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Great Financial Planning Networks for Millennials

Editorial Note: The content of this article is based on the author’s opinions and recommendations alone. It has not been previewed, commissioned or otherwise endorsed by any of our network partners.

The youngest millennials turn 24 in 2020, and most of this generation has already entered the workforce. Whether it’s to evaluate retirement plans or simply to start budgeting more effectively, many millennials are seeking out the help of a financial advisor.

Financial planning is a great way to improve the health of your personal finances. However, just grabbing the first financial planning professional you come across is not an effective option. You need to take thoughtful, deliberate steps to evaluate your options and choose the right advisor.

Check out our advice for pursuing your own search for a millennial money advisory that measures up to your own expectations. In addition, we’ve provided brief profiles of five financial planners tailored to the unique needs of millennials.

Millennial financial planning: How to find the right advisor

With a variety of financial planning services designed to appeal to their generation, millennial clients should explore their options before choosing an advisor. It’s important to find the person who will be a match for your unique personality and needs. The planner you choose to hire will depend on a variety of criteria, and before you sign on the dotted line, take these five steps to find the right fit.

Look for the CFP designation

When choosing an advisor, check if they’ve received a CFP designation. “This means the person has completed extensive education and experience requirements and are held to high ethical standards,” said Lindsay Martinez, certified financial planner with Xennial Planning in Oceanside, Calif.

CFP professionals have to pass a comprehensive certification that test their abilities to apply financial planning knowledge to real-life situations. The exam covers the financial planning process, tax planning, employee benefits and retirement planning, estate planning, investment management and insurance, to ensure the planner understands the complexities of the changing financial climate and know how to make recommendations in your best interest.

Get referrals, do background checks

Ask family, friends and professional colleagues if they use a financial planner and if they’re satisfied with their services. While your needs may vary depending on your life situation, it can help to hear about the experiences of others.

Whether your advisor candidates come from referrals or your own search, you should also do a background check on your advisors. The Financial Industry Regulatory Authority (FINRA) is not-for-profit industry group that oversees all entities in the United States that sell securities products. FINRA offers BrokerCheck, a website where you can research the background and experience of securities brokers and dealers.

Another place to find information is through the Securities and Exchange Commission (SEC). As it applies to the public, the mission of the SEC is to protect investors and maintain fair, orderly and efficient markets. The SEC helps you check an advisor’s background with search features on investor.gov.

If the financial planner claims to be a certified financial planner, take the extra step to verify their credentials by checking the CFP website. And you can also check for reviews of financial advisors at the Better Business Bureau.

Schedule a consultation

Don’t underestimate the importance of finding an advisor that fits your personality. An advisor may be smart and savvy, but if you don’t feel like they’re a partner who wants to take time to make sure you understand and feel good about your choices, the relationship could end badly.

Financial planning networks for millennials ditch the suit-and-tie meetings and offer a more relaxed way to interact and share ideas, via phone or web-based consultations.

“Since many planners provide complimentary getting-to-know-you-style consultations, take advantage of the offer to see whether they’re a good fit for you,” said Sarah L. Carlson, certified financial planner and founder of Fulcrum Financial Group in Spokane, Wash. “Do they talk to you or talk down to you? They need to speak in terms you understand.”

Carlson recommends looking for an advisor who has been in the business for at least five years. “Anyone who can pass the tests can come into the business,” she said. “Only advisors who are successful at helping people can stay in the business more than five years.”

Know the right questions to ask an advisor

Millennials should be asking the right questions, said Janice Cackowski, a certified financial planner with Providence Wealth Partners, in Rocky River, Ohio.

Cackowski suggests asking whether an advisor works with other people in your age bracket. Do they have account minimums or a minimum annual fee? How are they paid? Do they offer tax planning?

“In my opinion, [tax planning] is the most important part of planning for young people,” Cackowski said.

Kashif A. Ahmed, president of American Private Wealth in Bedford, Mass., adds two more questions: Is the planner a fiduciary? And can the planner be compensated by being paid for their time and advice instead of being required to purchase a product directly from them?

Advisors who are fiduciaries hold themselves to a standard where they put your financial interests above their own. “If they hesitate or say ‘no’ to either of these, run away,” Ahmed said.

