The Motley Fool Discussion Boards

Previous Page

Investing/Strategies / Retirement Investing


Subject:  Re: Brokers Fight For Right to Screw Customers Date:  6/14/2014  7:03 PM
Author:  intercst Number:  75213 of 88785

pauleckler analyzes,

But I suspect the steady money on Wall Street comes from those who arrange to collect a few pennies at a time from everything owned by every client. They think those charges are modest, not greedy, and they hope they will go unnoticed.


Wall Street's business model is based on extracting 2% per year in fees, commissions, and costs from the average client -- each and every year.

Over a 60-year investing horizon (i.e., 30 years saving for retirement, 30 years of spending in retirement) you'd have to save 60% more money for retirement to make up for the amount of wealth you lost to excess fees.

Copyright 1996-2018 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us