Reasonable Fee Rate for Assets Under Management

[Anonymous]

$17M in assets and I pay 0%. You don't need a FA.

[Anonymous]

Anonymous wrote:

Anonymous wrote:We've been working with an advisor for about 5 years. During that time, our portfolio has grown from $2M to $5.2M due to performance and some additional investments made from our money market account.

At what point should we expect a rate adjustment based on investments? We are currently paying .5%. Please, I am not looking for advice on whether or not to use an advisor...just whether a rate adjustment is warranted, or if we are already paying a reasonable rate for that level of assets under management.

Thank you in advance.

OP here. I probably should have added that the advisor provides the following services:

Retirement planning
Tax planning
Holistic management of portfolio considering other assets not under his management (401K, deferred comp, money market)
Assistance with estate planning
Miscellaneous

OP, can you be more specific on what retirement planning, holistic management of your portfolio, tax planning, asst with estate planning, etc your advisor does?

[Anonymous]

This is a troll brag post

[Anonymous]

Anonymous wrote:

Anonymous wrote:You are all idiots. What you pay does not correlate to value.

The OP said they are getting the following:

Retirement planning
Tax planning
Holistic management of portfolio considering other assets not under his management (401K, deferred comp, money market)
Assistance with estate planning
Miscellaneous

These are generic terms and mean nothing. Exactly what services are you getting for your money?

Retirement planning
1. Modeling cash flow and projected growth based on current situation
2. Planning Social security payments and when to start
3. Roth conversion strategy
4. RMD strategy
5. Help with allocation of funds in other accounts (deferred comp and 401K)
6. CPA is in the firm so good coordination for tax planning
7.
8.

Tax planning
1. See above 👆
2.
3.
4.
5.
6.
7.
8.

You are definitely getting bamboozled OP. All of those specific services can be done with AI now inputting your specific numbers and considerations. Roth conversion strategies, SS timing, RMD strategies, tax planning, etc can all be done with AI.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:You are all idiots. What you pay does not correlate to value.

The OP said they are getting the following:

Retirement planning
Tax planning
Holistic management of portfolio considering other assets not under his management (401K, deferred comp, money market)
Assistance with estate planning
Miscellaneous

These are generic terms and mean nothing. Exactly what services are you getting for your money?

Retirement planning
1. Modeling cash flow and projected growth based on current situation
2. Planning Social security payments and when to start
3. Roth conversion strategy
4. RMD strategy
5. Help with allocation of funds in other accounts (deferred comp and 401K)
6. CPA is in the firm so good coordination for tax planning
7.
8.

Tax planning
1. See above 👆
2.
3.
4.
5.
6.
7.
8.

You are definitely getting bamboozled OP. All of those specific services can be done with AI now inputting your specific numbers and considerations. Roth conversion strategies, SS timing, RMD strategies, tax planning, etc can all be done with AI.

This. AI is going to help us in so many ways. Want to find a spouse- AI will find you the right one. Divorce is a thing of the past.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:You are all idiots. What you pay does not correlate to value.

The OP said they are getting the following:

Retirement planning
Tax planning
Holistic management of portfolio considering other assets not under his management (401K, deferred comp, money market)
Assistance with estate planning
Miscellaneous

These are generic terms and mean nothing. Exactly what services are you getting for your money?

Retirement planning
1. Modeling cash flow and projected growth based on current situation
2. Planning Social security payments and when to start
3. Roth conversion strategy
4. RMD strategy
5. Help with allocation of funds in other accounts (deferred comp and 401K)
6. CPA is in the firm so good coordination for tax planning
7.
8.

Tax planning
1. See above 👆
2.
3.
4.
5.
6.
7.
8.

You are definitely getting bamboozled OP. All of those specific services can be done with AI now inputting your specific numbers and considerations. Roth conversion strategies, SS timing, RMD strategies, tax planning, etc can all be done with AI.

This. AI is going to help us in so many ways. Want to find a spouse- AI will find you the right one. Divorce is a thing of the past.

Jokes aside, AI is going to put a lot of Financial advisors and planners out of work. You simply don’t need them if you have any initiative whatsoever. I’ve used AI for detailed financial strategies, Roth conversion strategies, tax considerations, estate planning, etc. It’s amazing what it can do for free. In fact, AI prompted me about a new tax deduction in Virginia for military pensions that had just been signed into law that my tax preparer didn’t know about. Saved me additional $3K on my state taxes. But hey if you want to pay a FA $26K annually to send you statements and bin your AUM with other clients, have at it.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:You are all idiots. What you pay does not correlate to value.

The OP said they are getting the following:

Retirement planning
Tax planning
Holistic management of portfolio considering other assets not under his management (401K, deferred comp, money market)
Assistance with estate planning
Miscellaneous

These are generic terms and mean nothing. Exactly what services are you getting for your money?

Retirement planning
1. Modeling cash flow and projected growth based on current situation
2. Planning Social security payments and when to start
3. Roth conversion strategy
4. RMD strategy
5. Help with allocation of funds in other accounts (deferred comp and 401K)
6. CPA is in the firm so good coordination for tax planning
7.
8.

Tax planning
1. See above 👆
2.
3.
4.
5.
6.
7.
8.

You are definitely getting bamboozled OP. All of those specific services can be done with AI now inputting your specific numbers and considerations. Roth conversion strategies, SS timing, RMD strategies, tax planning, etc can all be done with AI.

This. AI is going to help us in so many ways. Want to find a spouse- AI will find you the right one. Divorce is a thing of the past.

Joke all you want. AI has made me very wealthy.

[Anonymous]

There is ZERO chance I’m using AI. Also, AI won’t do the actual work. I think people are neglecting this.

—don’t have a financial advisor, but can understand why some do