What is a fee only advisor and why work with one?
A fee only advisor is one who charges only a fee for services, never a commission. As a result, there are no hidden fees or commissions paid to me the advisor. I am now a fee only advisor, and all expenses and fees paid by you are completely transparent.
For example, if I do a financial plan for you, we will agree upon a fee (either fixed or hourly). There will be no sales of financial products tied into my recommendations.
If we agree to have me manage your funds, we will agree on a fixed percentage of assets. Again, there will be no products sold or recommended which involve paying me a commission.
In the sale of some products, the advisor may earn up to 7% or more commission, for each dollar you invest.