How Much Should I Pay My Advisor? 1% vs Fee Only

Interested in a plan to Navigate the Retirement Risk Zone?

Eric Amzalag, CFP®, RICP®
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#retirement #howmuchtoretire #retirementplanning #retirementplan

[robh]

Thanks for summary. However I still do not see how the AUM fee structure is fair for investments. A $2M portfolio does not take nearly twice the effort as a $1M portfolio

[AnotherDayAnotherDelta]

Really appreciate your details on paying an AUM fee. You make a strong case for it. We just need to make sure we get that concierge service for the AUM fee and that it's valuable.

[NkeonyeSochima]

Thanks for the perfect update. Thinking about investment diversification is certainly key, How do I properly invest 250k in the market and what strategies do I employ to make significant gains and stable cashflow?

[KJFC]

We bit the bullet and went AUM. Only have 3 months with this planner but they give me confidence. They have 20 employees/partners, many CPAs + CFPs. I’m hopeful our outcome justifies the expense. Of course, I’ll never know what mistakes we avoided by using AUM planner. We have ok size portfolio, if I screw up, it would likely be way more than the 1% fee.

[coastalhillbilly]

$1 million in a Vanguard ETF that follows the S&P 500, fees around $300 a year in fee
$1M x 1% advisor fee $10, 000
What percentage of advisors beat the S&P 500?