Ditch 1.5% advisor fees for low-cost dividend ETFs
The author argues that high-fee wirehouse advisors destroy retirement income by charging 1.5% AUM while allocating to proprietary funds yielding only about 1.8% and bleeding NAV. His proposed fix is a basic low-cost dividend ETF DRIP using SCHD, VYM and O, so that compounding is not eaten by fees. The catalyst is the portfolio transition away from the advisor, and the main risk implied is that dividend ETFs still carry market and NAV risk.
Ditch 1.5% advisor fees for low-cost dividend ETFs
The author argues that high-fee wirehouse advisors destroy retirement income by charging 1.5% AUM while allocating to proprietary funds yielding only about 1.8% and bleeding NAV. His proposed fix is a basic low-cost dividend ETF DRIP using SCHD, VYM and O, so that compounding is not eaten by fees. The catalyst is the portfolio transition away from the advisor, and the main risk implied is that dividend ETFs still carry market and NAV risk.
Ditch 1.5% advisor fees for low-cost dividend ETFs
The author argues that high-fee wirehouse advisors destroy retirement income by charging 1.5% AUM while allocating to proprietary funds yielding only about 1.8% and bleeding NAV. His proposed fix is a basic low-cost dividend ETF DRIP using SCHD, VYM and O, so that compounding is not eaten by fees. The catalyst is the portfolio transition away from the advisor, and the main risk implied is that dividend ETFs still carry market and NAV risk.