How we are compensated? Financial planning fees have 2 components. The negotiable hourly fee is up to $150/hour and is paid after the consultations.
Written financial plan fees range from $150 to $2,500, depending on the complexity of your financial situation. Half the negotiable fee is due in advance, the rest upon presentation of the plan, which will always be well within 6 months of our engagement. If you cancel, any prepaid fees will be refunded on a pro-rated basis.
Managed money fees also have 2 components. If we manage your money the annual negotiable fee for doing so ranges from ½ of 1% to 2%, depending on the size and complexity of your account. The fee is paid quarterly, at the end of each quarter. If we help you select other money managers and we monitor them for you, the other money managers (registered or notice filed in Oregon) pay us a portion of the fees generated by you. You do not directly pay for this service.
Are we registered representatives of a securities broker/dealer? No one at Clarity is or will ever be a securities broker/dealer or a securities registered representative.
Do we invest in securities we recommend to you? On occasion, we may buy or sell securities we recommend to you. We have found over the years that clients like to invest in the same investments we do. That makes sense. If we like it for ourselves, why shouldn’t our clients like it too? The type of security always depends on the client’s investment goals, objectives and time frames. When we recommend investments we hold ourselves, we’ll always disclose to you what we own and how much we own. (As an aside, we’ve seen that some salespeople tell clients that they own the same thing they are recommending, but it’s often a minimal amount. We find that to be very deceptive.) We feel that there is just a tiny conflict of interest in owning the same securities as we recommend to you because the securities we recommend are widely held and publicly traded and we are too small advisors/investors to affect the market in widely held and publicly traded securities.