The cost for having an advisor manage one's investments seems high to me, often at 1% per year on Assets Under Management (AUM). For every $1 million, the cost is $10,000 per year for an advisor's services.
That seems high to me. Why? Because the same advisor will charge 1% for managing $100,000 or $1000. Does it take 10 times to effort to manage $1 million? No. They just increase the holding 10 times. Similarly, if they are managing $10 million at a cost of $100,000 per year, are they doing 100 times the work versus managing $100,000.
I don't have an issue paying $1000 per year. However, I don't want to pay $10,000 or $100,000 per year for the same investment service just because I asked the advisor the manage more money in the same investments.
This is not financial nor investment advice. Please consult a professional advisor.
Copyright © 2025 Achievement Catalyst, LLC
No comments:
Post a Comment
Comment guidelines: My Wealth Builder will publish comments that are about the topic and do not contain inappropriate language. My Wealth Builder reserves the right to edit or delete comments for any reason which includes those that have advertising (either for a product, website, or blog), contain inappropriate language or are not about the topic.