I repeatedly point out how expensive it is to use financial advisers whose fees run 25%, 30% and even more of your earnings each year.
This sounds like an
outlandish statement only because the financial media never points it
out, perhaps due to conflicts of interest. And because the SEC is too busy
nitpicking trivia. My past comments have explained.
Repeat: Pay a fee to an adviser of 1½% each year (some take more) for advice you can perform for yourself, and you have saved $1,500 for every $100,000 of your assets. If you are lucky to get a 5% return these days, or $5,000 for every $100,000, that fee represents 30% of what you earned!!
Unless you are a complete economic and financial newby, there is absolutely no reason you need a financial adviser to tell you what to invest in. There are truly, simple to understand, low-cost index funds and ETFs for you to choose.
If you have a valuable estate you need a CPA and estate lawyer to assist you, but expensive hand-holding by an adviser is too much of an absurd luxury that will considerably diminish your net worth. (See the Earl J. Weinreb NewsHole® comments.)
Repeat: Pay a fee to an adviser of 1½% each year (some take more) for advice you can perform for yourself, and you have saved $1,500 for every $100,000 of your assets. If you are lucky to get a 5% return these days, or $5,000 for every $100,000, that fee represents 30% of what you earned!!
Unless you are a complete economic and financial newby, there is absolutely no reason you need a financial adviser to tell you what to invest in. There are truly, simple to understand, low-cost index funds and ETFs for you to choose.
If you have a valuable estate you need a CPA and estate lawyer to assist you, but expensive hand-holding by an adviser is too much of an absurd luxury that will considerably diminish your net worth. (See the Earl J. Weinreb NewsHole® comments.)
No comments:
Post a Comment