![]() ![]() ![]() ![]() Many flat-fee advisers set the same amount for each household, such as $7,500 per year, paid monthly or quarterly, says Garrett. Though the 1% AUM fee is reasonable for clients with smaller account balances, most advisers require account minimums and turn away young accumulators to maintain profitability for the firm. “If your portfolio value drops 20% during a market correction, has your adviser provided 20% less value? Percentage-based pricing is only affordable for both advisers and clients within a small portfolio range, say between $250,000 and $1 million dollars,” says Garrett. Looking for a new financial adviser? This tool can help you get matched with a planner who meets your needs. Or as certified financial planner Chris Russell at Tempus Pecunia notes: “Why should a client with $4 million dollars pay twice as much as a client with $2 million dollars? They’re getting the same or very similar service at a different price which is inequitable and doesn’t make sense,” says Russell.ĭo you think your financial adviser is overcharging you? Email then consider this: If you rolled a $500,000 balance into your $1 million dollar account - and now had to pay a set percentage of the now $1.5 million balance - is it really worth it to pay 50% more (that’s more than $400 a month) just because you put more money into the account? “Although the 1% AUM fee is standard, it does not align with the time, energy and expertise required to provide comprehensive financial advice and investment management services at different asset levels,” says Cody Garrett, certified financial planner at Measure Twice Financial. He says on a portfolio like this you might pay a little under $10,000 a year with a flat fee, which “would save them between $15,000 and $20,000 annually,” he notes. But a flat fee can often be far more affordable than that, says Kaleb Paddock, certified financial planner at Ten Talents Financial Planning. If you have, say, $3 million to invest and you hire a financial adviser at a typical fee - 0.8% to 1% - that is going to cost you $25,000 – $30,000 a year. All rights reserved.Let’s do some math to show you how much that 1% might cost you on a larger account balance. ![]() © Copyright 2017 Independent Financial Advisory Service Ltd. If you wish to register a complaint, please write to telephone 0117 9618222. A summary of our internal complaints handling procedures for the reasonable and prompt handling of complaints is available on request and if you cannot settle your complaint with us, you may be entitled to refer it to the Financial Ombudsman Service at or by contacting them on 0800 0234 567. The guidance and or advice contained within this website is subject to the UK regulatory regime and is therefore primarily targeted to customers in the UK. Independent Financial Advisory Service Ltd is entered on the Financial Services Register under reference 474925. Independent Financial Advisory Service Ltd is Registered in England & Wales, Company Number 5778927. Registered Office address: Tower Lane Business Park, Tower Lane, Unit 2, Warmley, Bristol, BS30 8XT.Īuthorised and regulated by the Financial Conduct Authority. Whilst the final decisions are of course yours, we’re here to help and guide you with jargon-free advice both now and in the future. We’ll discuss the plan with you and agree the course of action you want to take. We develop a practical plan designed to help you meet those objectives. You tell us about your current situation and about your financial objectives and when you want to achieve them. Our aim is to help individuals and businesses to achieve their financial goals. This is achieved by ensuring that we understand the individual needs of each client, and to implementing tailored financial plans to address those needs.Īt Independent Financial Advisory Service Ltd, we pride ourselves on the friendly and approachable nature of our advisers and staff, and on playing an integral part of the local community. We are committed to putting clients at the heart of everything we do and to developing long-term relationships with our clients. We provide advice across a wide range of services including investments, savings, mortgages and protection. The team at Independent Financial Advisory Service Ltd has many years’ experience providing practical financial planning advice to people, families and businesses in Bristol and the surrounding area. Welcome to Independent Financial Advisory Service Ltd ![]()
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