Understand your advisor’s fee structure

Millennials are known to be impervious to sales pitches and are highly cognizant of hidden costs. They want to know exactly how much they’re paying and what they’re getting in return. For this reason, many find that they prefer a fee-only financial service. It’s important to understand the difference between fee-only and fee-based.

“‘Fee-only’ indicates the advisor does not sell products or work on commissions, so there are inherently fewer conflicts of interest,” said Martinez. “These folks have a fiduciary responsibility to act in their client’s best interest.”

Fee-based planners, however, collect money from clients as well as other sources, such as commissions from companies whose products they sell. Both fee-only and fee-based advisors can give a client investment and financial planning; however, the input you receive from a fee-based advisor might be different from a fee-only advisor due to how they get paid. In some cases, this can create a conflict of interest.

5 financial planning options for millennials

From networks to solo practitioners, financial planners designed specifically for millennials are making waves in the marketplace. These five financial planners and planning networks have business models geared to millennials. They offer digital platforms not tied to any one location, no minimum deposits and fee-only services.

XY Planning Network

XY Planning Network The  XY Planning Network includes more than 500 certified financial planners (CFPs) who specialize in financial planning for millennials. Advisors in the XY Planning Network are fee-only, which means they do not accept commissions, referral fees, or kickbacks. There are no minimums required to get started as a client.

These advisors offer comprehensive financial planning help, including debt management, estate, insurance and retirement planning, real estate analysis, and investment advice and management. Advisors are available to work with clients either in person or online.

Garrett Planning Network

Garrett Planning NetworkGarrett Planning Network is a network of nearly 300 financial planners who check many key boxes for millennials. Members charge for their services by the hour on a fee-only basis. It does not accept commissions, and clients pay only for the time spent working with their adviser.

Members of the Garrett Planning Network requires no income thresholds or investment account minimums to access its hourly services. Garrett Planning Network advisors help clients with cash flow issues, investment management questions, tax preparation, pensions and retirement plans, estate planning, insurance issues and savings opportunities. Members must either already have their CFP designation or agree to become certified within five years. Clients can set up an in-person meeting or work with a member by phone or online.

Millennial Wealth

Millennial WealthMillennial Wealth is a small fee-only financial advising firm that specializes in planning and investing for millennials by millennials. Planners are not compensated with commissions or kickbacks. Located in Seattle, customers can also meet virtually via meeting software or other technology.

Millennial Wealth doesn’t have account minimums, and it has designed its fee structure to work primarily with young professionals just starting out and wanting to build a solid foundation to achieve financial goals.

Gen Y Planning

Gen Y PlanningGen Y Planning is run by certified financial planner Sophia Bera and specializes in clients in their 20s, 30s and 40s who have high incomes but haven’t had time to do proper financial planning. Gen Y Planning offers help and advice for the life stages millennials are likely facing, such as navigating new jobs, purchasing a first home, getting married and starting a family.

The team works with clients across the country online. Gen Y Planning offers fee-only services, with an up front planning fee followed by a monthly retainer. The CFP also offers a robo-advisor for investment advice as an add on service for 0.70% annual management fee. Gen Y Planning does not require account minimums.

Grow

GrowGrow is a millennial-owned service that focuses on serving other millennials. The company takes a holistic approach by offering solutions that improve its clients’ lives and finances with financial planning, investment management and personal growth coaching.

Grow is a fee-only advisor that receives no commissions. Clients do not have minimum account requirements, and Grow doesn’t charge a fee for managing assets under $10,000; instead the balance is left in cash or market ETFs until increases.

The bottom line on millennial financial planning

When you’re in your 20s or early 30s, long-term goals like retirement or purchasing a new home may feel far off. However, it’s never too soon to start working with a financial planner. When it comes to your money, take your time to find the right person to help you.

“I’ve found the millennials I work with to be hard-working and extremely conscientious about their finances,” Cackowski said. “They want to get set up to save appropriately and make better financial decisions than their parents’ generation.”

Finding a financial planner who can help meet all of your needs and work toward reaching your goals is an investment in yourself and your future. You want to hire someone who is not only knowledgeable; you want a coach and partner you can trust to grow along with you and your account balance.

Advertiser Disclosure: The products that appear on this site may be from companies from which MagnifyMoney receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). MagnifyMoney does not include all financial institutions or all products offered available in the marketplace.

