How are advisory fees paid?
For fee-based advisors, a percentage of the account value is charged to the client annually for managing the account. The fee is split quarterly, deducted from the investment account quarterly and paid to the advisor.
How much does Steven Van Metre Financial charge?
For assets under $2,000,000 my fee is 1.00% per year. On assets $2,000,000 and up it is 0.50% per year.
What do I get for that fee?
The same excellent advice and service is included – All meetings, the retirement planning coach process, and all of my services are included at no additional cost.
How does this compare to other advisors?
It is common to see fee schedules start at 1.5% per year for smaller accounts. For accounts over $1,000,000 the fee may be as low as 0.8% per year.
How can Steven Van Metre Financial do this?
By following the same conservative advice given to my clients and by having low overhead I am able to offer my clients a low fee. My business is debt free and I don’t have an opulent office or a large support staff. On a personal side, I have very little debt and lead a conservative lifestyle.
Why does Steven Van Metre Financial do this?
I want my clients to be successful. If my clients get good advice and see their accounts grow, then they will be clients for the next 10, 20, or 30+ years. By having low fees and a long term relationship with my clients, we will both be successful.
Why don’t other advisors do this?
Advisory fee schedules are set by the firm the advisor works for, so the advisor cannot modify or reduce their advisory fee. However they are allowed to increase their advisory fee if the client will agree to it.