Honest Money
Your personal guide to financial freedom, hosted by the bestselling author and award-winning financial planner, Warren Ingram.
Honest Money
How Much Fees Should I Be Paying On My Investments?
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In this episode, Warren Ingram and Pieter de Villiers break down one of the most confusing parts of investing: total fees. They explain how to understand the full cost of investing through effective annual cost, including investment management fees, platform/admin fees, and advisor fees.
Chapters
- 00:00: Introduction to the fee question
- 01:55 :What effective annual cost means
- 02:24: Investment management fees: active vs passive
- 05:04: Performance fees and realistic fund fee ranges
- 07:11: How to compare fund performance fairly
- 09:03: Admin fees and platform types
- 10:01: LISPs vs brokerage platforms
- 12:53: Why index trusts can be cheaper than brokerages
- 14:42: Service quality, tax reporting, and hidden costs
- 17:04: Advisor fees and compensation models
- 18:21: Why commission-based advice is problematic
- 19:17: Flat fees, hourly fees, and ongoing retainers
- 24:06: Why an advisor can add value beyond picking funds
- 26:28: Practical fee ranges for total costs
- 28:24: Final takeaway: price vs value
Learn more about Prescient Investment Management here.
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