Stephanie Vozza
Stephanie Vozza |

Stephanie Vozza is a writer at MagnifyMoney. You can email Stephanie here

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Review of Boston Private Wealth LLC

Editorial Note: The content of this article is based on the author’s opinions and recommendations alone. It has not been previewed, commissioned or otherwise endorsed by any of our network partners.

Boston Private Wealth is a fee-only advisory firm serving individuals, high net worth individuals, pension and profit-sharing plans, charitable organizations and other businesses. The firm specializes in working with professionals in law, accounting and medicine, as well as executives and business owners. With headquarters in Boston, the firm has more than 70 investment advisors around the country overseeing the firm’s more than $12.8 billion in assets under management (AUM).

All information included in this profile is accurate as of December 9th, 2019. For more information, please consult Boston Private Wealth’s website.

Assets under management: $12,827,947,779
Minimum investment: $1 million
Fee structure: A percentage of AUM, ranging from 0.70% to 1.25%, depending on account size; fixed fees; hourly fees
Headquarters:One Federal Street
30th Floor
Boston, MA 02110
(617) 223-0200
bostonprivate.com

Overview of Boston Private Wealth

Founded in 1986, Boston Private Wealth is headquartered in Boston, with a number of additional offices throughout Florida, California and New York. Boston Private Wealth entered the Northern California market in 2001, the Southern California market in 2004 and the Florida market in 2014. In fall of 2019, the company announced the integration of KLS Professional Advisors Group in New York City.

The firm is a wholly-owned subsidiary of Boston Private Financial Holdings, Inc., a public reporting company, and it is affiliated with Boston Private Bank & Trust Company, a full-service private banking company. Boston Private Wealth has more than 130 employees on staff, including 72 performing investment advisory functions. Fourteen employees are licensed agents of an insurance company, though the company is clear that it earns no commissions for product recommendations. The firm currently manages more than $12.8 billion.

What types of clients does Boston Private Wealth serve?

Boston Private Wealth serves a broad variety of clients, with its largest client group being high net worth individuals. The SEC defines a high net worth individual as someone with at least $750,000 managed by a firm or whose net worth exceeds $1.5 million.

The full range of clients the firm serves includes:

  • Individuals
  • High net worth individuals
  • Trusts, estates and charitable organizations
  • Family offices
  • Corporations or other business entities
  • Banking and trust companies
  • Not-for-profit entities, including foundations
  • Retirement and profit sharing plans, including IRAs and 401(k) accounts
  • State or municipal government entities
  • Other investment advisors

We reached out to Boston Private Wealth and the firm confirmed that its minimum account requirement is $1 million. However, the firm also notes that because it views clients’ financial pictures holistically, it works with some clients who may have less than the $1 million but who are building wealth. In addition, the filing also states that of the firm’s individual clients, about six out of 10 are high net worth, although that leaves about 40% who aren’t.

Among those clients are a large number of business owners who frequently have limited liquidity as they grow their businesses. The company also focuses on professionals in private practice, such as law firms, accounting firms and medical, dental or veterinary practices, as well as executives. It offers these clients help with business financing and the management of personal income.

Although the vast majority of the firm’s assets under management ($11.2 billion of $12.8 billion) are from high net worth individuals, Boston Private Wealth also serves corporations, charitable organizations and pension and profit-sharing plans.

Services offered by Boston Private Wealth

Boston Private Wealth provides a host of services to its clients, from wealth management to trust and estate services. The firm also recently added family office services designed to handle the needs of ultrahigh net worth investors, including helping with personal accounting and net worth reporting, tax and accounting services, bill pay and mail management, and budgeting and cash flow planning.

