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WHAT DOES IT COST?
Most financial advisery firms don’t mention the vexed subject of fees but we
are proud of our low fee structure.
PAM is a fee based adviser which means we charge a flat transaction fee –
usually 1% to 1.5% of the sum invested to implement a portfolio
recommendation. We pay the stockbrokers whom we use to execute
transactions from this fee. If we also use
UK/US brokers their fee, around 0.25%, is additional.
Most of our clients have sums to invest in excess of $500,000 and the
implementation
fee at this level is 0.8% and over that is negotiable.
To manage the portfolio, report to you quarterly, and provide weekly
research etc we charge a 0.3% fee per annum reducing to 0.2% for amounts
over $500,000 with a minimum charge of
$150 plus GST per quarter.
Most of our competitors charge annual fees of 3x this level.
We are genuinely
independent and are fee based advisers, so our recommendations to clients
are completely free of any bias. The products we use pay no commission
and none pay any trailing fees. We don’t flog “new issues” or junk bonds to
clients just because they pay high commission. We don’t have a “corporate”
department with loyalties to companies for whom we act. We don’t have any
institutional clients. If fund managers charge high fees or generally act
the goat we are not afraid to say so. We answer to our clients only. We are
genuinely independent. |
