Check out this graphic from Bloomberg where they look at money management fees and CEO compensation. It is confined to explicit fees and doesn't address the other costs that arise from active trading and bid-ask spreads etc.
Their wording in the first paragraph is interesting: ". . .with one money manager subcontracting to another . . . ." Something to keep in mind when the advisor puffs up and proclaims that he or she is a fiduciary and the Investment Agreement is non-assignable.
Thoughts and observations for those investing on their own or contemplating doing it themselves.
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Friday, March 12, 2010
Posted by Robert Wasilewski at 7:25 AM
Labels: investment fees
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The Fund of Funds always got my goat.... fees layered on top of fees layered on top of fees. What kind of sucker would fall for such a gimmick?ReplyDelete
Actually, there are a lot of suckers. Some people buy mutual funds and believe there is no cost. It is impossible to convince them that nobody works for free on Wall Street.ReplyDelete