In my last 2 blog posts, I discussed the various ways financial advisors can be paid and how they can present conflicts of interest to an advisor. But how would your actual investment returns be affected? Let’s take a look at some scenarios: Continue reading “How to Minimize Your Investment Costs”
Last week, we discussed the dangers of using a commissioned-based financial advisor. One way to avoid those conflicts of interest is to work with a fee-only (not fee-based, which is fees PLUS commissions) advisor. Instead of selling investments for a commission, they typically charge a fee that’s a percentage of the assets they manage for you. You can search for a fee-only advisor through NAPFA, the National Association of Personal Financial Advisors. Continue reading “Should You Use a Fee-Only Advisor?”
When a friend of mine recently told me that she had a financial advisor, I asked her how much he was charging her. At first, she didn’t think he was charging her anything. When she realized that he probably wasn’t helping her out of the goodness of his heart, she acknowledged that she had no idea how or what she was paying him and didn’t remember him ever discussing this with her. Continue reading “How Much is Your Financial Advisor Costing You?”
