INVESTMENT FEES : BUNDLED OR DIRECT?
Life is full of choices. Some way harder than others. Like Red or White? That seems to be the hardest question I’ve had to ask myself this week while on holidays. A good problem to have. However, other choices in life pop up – like should I choose bundled or direct investment fees when dealing with an investment advisor and these can be way more perplexing.
I think this will become a more pressing topic next year as investment fees will be brought to the forefront for all Canadian accounts with the upcoming mandatory investment fee disclosure to be front and center on everyone’s statements next summer (read my last weeks post on investment fees and CRM2).
I went searching through one of the investment firms that I use and found this amazing 3 1/2 minute video that illustrates this point better than I can.
At the end of the day – wine is wine, fees are fees, it really doesn’t matter which way you go (desired outcome will suffice)… and I’ll explain lots of that next week when I talk about the cost of being a do-it-yourself investor.
* Ipsos Reid Canadian Financial Monitor, IFIC 2010: The Value of Advice Report
Video courtesy of Vision Financial Solutions and Invesco
