Frequently Asked Questions

How much does MAXadvisor Private Management cost?

We charge just 0.50% (one half of one percent) of assets under management per year on the first $3 million of assets under management and 0.30% on balances over $3 million, with a minimum fee of $750 per client, per quarter.

We are fee-only advisors, meaning we charge you directly for our advisory services and do not make commissions on load funds or on the trades we make. Each quarter, we send you an easy-to-read invoice which lists our fee and how we calculated it. That fee is all you pay us (and it's often tax deductible to boot - consult your tax professional!).

Many of the funds we buy for your account will be purchased without a transaction fee (NTF) through the brokerage platform and fund supermarket that holds client assets. Some fund require paying a brokerage fee, especially with closed-end funds and ETFs (exchange-traded funds). These aren't our fees. They go to the broker that runs the platform we use to manage your money.

Due to our tiered fee structure and inclusion of a minimum charge, the actual percentage fee may vary for certain clients. Accounts under $600,000 will pay over 0.50% in annual management fees, while accounts over $3M will pay less than 0.50%. For example, the fee charged on a $1M account is 0.50% per year, while the fee on a $5M account is 0.42% a year (0.50% on first $3M, 0.30% on $2M). On a $500k account, our fee is 0.60% because of the $750 minimum quarterly fee.

Do you buy load funds?

Never! We simply don't purchase funds sold with a sales charge or commission. For every load fund charging a 5% (or more) commission for the privilege of buying it, there's a no-load alternative that's just as good (and probably better). We build client portfolios primarily with low-cost, no-load mutual funds from companies like Vanguard and T. Rowe Price, and mix in some exchange-traded funds (ETFs), closed-end funds, and REITs (Real Estate Investment Trusts).

As professional advisors, we're sometimes able to buy certain load funds with the load waived for our clients. We also often have access to institutional-class funds at a lower minimum investment requirement than retail investors would; these are generally lower cost than the non-institutional version of the fund and also don't have built-in sales commissions.

Do you buy stocks?

Generally, our portfolios do not contain individual stocks. We do buy some closed-end funds and ETFs that trade on exchanges like individual stocks do, but unlike individual stocks, both ETFs and closed-end funds are made up of many underlying securities and usually track an index (like the S&P 500 or the NASDAQ-100).


What about my current holdings and existing accounts?

We'll analyze your existing holdings and rebuild your portfolio in line with your financial goals and our investing philosophy, keeping any of your existing holdings that fit selling any that don't.

What is the minimum asset requirement to get started?

We don't have an asset requirement to get started with us, but please be aware that we do have a minimum fee of $750.00* per client per quarter.

*Minimum fee can be reduced or eliminated in certain cases based on our sole discretion.

Do you offer a guarantee?

If at any time you're unhappy with MAXadvisor Private Management, let us know. You're under no obligation to continue using our service any longer than you like. All accounts are guaranteed by the Securities Investor Protection Corporation (SIPC) at the brokerage company we select as custodian for your money. This is NOT a guarantee against losses from stock or bond market or fund declines, but a guarantee against broker bankruptcy or insolvency. Click here for more on SIPC.


What if I don't want you managing my money any more? How do I get my money back?

You don't have to get your money back because MAXadvisor Private Management never actually has it. All we do is manage your account - but it's still YOUR account. You never transfer money to us - you simply grant us trading authority over your accounts. If you decide you no longer wish to use MAXadvisor Private Management, all you have to do is to tell us or the custodian and our trading authority will be withdrawn promptly.

My broker doesn't charge a fee for choosing investments for me.Why should I pay you?

In all likelihood they are charging you - you just don't know it. Most brokerage-sold funds are sold with sales commissions that come out of your money when you invest. These commissions are often well-hidden - you won't notice them unless you know where to look. We don't collect loads, buy load funds for our clients, or charge any hidden fees.

When you buy a typical load fund, 5.75% of your money vanishes in commissions immediately. For the sake of comparison, since we charge just 0.50%* of assets under management per year - 5.75% buys you more than ten years of MAXadvisor Private Management. The less money you pay your broker or advisor, the more money you keep.


What exactly do you do for your clients?

MAXadvisor Private Management is a total portfolio management solution. We gauge your risk profile, assess your goals, and determine the correct risk level portfolio to build for you. We allocate your portfolio to the best mutual funds we can find for the job and monitor and make changes as needed. Our portfolios are optimized to your personal situation. While there are similarities across accounts, an account with $1M doesn't get the same mix of funds as one with $100k. A taxable account can get different investments than a similar risk-level IRA account - and may be traded differently in an effort to minimize taxes.


Why should I let a professional manage my portfolio?

Expertise. Hiring a professional to manage your portfolio frees you from having to determining how much risk to assume overall, from designing the right broad portfolio mix to achieve that risk goal, and deciding how to allocate your portfolio between the thousands of mutual fund and ETF options available. These are difficult decisions to make for most investors. We are investing experts and we have a tremendous amount of experience building portfolios that work.

What about my 401(k) assets?

Your 401(k) account (or other employee sponsored or defined contribution plans) can't typically be rolled into your regular brokerage account that we manage. However, we're happy to offer our clients advice on 401(k) investments, free of charge.

We also take your 401(k) holdings (and any other assets you have) into account when building your portfolio. For example, if you're a daredevil investor whose allocated your entire 401(k) to nothing but the highest-risk investments, we'd likely recommend building your MAXadvisor Private Management portfolio with a greater focus on lower-volatility investments in order to lessen your overall risk level.


Where can I find your ADV Part 2 Brochure?

A Form ADV Part II Brochure provides information about our qualifications and business practices as a Registered Investment Adviser (RIA). You can download a pdf version of our ADV Part 2 Brochure* by clicking here. If you have any questions about our brochure, please contact us.

*The information in this brochure hasn't been approved or verified by the SEC or by any state securities authority.

How do I get started?

Click here to set up a free phone consultation with a MAXadvisor Private Management registered investment advisor representative.

Not quite ready to talk? We're happy to answer any questions via email.