If you don’t know what your investment costs are, you shouldn’t feel embarrassed. You’re not alone.
Some advisors and brokers certainly don’t make it easy to know. Take it from this Wall Street Journal reporter, who went on a wild goose chase trying to find out how much she was paying her broker to manage her investments.
The reality is that investments themselves are complex enough; but the whole business is made even more complex because you don’t know if a recommendation to buy or sell an investment is coming from a sales person (primarily motivated by a large commission) or a true advisor (looking out for YOU).
If you’ve spent any time reading finance or business columns in a newspaper over the past year, you’ve more than likely heard the word “fiduciary.” It describes a professional, and is an important word because there are hundreds of thousands of so-called “advisors” out there, but only a few who are not sales people.
A true fiduciary will gladly write down these three things: a) declare that he/she is a fiduciary at all times, with all clients; b) report in plain language any conflicts of interest and how they are managed to your benefit; and c) estimate the cost to you as well as the payment he/she/company will receive from your business. Fiduciary advisors have a legal obligation to treat your assets like they would treat their own.
You know what you pay for a contractor, a plumber, a math tutor, or the services of a lawyer because you get an itemized bill and write a check! But not so with your broker. This is wrong. You wouldn’t hire a professional without knowing the cost! The Campaign for Investors believes that it’s critical that you know what you pay and why you own the investments you own. It’s vital to your long term financial security and essential to a healthy financial system in America. We have tools to help you evaluate your current advisor and empower you as an investor. And, the Campaign has partnered with FeeX to help you calculate your investment costs.
Get on a better path to a secure future now! It’s easy to do and the Campaign for Investors is here to help.