAA, Caremark, many others).mokaThought wrote: ↑Tue May 18, 2021 10:42 am I'll add a local angle to this: we have major new facilities here in the DFW area for Fidelity, Schwab, and TD Ameritrade, so I will be shocked if they don't try to snag some of the competitors' employees. I tried to get hired at one of them before becoming...a truck driver.
Re: Vanguard to Open New Office in Dallas
Has this info shown up on the Vanguard website?
- abuss368
- Posts: 27850
- Joined: Mon Aug 03, 2009 2:33 pm
- Location: Where the water is warm, the drinks are cold, and I don't know the names of the players!
- Contact:
Re: Vanguard to Open New Office in Dallas
I will not get worried unless Vanguard announces they are opening public offices everywhere!
A few years ago they were exploring opening a bank!
Tony
A few years ago they were exploring opening a bank!
Tony
John C. Bogle: “Simplicity is the master key to financial success."