Every person needs a decent-quality financial adviser, if not a high-quality financial adviser. If you do not have a complex financial situation, here’s the question you need to consider: “Is the fee that I should pay to avail the services of a financial adviser justified for the amount of my wealth she manages?”
To avail the services of a decent-quality human financial adviser for investment advice, you would need to pay an hourly fee of a few hundred dollars, or a fixed fee starting around $2,000 for specific investing services. The total billing for a typical client with no special situations can be a few thousand dollars per annum. Unless you have at least $1 million of investible liquid assets, such an expense can be burdensome.
Moreover, you will typically get access to a high-quality financial advisor if you have substantial investible assets — generally at least $10 million or more. At this level of wealth, the fee becomes proportionally manageable for the depth and customisation of advice.
If you do not have this kind of wealth, it is preferable to opt for digital advice or robo advice. Digital advice solves your need for a financial adviser even if you have a small amount of wealth. It is increasingly common for consumers with only a few thousand dollars to invest long-term are opting for robo advice. At the same time, clients who have a few million dollars of investible assets are also choosing robo advice as it caters to their investing needs.
In summary, clients can opt for robo advice with their investible assets ranging from a few thousand to a few million dollars.
Also read the answers to the related questions:
- How much should I invest through QuietGrowth?
- What is the minimum amount required to be deposited initially in a QuietGrowth portfolio?
QuietGrowth has been publishing content in this blog or in other sections of the website. Contributors for this content may include the employees of QuietGrowth, or third-party firms, or third-party authors. Unless otherwise noted, such content does not necessarily represent the actual views or opinions of QuietGrowth or any of its employees, directors, or officers.
Any links provided in our website to other websites are for the purpose of convenience, or as required by any such other websites. Unless otherwise noted, this does not imply that QuietGrowth endorses, is affiliated, and/or promotes any information, or products or services of those websites. Please read the advice disclaimer section of the website too.