Six Points Every Investor Needs to Know About Fee-Only
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Compensation structure is an important consideration when engaging a service provider in the financial services industry. It is a critical factor in the quality of financial services and products you receive.
- Fee-only advisors accept no commissions. Fee-only advisors are free of the influence commissions introduce to a relationship. Those who are members of the National Association of Personal Financial Advisors (NAPFA) are barred from accepting commissions or compensation based on the products they recommend.
- Fee-only advisors are neutral, third party consultants to their clients. Fee-only financial advisors work for you - as is generally true of your attorney, accountant, or physician. We are not sales representatives for a third party.
- NAFPA's fee-only advisors disclose all fees prior to your engagement. As NAPFA says, "there is no better way to be confident that your advisor is working in your interest…" We are not collecting payments for your case that are you are not aware of.
- There are few fee-only advisors in the country. In fact, the total members of NAPFA members are roughly the same as the number of professional baseball players. There are non-NAPFA fee-only advisors that may double that number. We are the elite.
- Fee-only is not the same as "fee-based". "Fee-based" advisors collect commissions, and charge fees as well. They haven't sworn off commissions, as fee-only advisors have. They augment their commissions with fees.
- Through us, you have access to fee-only service. Forestis Financial Analytics, Inc. is a fee-only advisor and Vincent P. Emmer, CFP, the firm's principal, is a member of NAPFA.
