Thank you for visiting our site and familiarize yourself with what we as independent advisors can do to the make your portfolio grow. For those of you who have more than one financial advisor or are being approached by an advisor whose main focus is on reduced fee ask them what you are being expected to give up for a lesser fee. If the answer is NOTHING BE SUSPICIOUS!
You could give up one or more of the following:
Higher net returns. For the last few years the “flavour of the day” has been reduced fees. No one has mentioned the reduced returns that usually accompany lower fees. I am continuously searching for a better alternative at lesser cost to enable the accounts I am responsible for to grow faster. To date I have been unsuccessful.
- Less integrated service. They choose to focus on fees rather than the performance of the funds, which does not give you the overall picture.
- They tend to ignore the importance of being tax efficient. Payment of unnecessary taxes is a waste of valuable resources, and a hindrance to wealth creation.
- They tend to ignore the importance of maximizing gain in a relative low risk Poorer gains over a longer period of time waste an unrecoverable resource – TIME.
- They tend to confuse market volatility with risk. Risk is the possibility of permanent loss of your money. A frightening thought for sure. Fluctuation or volatility is your friend. It should be managed to your benefit. Volatility is the ENEMY of those that don’t know the value of their investments and the FRIEND of those that do.
- They could be handicap by only offering in house products thus restricting your portfolio to inferior returns. Not all products or managers are created equal. You deserve to have the best working for you.
The foregoing are only a few of the benefits that an independent advisor can offer. For these and all the extra services we provide, the current system of embedded but disclosed fees adequately compensates us for the privilege of striving for excellence on our clients behalf.
If you have found the proceeding information helpful and have any questions or concerns, please feel free to contact Gordon French CFP at 1-888-548-8868 or firstname.lastname@example.org
P.S. Recent client story: We reviewed a client statement from a “low fee” institution and determined that the gain was approximately ¼ % of what our clients received(net of fees) over the same period of time, thereby confirming some of the previously mentioned concerns.