If I have $1m under mgt, should I pay a lower fee than 1% from a Florida-based advisor for advisory services?
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Price is what you pay and value is what you get. If you are asking us this question, you may feel you are not getting the value of paying $10,000 a year for an advisor. As others mentioned, advisors today should be more in tune with the 7 financial pillars and building out a full financial blueprint for you and your family. As a Florida based advisor, that is exactly what our firm does here.
It depends on the value you are receiving from the advisor. It’s sounds like you question the price vs. value relationship which could be reasonable.
I tell clients, if you are paying 1% for asset management for a 7 figure portfolio, you should be receiving Investment Management and two meetings per year along with a review of your income tax return and tax advice.
It depends. If the relationship is solely investment management, then no. However if it is a more comprehensive financial planning/management relationship then 1% could be a bargain depending on how in-depth your advisor gets.