'Advice-Only' is the sub-set of 'Fee-Only Financial Planning' that is in the best interest of the client

  • 'Fee-Only Financial Planner & Investment Adviser' is the generic term used in India. But the US term 'Advice-Only Financial Planner & Investment Adviser' provides a more precise description¬†
  • 'Advice-Only' means that the fees are primarily based on the time that the adviser puts in i.e. this is similar to how a doctor or a lawyer charges their clients
  • An Advice-Only Financial Planner's fees are not primarily based on the client's net worth nor assets under management (fees could be slightly higher for client's with a higher net worth, if the adviser is putting in proportionately more time for such clients)
  • 'Advice-Only' is the sub-set of 'Fee-Only Financial Planning' that is in the best interest of the client
  • Because 'Advice-Only' is very new in India, for simplicity, many 'Advice-Only' SEBI RIAs (including myself) currently charge a fixed fee¬†
  • This is a more detailed explanation (by someone else) in the US context:

Next section: