Simple. Low cost. Effective.
I believe in a plain vanilla investment strategy. My main objectives are to keep your actions consistent, your portfolio diversified, and your costs low. These are all things within your control. Conversely, you have zero control over the market. I don't risk my client's assets with activities like timing the market or chasing after the next super-stock.
Because I charge a separate fee for financial planning and use a relatively simple, passive approach to investment management, I keep my rates at about half what you would see from other advisors who charge an "all-in-one" fee based on assets under management.
Investment management fees can be broken down into three main components. Advisory fees, expenses ratios, and custodial charges. Click below for explanations of each.
Your financial advisor charges and annual advisory fee. You advisor works directly with you to determine the best strategies for you and is your point of contact regarding your accounts. Most advisory fees are tiered, ranging between 0.50% to 2%.
Your advisor will usually outsource the actual security selection to a fund manager. “Active” fund managers seek to beat the market and charge a percentage that can be as high, or higher than the advisory fee. “Passive” managers aim to mimic the market, or a particular index and charge a much lower percentage between 0.02% to 0.50%.
You definitely want an advisor who uses a third-party custodian…cough, Madoff, cough. Custodians primarily get paid from ticket charges when buys and sells occur in your accounts. Ticket charges range between $0 and $25 per trade. Other custodial charges include annual account charges, paper statement charges, and account closing charges.
Complete a financial plan
Investment management is a secondary offering to comprehensive financial planning. Determining your lifelong financial goals first is the best way to determine your investment strategy.
Open & fund accounts
Your assets will be safeguarded by TD Ameritrade. The account set up process is paperless, fast, and easy. Transferring assets is just as easy done either one time or systematically.
You'll stay up to date on your progress through quarterly performance reports, annual reviews with me, and your online financial planning portal gets updated daily to show how your overall plan is doing.
Assets Under Management