We offer two separate financial advice services:
Financial Planning and Investment Management
Financial Planning Service
As a planning client, you receive a comprehensive initial financial plan. Once we deliver your plan, your quarterly planning subscription begins. Every subscription includes:
- Help implementing our recommendations each quarter
- Regular monitoring of your progress toward your goals
- Updates to your plan after big life changes
- A one-hour annual check-in with your advisor
- Access to your financial plan online
- A secure online vault to store your sensitive documents
- Year-round access to your advisor
- Our quarterly newsletter
WHAT DOES HESPERIAN CHARGE?
Our planning fees depend on the complexity of your financial situation (reevaluated annually). You can estimate your initial plan fee and quarterly subscription fee using the calculator below:
This calculator only provides an estimate of your fees. Your final fee will be set out in your client agreement. In certain cases, fees may be negotiable.
Investment Management Service
We can also manage and provide financial advice on your investment portfolio for an additional fee. Investment Management includes (when appropriate for your situation):
- A client portal that tracks all your assets in one place
- Regular monitoring of your portfolio
- Year-round tax-smart trading and portfolio rebalancing
- Goal-based and tax-based asset allocation
- Implementation of your customized investment strategy
- Optional impact or values-based investments
- Annual portfolio and impact reports
- Transitioning of legacy assets
WHAT DOES HESPERIAN CHARGE?
We charge a fee of 1% or lower on your total investment assets. There is no investment minimum to work with us and we don’t charge on the first $50,000 of your assets. See the fee schedule below for details:
| Household Investment Assets | Annual Fee |
|---|---|
| First $50,000 | NO FEE |
| Greater than $50,000 up to $1 million | 1.00% |
| Greater than $1 million up to $5 million | 0.75% |
| Greater than $5 million up to $10 million | 0.50% |
| Greater than $10 million | 0.25% |
To obtain a lower overall fee, you may combine all your family’s accounts under a single “household”.
Planning Fee Calculation Example: Let’s say you and your spouse have a child planning for college and you receive stock options as part of your compensation at work. Your initial comprehensive financial plan would cost $5,500 ($4,000 base fee + $1,000 + $500). After that, your ongoing planning subscription fee would be $700 per quarter ($400 base fee + $200 + $100). Once your child graduates from university, we will lower your subscription fee to $500 per quarter as you no longer need advanced college planning.
But if you elect our Investment Management Service as well, portfolio management fees can offset your upfront fee by $2,000 and your subscription fee by $200 (so you’d pay $3,500 upfront and $500 per quarter afterward instead).
And if you have more than $1 million in investment assets, your portfolio fees can largely offset your upfront fee and lower your quarterly planning subscription further to no more than $200.
Investment Management Fee Example: Portfolio fees are calculated based on your accounts’ average end-of-day market values during the period. They are paid in four quarterly installments.
An account valued at $2,000,000 would pay an effective fee of 0.85% with the annual fee of $17,000. The quarterly fee is determined by the following calculation: (($50,000 x 0.00%) + ($950,000 x 1.00%) + ($1,000,000 x 0.75%)) = $4,250
For accounts we manage directly, fees are deducted from your portfolio by your broker/custodian upon your authorization. For held away accounts we advise on or manage through an Order Management System, such as 401(k) or 529 accounts, we will deduct fees from other accounts under our management or invoice you directly.
If we did not manage your assets for the full calendar period, fees are prorated. See our client brochure for more details.