A recent Twitter dispute between Larry Swedroe and Rick Ferri reignited the debate about financial advisor fees.
A recent dustup on Twitter between Rick Ferri and Larry Swedroe both well-known and opinionated financial advisors once again brought around the topics of financial advisor fees, how those fees are structured, what advisors actually do and whether they are paid too much to do it, or too little.
Both got their licks in, and clearly there is no love lost. Ferri, a well-known disciple of Jack Bogle and author of numerous books and articles on the superiority of index investing, claims that if financial advisors are to be true fiduciaries to their clients, they need to decouple advice from portfolio management and stop charging clients a percentage of assets managed because portfolio management is not where an advisor’s value lies.