"Approved" Investment Providers for 403(b)

[agammaglobulin]

Hey all. My wife at her current job has limited options for a 403(b). She has a list of "approved"(i.e. required) investment providers she can chose from to take advantage of this option. These are all Edward Jones type places that have their own funds with crazy high fees. We still wanted to take advantage of the post- tax benefits, so we decided to sign up for the lowest cost, S&P index fund (which I think still has around a 1-2% annual fee). Is there any way transfer assets out of these places and still maintain the tax benefits? Otherwise we are stuck with the money in here until she either retires or ends employment.

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[mgdsh]

You should be able to roll that over.

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[The White Coat Investor]

That sucks. I'm sorry. 1-2% for an index fund is ridiculous.

 

[Plastikos]

Theres no issues with transferring them out once you are no longer there, but you may not have a good resolution until that time. 403s are notorious for having bad choices and even the dreaded investment/insurance mixes. I did a one year fellowship that had a defined contribution into one of these, they stuck me into some random "fund" that was a target retirement for a few years later and was mixed with some kind of annuity thing im sure since not only did it not perform during 2013 (1%) and a surrender fee that ate all the gains (wasnt allowed to mess with it either).