Different Ways The Financial Advisors Charge For Their Services
Financial advisors charge differently for their services. Some may charge you on hourly basis while, some may charge you in commissions. The top different ways through which a private wealth advisor will charge you are: As a commission when you buy financial or insurance products from them. A percentage of you assets. You may be charged around 1% - 2% of your assets every year. Hourly rate A mix of fee and commission described as ‘fee-based’ Flat fee for a complete project Retainer fee - quarter or annual basis Now Lets See The Different Charges in Detail: Commissions This is the most common way a wealth management company charge their clients. Some offer good financial advises while others only think about the commission and so work as salespeople. Commission may be charged directly by the advisor or as a surrender charge on an annuity. You must have a clear idea about how the financial management advisor is going to be charged and how much commission he is going