Does anyone use personal capital wealth management services? They charge a heft fee of 0.89 % - is it worth it ? I had had betterment for 10 years - set it up and forget about it model and has reaped about 8.5 % returns ( in-line with index funds ) but now am looking to diversify and get higher growth. Should I also be looking at traditional wealth managers like Morgan Stanley as well ? Suggestions and your experiences are much appreciated

likesmarthelpful
Posting as :
works at
You are currently posting as works at

Almost no management services are worth it because they rarely if ever beat the market. I suggest reading I will teach you to be rich and seeing how you can automate your investing without any help from advisors.

like

Fair enough- are there any other wealth managers that offers these ? I have noticed that they ask for $1 M as minimum to be considered

I would just open accounts at fidelity schwab or vanguard. Put money in VTI or ITOT and VXUS or IXUS and be done. No need to pay anyone unless you really feel you need help.

likehelpful

EY - I just looked at since inception and VXUS was 2011 and VTI was 2001 one so I could’ve missed good international returns, thanks

The only reason I use a wealth advisor at a big bank is to get access to non-traditional investment opportunities like pre-IPO stock and PE funds. Otherwise, it’s not worth it.

likehelpful

Yes same reason I have majority of my NW with UBS.

like

I asked the same question half a year ago and did some research. The performance of personal capital is very close to betterment before the fees, but fees are much higher. The personal capital sales person could not articulate what exactly they can do except having a “live person” but we all know the average fund managers cannot beat market in the long run

No one needs an advisor until …….. Advisors are generally not seeking to “beat the mkt”, their value comes in the psychological coaching to maintain risk adjusted returns to reach the clients goals. Add in Tax Alpha, Financial Legalese, Asset Allocation, Estate Planning, Social Security planning, etc, etc, etc. And you then come to understand how a Fiduciary Fee Based CFP, is worth their 1%/yr. …… Or you don’t.

Your advisor shouldn’t be picking stocks for you. Advisors are much worse than mutual fund managers at picking stocks and most mutual fund managers can’t beat index funds. There are many other reasons to get an advisor. Find one who suits your needs—asset allocation and fund selection for 89 bps doesn’t cut it.

I've had the same advisor for about 25 years. He's flat rate annually and the absolute lowest return I've had was 8% annual and is usually 11-15%, sometimes higher. He was rated in the top 10 advisors in the state this year. Long story short, if you can find a good one, it's totally worth it.

Additional Posts

Did you find that everything you learned in your undergrad/MBA was used on the job? Or did you barely apply what you learned and found most of your learning through hands-on experience?

like

Get to my seat and try to turn on my headphones. Turns out they're dead. Gonna be a long flight

like

Any JDs leave B4 for industry positions in tax? Curious what that transition was like as well as any pros/cons of such a move

like

McK 🐠, have my first round case (zoom) coming up in a few weeks. Any idea what the % pass rate is for moving onto final round, and the final round pass rate too?

like

Any suggestions on paid / subscription services such as CNBC Pro for investment advice / stock research for investing? I am sitting on 50% of cash in my portfolio and would like to invest over next 6 months. I know I can’t time the market but trying to be better informed for investing 400K nearly. Sold nearly half of my stocks in Covid days for 5% loss. I follow all the market news daily but I feel like I need some paid / subscription service for better guidance but not on commission basis.

like

Moms of infants what are you doing for childcare? My two year old is back in daycare and was planning on sending my newborn in Jan when she’s six months. The people I’ve mentioned this to look at me like I’m crazy due to covid. Nanny not really an option for us due to small home and cost

like

Anyone have any insights on Mckinsey’s Capital Projects and Infrastructure practice? Culture, work, etc.

like

$220K base, 30% bonus target and eligible for stock up to $30k annually. Would like to hear if this sounds like a competitive offer for Director role in Corp Strategy in Philly.

likefunny

I’m leaving from 1 firm to another. Can anyone provide guidance on how to handle the 401k? Do I just do that directly with Charles Schwab?

like

US democrats proposing 3.5 trillion bill on “infrastructure”. Why can’t US and other wealthy nations just invest another $100bil on covid vaccine development. If cost of vaccine is $10 each, then $100bil is enough for the whole world (counting adults only). $100bil vs 3.5tril is a drop in the bucket.

likefunny
like

Starting application process to FAANG and other tech firms. For those who have recruited, what’s the end-to-end timeframe? Trying to see when to start the process if my goal is to leave by end of October. I also will be able to get referrals from google, fb, and amazon, not sure if that speeds up the process . Thank you

like

Is someone willing to speak with me about slalom austin? Org structure goals, culture etc. ?

First year PPCD teacher looking for some helpful tips/advice on classroom centers. Gross/fine motor skills ideas, games, etc? What can I use?

like

When are you recommending pregnant women to stop working? Is your facility doing inductions for low risk women?

like

Advice for Goldman Sachs pre-recorded interviews?

like

First time dad this year and therefore my wife is first time mom…ideas for Mother’s Day? Would probably do spa day if it weren’t for pandemic so need a little bit of help! Gifts or things to do would be great!

like

Creatives should form their own union. Discuss.

like

DM for a WMP referral!

like

New to Fishbowl?

Download the Fishbowl app to
unlock all discussions on Fishbowl.
Download Fishbowl to see what others are saying
That was just a preview…
Sign Up to see all discussions
  • Discover what it’s like to work at companies from real professionals
  • Get candid advice from people in your field in a safe space
  • Chat and network with other professionals in your field
Sign up in seconds to unlock all discussions on Fishbowl.

Already a user?
Login here

Share

Embed this post

Copy and paste embed code on your site

Preview

Download the Fishbowl app

Get realtime notifications and see
what's happening in your industry
from the palm of your hand.