How much does a financial advisor cost?

The cost of your financial advisor will depend on what type of services you desire, the size of your portfolio and their compensation structure. There is no standard fee or cost that applies to all financial advisors; some will charge more simply based on their credentials and certifications.

Do financial advisors pay a fee?

Much like commissions, the product provider is compensating the financial advisor, so the client does not readily see a fee being paid. When a professional advisor makes financial recommendations involving products, there is an additional product fee payable in addition to the AUM fee.

What fee structures do financial advisors use to charge clients?

Here’s a breakdown of the different fee structures financial advisors use to charge clients. One of the most common fee structures used by financial advisors is assets under management, or AUM. It’s a percentage of all the money they manage for you, aka your total assets. You can expect to pay an AUM fee of 0.25 percent to 1 percent.