Fees Matter.
Many advisors charge 1% of the assets you entrust to them as their annual fee.
It may not seem like a lot, but look at the effect of the 1% fee on a stock investment with typical returns...
On an initial investment of $1,000,000, an annual 1% fee costs you $943,453 over twenty years.
$6,000,000
$5,000,000
$4,000,000
$3,000,000
$2,000,000
$1,000,000
$0
8%
9%
10 Years
8%
9%
15 Years
8%
9%
20 Years
The red bar represents the growth of your money after your typical advisor fee has been deducted.
$1,000,000 initial investment with no further contributions, compounded in a tax sheltered account.
​If you match the general performance of the stock market since 1920, you could easily hope to achieve 9% annual returns.
If you deduct your 1% annual advisor fee, you would effectively be receiving 8% annual returns.
1% seems like a reasonable fee for complete money management services. And this is a good arrangement for many investors. And after all, it's just 1%. But 1% might just add up to be a lot more expensive than you think.
Sick Advisory Services
Annual Prepaid Package of $2,918
12 Meetings Per Year
Typical Advisor Fees
1% of Assets
1% of $1,000,000? $10,000 per year.​
1% of $2,000,000? $20,000 per year.
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1% of $5,00,000? $50,0000 per year.
These numbers are just for the sake of illustration. We are happy to work with investors across the full range of financial situations. In fact, the investment advice we dispatch to an investor with $1,000,0000 may not be that different than the advice we would give to someone with assets of $10,000,000. That is why we charge the same rate, no matter what your level of assets.
SIck Advisory Services, a Registered Investment Advisor, functions differently than most financial advisory businesses.
Most financial advisors ask you to hand over your money to their control. They will then manage everything for you and charge you a 1% fee on your assets, every year. This could mean that you hand over millions of dollars to an advisor, and trust them to work in your best interest.
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​We are different. All we do is sell advice. We don't touch your money, and have no access to your funds. You simply pay for whatever advice you need; nothing more, and nothing less.
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Our guiding principal is that we advocate long term business ownership, not reckless short term trading or financial gimmicks. By charging just an hourly fee for advice, we have no hidden incentives and no reason to encourage you to trade more than you should.
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