Over the years, many prospective clients have asked how RetirementCFO compares to Ken Fisher's Fisher Investments. While I prefer not to bash the competition, I've decided to summarize my thoughts and how we differ so prospective clients can understand our unique approach. Mine is a biased opinion, but I do strive for objectivity.
Where We Think We Are Similar:
- Fee Structure: Fisher Investments promotes its fee structure, stating, "When you win—they win." (Nothing new here.) It is an industry-standard known as advisory fee compensation. Both Fisher and I charge a percentage of a client's account annually. As the account value increases, so does the fee, and vice versa.
- Fiduciary Duty: Fisher Investments claims to act in a "Fiduciary Capacity," which is also standard. Every financial professional with a CFP (Certified Financial Planner), AIF (Accredited Fiduciary Advisor), or RIA (Registered Investment Advisor) designation acts in this capacity. I hold all three designations.
- Custom Portfolios: Fisher Investments builds custom portfolios using individual securities. Similarly, I create tailored portfolios but also incorporate ETFs, ETNs, and Mutual Funds when appropriate.
- Reputation and Integrity: Unlike Ken Fisher, I have never been involved in a scandal or lawsuit with a client. Unfortunately, Fisher has faced both (sources: Reuters, The Wealth Advisor, Market Realist).
- Approach to Annuities: Ken Fisher opposes annuities, claiming there's always a better alternative. I don't "hate" any investment at face value. Instead, I focus on suitability and ethical recommendations. In the right situation, I include safe money strategies using annuities that guarantee principal and provide lifelong income, backed by highly rated insurance companies with over 100 years of history.
- Fee Reduction Strategies: Some of my "safe money" strategies have no direct fee to the client, allowing me to lower overall portfolio fees by 20-50% while reducing downside portfolio risk.
- Transparency in Performance: Fisher Investments does not show past performance, citing customization for each client. I believe in transparency and regularly share past performance results, demonstrating the effectiveness of our portfolio models.
- Comprehensive Financial Planning: Fisher Investments provides a basic retirement calculator report, while we offer holistic financial planning. As CFPs, we create written, date, and dollar-specific financial plans. Our clients are more than just investment accounts; we consider their entire financial picture.
- Diverse Services: Fisher Investments focuses solely on asset management with an asset-based fee. RetirementCFO, on the other hand, provides comprehensive planning with a focus on Retirement Income Planning. However, we also advise on college funding, tax-free retirement income, protection planning, and evaluations of annuities and insurance products.
If you're ready for a financial advisor offering a comprehensive, transparent, and ethical retirement planning approach, I invite you to schedule a no-obligation chat. Let's discuss how we can support your financial goals and ensure a secure and enjoyable retirement.