The firm’s full list of services includes:

  • Wealth and financial planning
    • Vision statement that may include a client’s financial, philanthropic, tax and wealth transfer objectives
    • Income and retirement planning
    • Protection planning
    • Investment management planning
    • Legacy planning
    • Philanthropic planning
    • Business succession planning
    • Executive planning
    • Education analysis
    • Estate plan analysis and review
    • Insurance and risk management review
    • Cash flow and debt management
    • Compensation and benefits
    • Donor advised fund
  • Portfolio management for individuals and/or small businesses
  • Portfolio management for businesses (other than small businesses) or institutional clients
  • Pension consulting
  • Selection of other advisors (including private fund managers)
  • Publication of periodicals or newsletters
  • Educational seminars/workshops
  • Planned giving
  • Family office services
    • Personal accounting and net worth reporting
    • Tax and accounting services
    • Budgeting and cash flow planning
    • Bill pay and mail management
  • Concentrated holdings services
  • Proprietary separate account strategies
  • Investment consulting
    • Diagnostic review
    • Investment policy and governance design
    • Asset allocation services
    • Portfolio construction and implementation
    • Performance measurement, reporting and analysis
    • Custom investment solutions
  • Retirement plan advisory services
  • Wrap-free programs
  • Trust services

How Boston Private Wealth invests your money

Boston Private Wealth engages in active portfolio management, using a client’s goals, time horizon and risk tolerance to create a customized, diversified portfolio. The company prefers to use active strategies because it believes, over time, that it can outperform the market on a risk-adjusted basis.

Typical client portfolios include 40 to 60 carefully selected individual stocks, alongside a customized bond portfolio with investment-grade taxable or municipal bonds. The firm also offers access to as many as seven additional asset classes, from international large cap stocks to alternatives.

The firm uses both internally managed strategies as well as external money managers to complete clients’ financial plans.

Fees Boston Private Wealth charges for its services

For wealth management services, Boston Private Wealth charges clients a percentage of assets under management based on a tiered fee schedule, which starts at 1.25% for the first $1 million, 1.15% for the next $1.5 million and so on. For fixed-income portfolios — meaning individual fixed income securities, including investment-grade and municipal bonds — Boston Private Wealth negotiates a fee schedule not to exceed 0.75%.

For consulting services, the firm charges a flat rate per engagement, or a fee of $300 per hour, depending on the arrangement with the client, and those services include portfolio review, financial planning, asset allocation and performance reporting, monitoring and analysis. For investment advisory services to retirement plans, the firm charges a maximum fee of 0.50%, with a minimum annual fee of $5,000.

There may be additional fees and expenses beyond the firm’s set fees, including:

  • External separate account manager fees (if Boston Private Wealth uses an external separate account manager as a sub-advisor to manage a client’s assets)
  • Mutual fund and ETF management fees
  • Mutual fund transaction fees
  • Donor advised fund fees
  • Brokerage fees

Boston Private Wealth doesn’t use a wrap fee program, which is when a firm offers a bundle of services for a flat fee, but it does participate in wrap fee accounts when it place investments with other investment managers. It charges a management fee of 0.15% to 0.50% for wrap accounts.

Boston Private Wealth notes that for accounts with a portfolio value of less than $1,000,000, the effective fee may be more than 1.25%.

Boston Private Wealth Fees
Wealth Management
  • 1.25% on the first $1,000,000
  • 1.15% on the next $1,500,000
  • 0.90% on the next $7,500,000
  • 0.70% on higher balances
Fixed Income-Only PortfoliosNegotiated fee schedule not to exceed 0.75%
Consulting ServicesNegotiated flat rate per engagement or $300 per hour
Investment Advisory Services to Retirement PlansNegotiated fee schedule not to exceed 0.50% (Minimum annual fee: $5,000)

Boston Private Wealth’s highlights

  • Services for high net worth individuals. The recent addition of KLS, which is a wealth management firm specializing in law firms, attorneys and other high net worth clients, makes this combined operation one of the more sizable firms focusing on the high net worth set. The firm now manages more than $11 billion in assets from high net worth individuals, and it recently opened a family office arm devoted to ultrahigh net worth families.
  • Diverse leadership. In an industry that’s still fairly male-centric, half of Boston Private Wealth’s leadership team is female, as is 45% of its board members.
  • Locally revered. In 2013, readers of the Boston Business Journal chose Boston Private Wealth as the Most Admired Financial Institution.

Boston Private Wealth’s downsides

  • Fees are higher than average. For the non-high net worth investor, Boston Private Wealth’s rate of 1.25% on the first $1 million in assets is slightly higher than the RIA industry average of 1.17%. Asset-based fees do decrease as the amount of assets under management increases, but Boston Private Wealth notes that for accounts with a portfolio value of less than $1 million the effective fee may be more than 1.25%.
  • Potential conflicts of interest. Boston Private Wealth receives client referrals and other benefits from the Fidelity Wealth Advisor Solutions Program, TD Ameritrade’s AdvisorDirect program and the Schwab Advisor Network. These relationships raise potential conflicts of interest, as Boston Private Wealth may be more likely to suggest client strategies that benefit those companies.

