The Problem With How Many Financial Advisers Set Their Fees

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The Problem With How Many Financial Advisers Set Their Fees
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When it comes to fees, clients should be willing to ask a financial adviser: 'Why exactly am I paying the fees I'm paying? Can you quantify the value of your services?'

, you noted that their fees are increasing. My planner’s fee, as is common, is based on the size of my nest egg. My questions: What’s your opinion about calculating fees in this way? Is this a good method? Is there a better one? I’ve done well with my adviser through the years.

I’m glad to hear you’re happy with your adviser. But I worry that many retirees who are billed as you describe are paying too much for the help they’re receiving. That’s because they don’t understand how these particular fees actually work—and/or because they fall victim to inertia.

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