Low Fees

Since 1990, fees in investment management have significantly dropped as much as 80%. However, many firms continue to charge excessive fees; being overcharged can kill performance while benefitting your advisor.

Following is a brief breakdown and guideline on the main types of fees:

Investment Fee:
 This fee is charged by the investment vehicle you are in (i.e. mutual fund, ETF, separate account manager, annuity). There are just as many hidden fees in these investments as there are stated fees. A careful review will identify all the different types of fee you are being charged. Generally speaking, you should pay approximately .50 basis points (0.50%).

 Management Fee:
 This is the fee charged by your investment advisor or advisor’s firm. This fee should not be more than 1% and you should NEVER be charged on bonds or money market. Some firms often charge this fee on top of the investment fee.

Bond Commission:
 This is a fee that MOST investors are unaware of but is very blatant.