Fees
Hiring a financial advisor is a business decision. You run a business consisting of your investable assets, and you risk your capital in exchange for long term growth. Your business currently has expenses, including substantial income taxes, mutual fund management fees, and trading costs.
As your CFO, Ross Asset Advisors will help you minimize these expenses, increase your revenue, and manage your risk. Our clients find that our efforts generate a positive return on the fees they pay for our help.
Why we are fee only
As surprising as this may be to some investors, most investment advisors have hidden fees, often in the form of commissions kicked back to advisors from mutual fund companies. The fund companies, such as American Funds, use loads and 12b-1 fees to bury fees within their expense ratios. These fees are then passed along to advisors in exchange for steering assets to their funds. As you can imagine, investors do not benefit from this arrangement.
At RAA, we believe that advisors should be paid only by their clients, and not by mutual funds eager to acquire funds. We work only with fund companies that do not pay commissions.
For accounts under $1 million, our fees will be one quarter of one percent of assets each calendar quarter, or 1% per year. For accounts larger than $1 million, we will discount fees appropriately based on account complexity, fixed-income share of assets, and need to establish and maintain complex bond ladders.
Typical Account Size
Typical clients will have $500K to $50 million to invest. We make occasional exceptions to our minimum account size for clients in high-earning professions.
If your philosophies match ours, then we’d like your business. Please Contact Us via email, or call us at 818-864-6200.
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