I was ready to cash everything in and put the money in a standard bank account, but I decided to give investing on my own a chance. True, I could fire the FA. b. Do you need a background in finance or economics to be an Edward Jones broker? I say all this as someone who has money outside of Jones, but many family members who swear by them. The fees and expenses that an investor pays better be worth what the returns are given the context of the market etc etc etc……….Edward Jones is a good firm and has some of the best long term investors in the market today. As a 25 year EJ vet, I can tell you our culture leans against misbehavior. It just doesn’t show up as fees anywhere. The have developed a great strategy and local ground game. Get educated and do it yourself with a discount firm like Vanguard. So happy we got out. In todays market environment, one should only expect 6-8 percent returns when planning long term, i.e. A proper money manager will sound more expensive but companies like Edward Jones will never tell you the real cost of their free services. Clients under $500,000 will get a team e.g. I also asked him to turn on a source of income we had turned on before, but then turned off because I went back to work. So the last two months they have e lost me money. Both Edward Jones and Vanguard offer the following investments: 1. A program that puts a discipline in place, automatically rebalances, and removes emotion from the investment decision is easily worth a percent or two to most investors. The integrity factor cannot be easily discerned. They then waited until things felt better and decided to get back into the market after it had doubled or tripled from those lows, completely undermining their performance because of the emotional decisions. Lastly, the fees are not higher than average, actually they are cheaper! Edward Jones offers both accounts so that their clients can choose what is best for them, unlike some of their competitors that moved to a fee only service. for five years after my dad passed on. The studies also show how financial advisors lag index funds (and essentially make the same mistakes). I’ll try to make this simple and it applies to every financial company out there, not just EJ. When you add in the 1-2% annual fees charged by most managed funds, it’s difficult to match the performance of a broad based index fund. For ETFs, any low-commission broker will do. Its more important to look your financial goals and what displine and strategy will you have to get there. NO. Fees are not the number one determinant of returns. Very few managed mutual funds outperform total stock market index funds over 10+ years (>3-5%). Seems like a lot of money to spend for financial advice especially when very, very few managed funds beat the broad market index over 10 year period. They teach advisors to use bullet points on anyone who questions the investment selections in such a manner. Let me put this plainly…EJ Advisors are parisites IMHO. I just met with an edward jones financial adviser yesterday – the quote that I got was 5.75% fee to purchase a mutual fund… We were talking specifically about setting up a roth IRA, but I am pretty sure she said the 5.75% applies to basically all purchases of mutual funds. Check with your financial advisor. I need it more than they do and it means thousands for me. Declines are temporary and unavoidable and are part of your overall long term average rate of return. Lastly and advisor can be just as emotional driven as the investor so you have a case of the blind leading the blind. First of all, 0.5% on a $10M account is $50,000 per year! In today's investment world there are much better lower-cost options. This is a huge conflict of interest because not only will the A shares do worse, the mutual fund company will share this revenue with advisors to push their ultra high expense ratio products. “The adviser I have with Edward Jones has done a stellar job over the last 13 years!! Understand that your EJ advisor CANNOT churn this account as the writer mentioned. Temporary declines cannot be avoided over any long term cycle. Edward Jones fees are extremely high if the advisor is just managing investments. Retirement savings 8. And my money goes where Ken Fishers goes. In actually think the percentage payment to an advisor is more of a conflict of interest per say. The original advisor was marginal at best but I certainly don’t need a newbie managing my money. He moved me over to another office, which essentially did much the same thing: churned my portfolio and put some of the money into sketchy investments. Founded in 1922, and based in Des Peres, Mo., Edward Jones is a financial services company that focuses its business primarily on individual investors and small businesses. 2. It does not include the fees of the mutual funds/ETFs used within your account. Transactional accounts are a joke, you can trade stocks and etfs and many MF’s for free at Schwab, TD, Fidelity, etc. Guess I didn’t have enough money in to rate his attention. Their advisors are crooks, out to cheat people. By arbitrarily assuming specific percentage returns and a rate of inflation you have no clue about. Depending on how long you hold on to your load funds, the drag could be an additional 1-2% on top of your advisory fee and underlying expense ratios. Personal financial success is directly correlated to asset allocation and risk management. I’d stick with low cost passively managed funds. Theyâre both included in your fee. You are on a list to either get sold an investment, upgrade to advisory solutions after 2 years of being in a brokerage account, or other things to deepen the relationship. Morgan Stanley. U got to be joking. Regardless of the firm its all about the adviser and your relationship to that adviser. It is a lost cause. 9 Commissions in the IRAs can vary, … Most people need an Advisor and many are wise enough to admit it. The flat fee is based on a tiered schedule, ranging from 1.35% for your first $250,000 invested down to 1% or less for $1.5 million or more invested. We analyze and compare tools to help you make the best decisions for your personal financial situation. ... Facts Regarding Conflicts of Interest Associated with the Firm and Your Financial Advisor's Recommendations in your Select Account (pdf) ... Edward Jones Income Manager ® Account … He refused. If one assumes that this should be any part of an advisor’s value proposition, he or she is gravely mistaken. By Name. would you not want to of sold your account into a money market then reinvest 2000 point lower? Option A: Buying a 5.75% front load fund and then paying 1.4% in yearly expenses. Don’t rely on an advisor. Not sure which account type(s) you have? Then sign up for a free account at feex.com and add your Edward Jones account (or any other account where you have mutual funds or ETFs). 1. If anything is listed under Initial (front-end load), Deferred or Redemption (back-end load), you ARE paying a commission. At Edward Jones you can be in either a transactional account or a fee based account. With more than 12,000 locations serving nearly 7 million clients in the U.S. and Canada, Edward Jones … Edward Jones is not perfect, nor is it perfect for every investor. Read or print the latest version of this document: Select a State and then enter a last name. 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