RetiredHappy
Thinks s/he gets paid by the post
- Joined
- Jun 27, 2021
- Messages
- 1,613
Regarding FA, as someone who has had one for the past 14 years and is finally going to self-manage our investments, it has cost us about $300K during the course of the past 14 years. We started with a small amount AUM while we were working and grew it more when I sold off several of my homes through time and added a little bit more before we retired. The real advantage by having our investments managed by someone else is that we haven't gotten knee-jerk reaction when the market goes down and sell when it is low. The disadvantage is also that we have little control on how they manage the account besides Asset Allocation etc.
The first firm who had it for 5 years before we moved to a 2nd firm was way underperforming and the second firm has been fine. It has come to a point where we want more control on how the funds are managed. We started with 1% AUM at the first and 2nd firm, and the 2nd firm dropped to .8% after a couple of years when we added more money. When we wanted to move our assets out a month ago, our FA offered to drop to .6% but the same issues remain that we have little control of how the investments are managed.
You can always try it for a year or two until you gain more stability after retirement. For us we were very busy working that we just had no time to look at our investments. We retired in 2016 and it still took us 5 years before we have gotten our retirement into a routine and decide now it is time for us to take care of our investments.
The first firm who had it for 5 years before we moved to a 2nd firm was way underperforming and the second firm has been fine. It has come to a point where we want more control on how the funds are managed. We started with 1% AUM at the first and 2nd firm, and the 2nd firm dropped to .8% after a couple of years when we added more money. When we wanted to move our assets out a month ago, our FA offered to drop to .6% but the same issues remain that we have little control of how the investments are managed.
You can always try it for a year or two until you gain more stability after retirement. For us we were very busy working that we just had no time to look at our investments. We retired in 2016 and it still took us 5 years before we have gotten our retirement into a routine and decide now it is time for us to take care of our investments.
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