This seems outrageously expensive to me to manage just $150k. My parents have managed to earn about 7% return this year, lost last year and got about 6.8% return in 2016. I'm struggling to figure out why it is seemingly so expensive. Is 1% normal for a wealth advisor? I tried convincing my personal finance illiterate parents that they could just go with a retirement target fund at vanguard and earn nearly the same return and pay 0.13% in expense ratios, which is 10x lower. The problem is that mom my 'likes' her wealth advisor, so convincing her that she is getting demolished with fees will be difficult. I mean they only have $150k with Wells Fargo, I fail to see why they need a wealth manager anyway. They don't have millions of dollars to manage. I can't tell how much in other fees they may be also paying. I only looked at the year end statement from 2018 and they paid $1500 total for the year for account management. As far as I can tell there aren't other fees involved, although my mom's advisor just told her to buy some stock, which I'm sure they make commission on. Anyone else have experience with Wells Fargo advisors? I feel like my parents are getting ripped off big time.
Submitted May 12, 2019 at 12:33AM by Al_Dutch_Schaefer http://bit.ly/30a1ZWM
