If an adviser doesn't use an AUM model they'd probably be excluding a huge percentage of potential clients due to the outrageous percentage of assets they'd have to be billing the fixed-fee at for a typical investor.Although I would not hire an AUM advisor, I can see why most of them still use the AUM business model. Most people are terrible at managing their assets. Bogleheads are not most people.
Question for advisers: regardless of how billing is done, does the average AUM per client (in real terms of course) increase over an adviser's career? I would guess so but I don't know. I'm wondering whether fixed-fee would work better later vs. earlier in a career?
Statistics: Posted by tibbitts — Tue Sep 24, 2024 6:03 pm — Replies 10 — Views 475