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Paying the advice price

Discussion in 'Financial Planning' started by Simon Hampel, 5th Sep, 2008.

  1. Simon Hampel

    Simon Hampel Co-founder Staff Member

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    Paying the advice price | News.com.au Smart Investing Blog

     
    Last edited: 17th Sep, 2016
  2. Mark Laszczuk

    Mark Laszczuk Well-Known Member

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    I went to a talk a guy was putting on a few weeks ago and he came up with this:

    Tell clients that they pay you on a weekly basis when you make them money in that week and if you don't make them money that week, they don't pay you.

    I lol'd.

    It really makes me laugh that people take a short term view when it comes to their planning.

    "HEY! YOU'RE NOT MAKING ME MONEY THIS YEAR, WHY SHOULD I PAY YOU."

    "But I've made you money over the long term yes? You are confident I will continue to make you money over the long term, yes?"

    "Yeah well, you have a point there, I suppose..."

    Mark
     
  3. carlosreynolds

    carlosreynolds Active Member

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    QLD
    See attached for Peter Bobbins article.

    Why don't other provider's jump on board the "no commissions" action?
     

    Attached Files:

  4. Mark Laszczuk

    Mark Laszczuk Well-Known Member

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    Again with the fees vs. commissions? First we have a shares vs I.P. thread (again), now the fees vs commissions (again). Myabe it's just because I have to see/hear/deal with it all the time, but I'm over it!

    Mark

    Edit: besides carlos, I think people would still kick up a stink about paying fees when the market falls whether they are paying fees or paying commissions. In most cases, fee based advice is more expensive than commission based advice, did you know that?
     
  5. AsxBroker

    AsxBroker Well-Known Member

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    Carlos,

    This is why Peter Bobbin is saying that it is better to pay commissions (ie, it's more tax efficient and generally cheaper than fee based advice).

    Reality, is that it is up to the adviser on how they charge, most platforms are flexible, the most flexible I have seen is AMP Flexible Lifetime series (Investments, Superannuation and Allocated Pensions), dial up, dial down commission, set a monthly dollar based fee, do fee only based work, etc.

    Cheers,

    Dan