Fee-only financial advisor: what does that mean?

Fee-only means all compensation comes from clients not from commissions or referral fees. Clients are charged a percentage of the accounts managed each year as below for financial planning and investment management services, billed quarterly:

 

The first $500,000: 1%

The amount from $500,001 to $1,000,000: 0.50%

The amount over $1,000,001: 0.40%

 

For example, a $1,000,000 portfolio would be charged an average of 0.75% each year, or $7,500.

 

The service and fee structure are designed for prospective clients with at least $1,000,000 in manageable assets, however, that's a guideline, not a requirement. Clients are accepted at the firm's sole discretion.

 

In the rare cases where Therese Govern works on an hourly basis, her fee is $200/hour.