Boston Private Wealth disciplinary disclosures

The firm has only one disclosure listed in its Form ADV, paperwork that firms file with the SEC. The disclosure is in relation to an advisory affiliate who was involved in a rules violation. In 2017, FINRA suspended the individual, who was with Merrill Lynch at the time, for one year for false expense reports. Boston Private Wealth itself has never been the subject of any disciplinary action.

Boston Private Wealth onboarding process

To start a relationship with Boston Private Wealth clients must complete an online form with their contact information, the services they’re interested in and the amount they currently have invested. Prospective clients can also call advisors directly to learn more about working with Boston Private Wealth.

The bottom line: Is Boston Private Wealth right for you?

Boston Private Wealth could be a good match for you whether you’re a high net worth individual. The firm’s recent moves — the acquisition of KLS and the opening of a family office group — suggest that they’re doing some gunning for the high net worth space. Additionally, the firm’s tiered fees drop below average RIA rates for assets over $1 million, making it a more attractive option for investors with seven figures to invest. Boston Private Wealth also works specifically with professionals in the areas of law, accounting or medical work, and executives in general, potentially making this firm worthwhile for anyone in these fields.

If your investable nest egg is smaller, however, you’d likely be better served looking elsewhere since the firm has a $1 million minimum. Plus, you can find advisory services for less than the 1.25% — or more — that Boston Private Wealth is charging for portfolios of less than $1 million. That said, if you’re a business owner with a larger net worth but less liquidity, it might be worth a look.

Advertiser Disclosure: The products that appear on this site may be from companies from which MagnifyMoney receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). MagnifyMoney does not include all financial institutions or all products offered available in the marketplace.

Kate Ashford
Kate Ashford |

Kate Ashford is a writer at MagnifyMoney. You can email Kate here

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Review of Aspiriant

Editorial Note: The content of this article is based on the author’s opinions and recommendations alone. It has not been previewed, commissioned or otherwise endorsed by any of our network partners.

Aspiriant, LLC is an independently-owned firm with headquarters in Los Angeles and 10 additional offices nationwide. The firm primarily caters to wealthy individuals and families, as well as a smattering of institutional investors, like charities. Aspiriant provides what it calls total wealth management, which includes portfolio management as well as a broad range of specific financial planning services. The firm has 155 employees, 86 of whom perform research or serve as investment advisors to the firm’s more than 1,700 clients.

All information included in this profile is accurate as of December 9th, 2019. For more information, please consult Aspiriant’s website.

Assets under management: $11,669,979,000
Minimum investment: No absolute minimum, but clients typically invest at least $1.5 million
Fee structure: A percentage of AUM, ranging from 0.2% to 1%, depending on account size (Minimum annual fee: $14,000)
Headquarters:11100 Santa Monica Blvd.
Suite 600
Los Angeles, CA 90025
aspiriant.com
310-806-4000

Overview of Aspiriant

Aspiriant is independently owned, with roughly 65 of its current employees owning shares in the holding companies that own the firm. Aspiriant is the product of a 2008 roll-up of the Los Angeles-based wealth management firm Quintile, and the San Francisco-based firm Kochis Fitz. Today, the combined entity, which also absorbed Deloitte’s national investment practice in 2010, manages over $11 billion in client assets and has spread its geographic footprint, with five offices in California as well as locations in Austin, Boston, Cincinnati, Milwaukee, Minneapolis and New York.

The firm’s specialties beyond wealth management include family office services and divorce consulting. Aspiriant, which has 86 investment advisors and researchers on staff, has earned spots on recent lists of top investment advisors compiled by Barron’s as well as the Financial Times. The firm’s co-founder and CEO, Rob Francais, was inducted into Barron’s Hall of Fame in 2019 for his work in the field.

What types of clients does Aspiriant serve?

