At TBH, we strongly believe transparency and honesty are of the highest importance. Generally, most individuals are charged one of two ways by various investment firms: 

  1. Commissions on products or security trades
  2. Asset based charges, but not necessarily “fee-only”  

What does it mean to be “fee-only”? 

  1. To be “fee-only” means the firm cannot accept any compensation directly, or indirectly, outside of the client agreement. This eliminates any potential conflict of interest with advice. 
  2. A “fee-only” model creates a win-win situation for the advisor and the client.  The advisor isn’t rewarded for selling things to a customer, but rather on the long-term relationship preservation and growth over time.  
  3. It is important to note, that many large investment firms use the wording “fee-based” instead of “fee-only”.  This is a subtle but important difference.  “Fee-based” means the firm can still get kickbacks, revenue-share, and commission for sales, like insurance, annuities, etc.  All of which, are strictly prohibited in the “fee-only” space. 

At TBH, our costs are 100% transparent, and we are 100% “fee-only”. At any moment, TBH can easily give our clients a detailed breakdown of our costs. We remain committed to the belief that the industry should adopt a “fee-only” model, where advisory firms are held to the highest fiduciary standard. 

To learn more, please contact us for a complimentary consultation.

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