Investors Prefer Commissions to Fees, Cerulli Says
- Created: Wednesday, 08 June 2011 07:06
Cerulli polled 7,800 relatively affluent households and found that 47% would rather pay for advice on a commission-based basis. Only 27% preferred to pay via fees -- and perhaps not surprisingly, 33% had no idea how they were paying.
As trusty A4A readers have pointed out, this demonstrates confusion among investors about just how their advisors get paid and where their money goes.
[NOTE: an earlier version of this article erroneously reversed the statistics to indicate "a triumph for the fee-only movement." Obviously that would be a stretch.]