It’s hard to put a fixed dollar amount on peace of mind and other behavioral strategies that advisers offer.
If you pay a 1% management fee for a financial professional to handle your finances, you likely expect that advice to yield far more than it’s costing you. But how would you know?
“People have tried to say how many basis points of value you get from financial advice, but it’s so dependent on an individual’s particular circumstances,” says Roger Young, thought leadership director at T. Rowe Price. “How much do you benefit from the huge category of coaching and behavioral improvement? It’s very hard to measure.”
Those services, not coincidentally, are the ones where it’s most easy to see a quantitative return on investment, especially at higher income levels. “You can show stats of how well we’ve done, and that’s an area where we can see evidence of the value of using an asset manager that can potentially exceed fees we pay,” says Young.
“Tax planning is definitely important to people,” says Young. “It’s a matter of where they are going to get that help.”
France Dernières Nouvelles, France Actualités
Similar News:Vous pouvez également lire des articles d'actualité similaires à celui-ci que nous avons collectés auprès d'autres sources d'information.
You should be replacing your sponges way more than you think — here's whyStudies tell the ugly truth about how often you're supposed to be cleaning and replacing your kitchen sponges.
Lire la suite »
More adults think marijuana safer than tobacco despite similar health dangers, study findsMore Americans think smoking marijuana every day and secondhand exposure is safer than inhaling tobacco despite medical research showing otherwise,...
Lire la suite »
Why Self-Control Might Not Be the Superpower We Think It IsSelf-control is an impressive quality, but we have to be cautious of its flaws.
Lire la suite »
Abortion Isn't the Silver Bullet Democrats Think It IsWhen the conversation focuses on passing restrictions on abortion like the need to obtain parental consent for minors, pro-lifers will win.
Lire la suite »
Judge Rules Against Right-Wing Think Tank Efforts to Block Student Debt ReliefA lawsuit attempted to stop the Biden administration from canceling debt of roughly 804,000 borrowers.
Lire la suite »
Polling data show climate change isn't as divisive as you may think.Many believe climate change is a divisive issue. Polling data tell a different story. The majority of people in the country believe that climate change is happening and a majority say they are worried for the future. But experts say real change won't happen until those beliefs are more closely tied to personal impact.
Lire la suite »