Charging a 1% AUM fee on low-yielding bonds provides clients with very little after-tax, after-advisory fee returns—while still being on the hook for interest rate losses in the future as interest rates rise.

If RIAs are not implementing better after-tax, after-advisory fee bond portfolio solutions for these clients in exchange for the high fee relative to the low-yielding assets, these clients will eventually take their assets away to another advisor that does.

In this video we show financial advisors how to implement better after-tax, after-advisory fee solutions in order to attract and retain HNW clients.

Key topics covered:

  • Importance of Asset Location
  • Why HNW clients need to focus on deferring bond gains until they are in a lower tax bracket in retirement
  • Why is it important to reduce taxable gains on bond portfolios by charging advisory fee on a pre-tax basis?
  • How can no-commission annuities provide access to higher yielding long-term bonds without interest rate risk
  • How can guaranteed lifetime income strategies provide higher yields for HNW clients?
  • How can uncorrelated assets like life settlements provide for both higher returns and greater portfolio diversification than low-yielding bonds?
  • How do I use private placement life insurance to create my own alternative investment strategies for my clients and make their returns tax-free?