Aspiriant primarily serves high net worth individuals and families, including corporate executives, business owners, foundations and family and limited partnerships. Clients typically have investment portfolios of $1.5 million or more. However, the firm does not have an absolute minimum account size requirement, and some of its clients do have more modest levels of investable assets. For particularly complex situations, however, a portfolio larger than $1.5 million may be required.

Aspiriant also provides investment management and consulting services to some institutional investors, such as charitable organizations, trusts, pension and profit-sharing plans and corporations and other businesses.

Services offered by Aspiriant

Aspiriant can manage your investment portfolio, as well as advise on other areas of your finances, including your estate, taxes, retirement, education, compensation, cash flow and philanthropic goals. In addition, the firm has certified divorce financial analysts (CDFAs) on staff to provide divorce consulting services. For each client, Aspiriant crafts an individualized investment management program that aligns to their specific needs.

Aspiriant also has an in-house, 35-person team that provides family office services, such as filing taxes, paying bills, buying insurance and planning family legacies. This team can also educate multiple generations about living with their wealth.

In addition to its services for individuals and families, the firm offers investment management services for institutional investors.

Here is a complete list of services offered by Aspiriant:

  • Investment management for individuals and institutions (both discretionary and non-discretionary)
  • Financial planning services
    • Tax planning
    • Estate planning
    • Charitable giving
    • Retirement planning
    • Education goals planning
    • Risk management
    • Expense management
    • Compensation planning
    • Liquidity and cash flow needs
    • Private foundations and business entities
    • Divorce financial consulting
  • Family office services
    • Family legacy planning
    • Estate document preparation
    • Alternative investment coordination
    • Tax and compliance filing
    • Bill paying and reporting
    • Foundation management
    • Insurance

How Aspiriant invests your money

Aspiriant creates customized plans for each client, investing their money in a mix of global and domestic stocks, bonds, mutual funds (some of which Aspiriant may advise), ETFs, real estate, cash and other instruments. The personalized plans take into consideration the client’s individual circumstances, as well as Aspiriant advisors’ market outlook for the short and long term and which asset classes they expect to perform well.

The firm starts the process by having each client speak extensively with an advisor about their goals, risk tolerance, time horizon, cash needs and expected returns. Based on those conversations, the client and their advisor will agree on an appropriate asset allocation. Aspiriant prefers the advisor to then be in charge of choosing the specific investments to meet those goals, known as discretionary management. However, some clients have non-discretionary relationships with Aspiriant, meaning the client must approve trades.

When choosing investments, Aspiriant may recommend that clients invest in the publicly-traded mutual funds that it manages. A small percentage of clients also invest in private equity and real estate funds that Aspiriant advises. A $500,000 minimum investment is required for those private funds.

Fees Aspiriant charges for its services

To manage your portfolio, Aspiriant charges an annual fee based on a percentage of assets under management, which typically starts at 1% and ranges down to 0.20% for larger portfolios. The minimum annual fee is $14,000, though the firm discloses that all fees are negotiable. Each quarter the investment management fee is automatically debited from client accounts.

Clients also will likely pay fees to third parties, such as expense ratios and trading costs, in addition to the advisory fee.

On top of your portfolio management fee, you’ll pay for wealth planning services, which can include financial planning, estate planning, tax planning, tax return preparation, expense management and bill payment services, retirement planning, risk management and philanthropy. Retainer fees range from $5,000 to $50,000, depending on the complexity of the services offered and the time involved. Clients also may pay an hourly rate for special projects and/or ongoing consulting, with rates typically ranging from $100 to $695. The firm says that these fees are also negotiable.

Aspiriant’s highlights

  • Fee-only: As a fee-only firm, Aspiriant earns money solely through the fees that its clients pay for advice and portfolio management. This means that it has no financial incentive to recommend certain products to earn commissions or referral revenue, which mitigates potential conflicts of interest.
  • Awards for its track record: Aspiriant has nabbed high marks on many coveted rankings of top investment advisors. For example, it has appeared on Barron’s top RIAs list for more than 10 years, ranking 13 out of 50 firms in 2019. Aspiriant has also made the list of the top 300 RIAs from the Financial Times since the list launched six years ago.
  • Employees hold ownership stake: Aspiriant is independently owned by holding companies, which 63 of the firm’s current employees own shares in. Aspiriant believes that this helps provide continuity for clients and a clear road map for ownership succession.
  • Access to alternative investments: Aspiriant provides some clients access to private equity and real estate funds without charging an additional fee. This allows clients to further diversify their portfolio and gain exposure to investments that may not move in lockstep with the stock market.

