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[quote=Anonymous][quote=Anonymous][quote=Anonymous]DH and I disagree on the merits of using a private money manager that [b]charges us 1.25% every quarter [/b]to manage our investments - mostly IRA money, vs. using a Vanguard or Fidelity type of company to do it for us thus saving on fees.  We aren't high rollers, have about $800K with this guy. We've used him for 10 years.  Of course our 401Ks are with the current custodian - who happens to be Vanguard.

Every day that passes, I become more and more anti-money manager. I work in Financial Services, and am the right hand person to a licensed advisor.  I see what these fees add up to in our clients portfolios and boy it is a lot!  I looked at our portfolio over the weekend and I would estimate that we pay our advisor around $6K per year to manage our accounts.  The better the year, the higher the fees.

DH disagrees with me, thinks that its when the markets are down is when we need our advisor the most.  thinks that we couldn't do better on our own - letting Vanguard or Fidelity do the management for us.

What camp are you in? 
[/quote]

I assume you mean 1.25% annually.  If quarterly that would be outrageous.

If you really want a money manager you can get one for less.  I think index funds are preferable in theory, but having a manager keeps you from making stupid, emotion-driven mistakes and may get you some added services.  I switched to a manager at the top of the tech bubble when I couldn't figure out what to do next.  It's worked well.  She charges 1% annually on only one of our accounts that is about half of our holdings of about $1.3 M.[/quote]

Yes, 1.25% per year - with fees coming out every quarter.

The 1% fee usually comes into play when your accounts are over $1M. some are willing to go lower if you threaten to leave.  [/quote]

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