What is a fee-only investment advisor?
A fee-only investment advisor is a Registered Investment Advisor (RIA) who is registered with either the Securities Exchange Commission (SEC) or the State Securities Board of the state you reside in, or both. A fee advisor can charge a fee of up to 2% a year, usually paid quarterly, to help you select, manage, and monitor your retirement plan or brokerage investment account using both domestic and international mutual funds and individual stock and bond portfolios. If you hire a fee-only investment advisor, you are entitled under Federal and State laws to require full disclosure for all fees and expenses paid to the investment advisor.
The dedicated fee-only investment advisor will not take commission compensation by selling "load" mutual funds or insurance annuities. A true fee-only advisor should only recommend "no-load" (no commissions) mutual funds from firms like Fidelity Investments, Schwab or TD Waterhouse for your personal and business retirement and individual brokerage accounts, or Fidelity Investments for your ORP/403(b) investment portfolios
Lack of Disclosure: