Determining Ameriprise advisor fees and fund expense ratios

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ccbay58
Posts: 2
Joined: Thu Apr 11, 2019 8:47 am

Determining Ameriprise advisor fees and fund expense ratios

Post by ccbay58 » Mon Apr 15, 2019 11:53 am

Being new to the Bogelheads and all associated resources and books I can find I have started down the fee "rabbit hole" it appears. After meeting with my advisor I believe there is a 1% AUM fee on top of investment fees for each fund/ portfolio? 2 Active Diversified Portfolios show estimated net expenses of .70% which I believe is a blended net expense total of all portfolio holdings :confused . As I review the reports provided I recall a consistent message in all that is Bogel, Simplicity is Best! This is not simple... This is all an effort to motivate me to make the switch to Vanguard from a 40+ year relationship. I guess what I hope for is a resource to give a non biased review of my current investments, fees and targets and to assist in steering a course to retirement within the next 7-10 years. I reached out via phone to Vanguard but never received a return call which left me somewhat bewildered. All comments and suggestions will be welcomed. Thanks

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RickBoglehead
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Joined: Wed Feb 14, 2018 9:10 am

Re: Determining Ameriprise advisor fees and fund expense ratios

Post by RickBoglehead » Mon Apr 15, 2019 12:03 pm

ccbay58 wrote:
Mon Apr 15, 2019 11:53 am
Being new to the Bogelheads and all associated resources and books I can find I have started down the fee "rabbit hole" it appears. After meeting with my advisor I believe there is a 1% AUM fee on top of investment fees for each fund/ portfolio? 2 Active Diversified Portfolios show estimated net expenses of .70% which I believe is a blended net expense total of all portfolio holdings :confused . As I review the reports provided I recall a consistent message in all that is Bogel, Simplicity is Best! This is not simple... This is all an effort to motivate me to make the switch to Vanguard from a 40+ year relationship. I guess what I hope for is a resource to give a non biased review of my current investments, fees and targets and to assist in steering a course to retirement within the next 7-10 years. I reached out via phone to Vanguard but never received a return call which left me somewhat bewildered. All comments and suggestions will be welcomed. Thanks
Vanguard's not going to do that for you. You could consider Vanguard's Personal Advisory Service (PAS), they charge 0.30% AUM. They would redo your portfolio into 3 or 4 funds, basically what you could do yourself. You can find tools on the Vanguard site to help you.

Given the 1% AUM and high expenses of your current investments, what's the point of reviewing them? YOU have to decide your risk tolerance, your desired AA, and then either do it yourself or work with someone to get you there.

Have you read the Wiki? There's a listing of books in it, including some that are very quick reads.
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