Should you Consider Innovative Fee Structures

Complexity-Based Retainer Fees is on the Rise

Financial advisory is almost always undergoing significant transformation, and Fees can often be a contentious issue, particularly when there are waves of new innovations that offer some form of competition, or cause clients to rethink the value proposition.

Some resourceful advisors use these moments as opportunities to differentiate, recently there’s been a number of such advisors that are redefining their traditional fee structures to better align with the value they provide to their clients.

One such pioneering approach is the adoption of complexity-based retainer fees for financial planning services, a departure from the conventional assets under management (AUM) fee model. This, perceived to be an innovative fee structure, might just be the paradigm shift, that emphasizes the intricacy of financial planning over the sheer size of asset…