"Fee-Only" Advisors
Deane Retirement Strategies is a "Fee-Only" Investment Advisory Firm
Our sole basis of client compensation is advisory fees. Our "Fee-Only" (commission free) approach to financial and retirement planning and portfolio management allows us to avoid advisor/client conflicts of interest and always place our clients’ best interest first.
Your annual fee is determined by the value of your assets under management with us. As your account value increases, your annual fee percentage incrementally decreases.
Our firm is a credentialed member of NAPFA, The National Association of Personal Financial Advisors, the nation’s leading organization dedicated to the advancement of Fee-Only financial planning and portfolio management. www.napfa.org
WHY...
We Don’t Use Mutual Funds? Deane Retirement Strategies does not use mutual funds in their clients’ portfolios, thus avoiding your being charged with each mutual fund’s annual 0.50% - 1.50% average internal fund expenses, such as trading costs, management fees, advertising expenses, broker/advisor compensation, etc. These expenses are annually reoccurring and are passed along to you “behind the scenes.” This a called their “expense ratio.” Even no-load and institutional funds pass along their fund’s expenses to you. So, for example, if you’re paying your financial advisor a 1.00% annual advisory/management fee and have a portfolio of primarily mutual funds, in addition to your advisor’s fee, you’re also absorbing your mutual funds’ average 1.00% annual expense ratio. Adding together the two fees, your advisor’s 1% and your mutual funds’ 1%, your effective total annual portfolio fee is 2.00%. These fees are over and above any additional cost, if any, to purchase or sell a mutual fund. In comparison, our average, all-inclusive annual advisory/management fee is under 1.50% and provides all of the services listed in the pyramid above. We do not use mutual funds in our clients’ portfolios, thus avoiding any additional client fees. The presence or absence of mutual funds in your portfolio should be taken into consideration when evaluating and comparing an advisor’s annual fee schedule. |
