You probably don’t know how you are getting charged by
your financial adviser.
That’s why Massachusetts
will soon require advisers to provide a one-page fee table to all clients that is
designed to simplify the different ways investors may be charged and make it
easier for them to understand.
I attended
a recent session with the Massachusetts Securities Division where advisers
learned about this new requirement.
Many
questions posed to the regulators addressed the fact that advisers charge so
many different fees that they can’t see how they can get it onto one page.
When an adviser charges commissions and takes
a percentage of assets for themselves and then takes a percentage of assets for
an outside money manager and then takes referral fees and who knows what else,
it’s hard to get it onto one page.
But what
if an adviser charged a simple hourly fee and never received commissions or
referral fees and doesn’t take a percentage of assets annually?
That would be how Client Priority Financial
Advisors LLC charges clients and why one page is more than enough. This hourly
model lets the adviser avoid conflicts of interest and be free to choose only the
best solutions for your needs.
Larry Pike, CFA
Client Priority Financial Advisors LLC
www.clientpriority.com
