November 14 – Trevor Thompson
Fees.
I met a potential client this week whose sole objective was to reduce fees on his super.
Hmmm, he was paying low fees already. It would cost more for me to manage it and I told him so. BUT in the quest for low fees all his super has been in the Cash option for four years. So it makes very small returns.
For the last four years the markets have trended up. If he was in a “balanced” portfolio over the last four years he would have had substantially more super. Sure Cash is safe and cheap to manage but it tends not to be the best LONG TERM strategy.
I hope he was getting what I was saying!
Sometimes you get what you pay for!
By Trevor Thompson.
CFP DipFP
SENIOR PARTNER