Aspiriant’s downsides

  • Caters primarily to the wealthy: Given the typically $14,000 minimum annual fee, many investors just starting out or who don’t have seven-figure portfolios may feel Aspiriant’s services are out of reach. Most clients who work with Aspiriant have a portfolio value of at least $1.5 million. That’s not to say Aspiriant won’t work with more modest incomes, though. About 25% of its individual clients are not high net worth individuals, who are defined by the SEC as having at least $750,000 under management or a total net worth of more than $1.5 million.
  • No published fee schedule: Unlike many other registered investment advisors, Aspiriant’s does not publish a tiered fee schedule. The firm states that clients’ fees will fall in the range of 0.2% to 1%, but you can’t easily see ahead of meeting with an advisor at the firm how much you should expect to pay or how much you need to invest to nab the lowest fee rate.
  • Additional charges for ongoing financial planning: Some registered investment advisors include financial planning and other services beyond investing in their standard asset-based fee. Aspiriant charges separately for these recurring wealth planning services, either by the hour or per project. If you decide to work with Aspiriant, make sure to ask your advisor what comes as part of their wealth planning services.
  • Private funds lock up your money: Though the private equity and real estate funds offered by Aspiriant are unique investing opportunities, they may have limited liquidity for 10 to 15 years. Additionally, the strategies that these funds pursue “are not completely transparent to investors,” Aspiriant notes in its Form ADV.

Aspiriant disciplinary disclosures

All registered investment advisors are required to disclose in their Form ADV, paperwork that they file with the SEC, any legal, regulatory or criminal action that is material to a client’s evaluation of the advisory business or of the integrity of the management personnel. Aspiriant has had no such events over the last 10 years, meaning it has a clean disciplinary disclosure record.

Aspiriant onboarding process

To arrange an initial conversation with an Aspiriant, reach out to the firm’s director of marketing, Cammie Doder, by phone at 415-371-788, or by filling out the form on the Start a Dialogue page of Aspiriant’s website. If you live near one of Aspiriant’s 11 offices, you can meet an advisor in person. If not, plan on a phone call with an advisor at Aspiriant.

For ongoing communications with clients, Aspiriant advisors typically meet with their clients at least annually, though meetings may be as frequent as every quarter. The firm also communicates with clients over email or on the phone throughout the year. Clients receive quarterly reports, typically electronically, although portfolios smaller than $250,000 receive only annual updates.

Additionally, clients will need a brokerage account with a third party to hold their assets, since Aspiriant is not a broker-dealer and does not take physical custody of your assets. Aspiriant recommends that clients use Charles Schwab, Fidelity or TD Ameritrade, though clients are free to choose other providers. Clients will receive regular statements from these firms as well.

If an advisor has discretion to choose investments on a client’s behalf, the client will need to execute a limited power of attorney granting Aspiriant permission to execute trades.

The bottom line: Is Aspiriant right for you?

If you’re willing to pay at least $14,000 annually in fees and want a professional to handle all trading through discretionary management, Aspiriant may be worth a look. The firm may also be a good fit for high net worth individuals and family offices looking for comprehensive financial planning and wealth management, as well as investors who desire access to alternative investments like private equity or real estate funds.

While Aspiriant doesn’t have a firm minimum investment requirement, it does say that most of its clients have portfolios of at least $1.5 million, and many of its services do cater to the wealthy. Plus, the firm does not publish a clear fee schedule, so it may be hard to know before you talk to a representative how much you can expect to pay — especially if you also want financial planning services, which the firm charges extra for on top of investment management.

Before you make a decision on whether Aspiriant is right for you, make sure to do your research, compare your options and, perhaps most importantly, think carefully about your own financial situation.

Advertiser Disclosure: The products that appear on this site may be from companies from which MagnifyMoney receives compensation. This compensation may impact how and where products appear on this site (including, for example, the order in which they appear). MagnifyMoney does not include all financial institutions or all products offered available in the marketplace.

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Amanda Gengler |

Amanda Gengler is a writer at MagnifyMoney. You can email Amanda here