It isnt rude to acknowledge that people with more money get better service. Hey Dougthats great to hear! Sadly I have been with EJ for decades so I will not be sleeping tonight. Assuming the market returns of the nearly decades-long time that passed, my portfolio should have landed somewhere in the neighborhood $7,000 through the power of compound interest. We look at this full service as retirement planning for the long haul and money management for the entire family. Being invested is the most important thing, period. In the same account, I invested $200,000 in stocks / ETFs and paid a one time commission at the time of purchase a few years ago. This account is insured up to $2.5 million using multiple banks. Then visit the Expense tab and look under Maximum Sales Fee. This is simply not true. I actually beat the market by avoiding some of the downturn and buying low. When building your portfolio, you work with your financial advisor to make decisions on all for buys and sells, including decisions during rebalancing. Read about its products, services, fees and more with ConsumerAffairs. That is 100% false. If the tiered program fee structure seems like an awful lot of money for having someone else make investment decisions for you, the Select Account could be a preferable option. You could be better off using a robo advisor. You should interview multiple advisors and firms in order to determine if they are the right fit for you. Read or print the latest version of this document: Edward Jones Select Retirement Account schedule of fees (PDF) Grandfathered pooled retirement account fees. My EJ advisor was either calling me or me him every day while it sank. Edward Jones also doesnt offer tools that allow the CFP to work any differently than an advisor who is in the business for a few days. If you had bought the index 13 years ago in 2003, what would you have done in 2008? Same thing with your mechanic, electrician, real estate agent, etc. Ha! Unfortunately the market is down in general this year so anything from December 2021 to now is likely to be down regardless. Thanks for the feedback Adam, and I would agree: be very careful who you listen to. If you dont then shame on you for not doing your homework before doing business with them. They dont they do nothing but churn your accounts every 36 months and get commissions. If you are in a good mix of funds and stocks you will out perform those low cost vanguard funds even after the fees. After using both Web portals, the lack of info available at EJ is obvious they dont want you to get too much info. Dont get too touchy feely with them this is business, you have plenty of friends your advisor relationship needs to stay mostly professional. Go to Edward Jones and an old saying applies. John Bogle calls it the tyranny of compounding cost overcomes the miracle of compounding interest. Minimum commission is $50. Yes to those who want to put all your eggs in one basket and hope they dont crack, please do! I think Im qualified for posting this post, so give me your 2%. Customer support. And Edward Jones' compensation disclosure admits that some of its advisor incentives could lead to conflicts of interest. And not a whole lot more. First $250,000. Jordan, hate to tell you this but there is NO way EJ can beat low cost Vanguard funds with an expense ratio of less than 0.09 percent. Ive been dropped by two EJ advisors and shuffled along to someone else. More importantly, I actually had a small amount left over that I could consider investing in that nearly forgotten Roth IRA. Their advisors are crooks, out to cheat people. Great idea. Last one standing is fees. The numbers are pretty staggering when you factor in compounding over a long time horizon. My funds are divided into what I call delivery systems. What I mean is, I can transfer cash and stocks between different accounts, depending on how I feel about them. This is another OPINION and what really matters is your NET result. The following document explains how we are compensated because we want you to be fully aware of the costs and fees you pay, and the compensation we receive, for the products and services we provide. Back then I knew nothing about all their fees although I was aware of their sales commission and annual fee. Just transferred IRA from Edward Jones to Vanguard and of course Jones slapped me with a $135.00 fee. Jones advisors are fiduciaries under the new laws rolling out this week. No matter what your returns are you are losing 2% every year plus any expenses if you are invested in mutual funds and efts. Historically, Edward Jones advisors were distinct because they were accessible even in small towns and communities across the U.S. and Canada. Edward Jones is not perfect, nor is it perfect for every investor. Stocks, bonds, certificates of deposit (CDs), mutual funds, exchange-traded funds (ETFs) and annuities. Lastly, the fees are not higher than average, actually they are cheaper! For equities and fixed-income securities, Edward Jones uses a cost basis method of original lot cost. Estimates put transaction costs at about the same level of expense ratios, thus doubling your annual fund fees. Do your own research. Exactly. I think you can get by with 3-5 index funds and not pay a financial adviser. 1. There is no minimum investment for a Select Account; however, some investments in Select Accounts require minimum purchase amounts.*. U would of made more just buying the index 13 years ago a lot more. Not to you. Comparing any full service brokerage to Vanguard on fees alone, Vanguards self service model will win all the time. An index fund can also return 1% in a single day and they often do. Its not necessarily their job to educate me, but I got the sense that commission structures were the basis for my investment choices. Find your financial advisor today . Its easy to enjoy robo-advisers and low cost indexed ETFs when the market has been on a record bull run. Thank you, Melissa, for your breath of fresh air. Thank you for mentioning that option, which I neglected. I mean, how does Edward Jones survive???? The thing that the writer is probably most incorrect about is the fees. Bitcoin vs. Bitcoin Cash: Which Is the Better Investment Today? Im guessing that if you dont know, then maybe you havent had the conversation with the FA, which sucks. There is a balance between how much we pay for how much we get. Get a grip! An advantage of this type of account over a Select Account is that you have access to the same variety of markets, but your wealth management benefits from expert input. We may be compensated by the firms we review (see Terms Of Use). Take the time and find someone who had your interest tied to their paycheck. Edward Jones Corporate will tell you how to handle your clients money. You would also pay a percentage when you buy a stock in this type of account. These big company processes never favor your returns, they favor their returns. $50K-99K 4.5% The fees for a full-service broker like Edward Jones tend to be higher. That this guy had the audacity to send me a card of his kids in the WDW stockade from a vacation they took each year just galled me! Thanks for stopping by, Lynne. Well touch on that later. However, they have their concierge service for account under $500K, select service for accounts $500K-$1MM, and flagship service for $1MM+. If you didnt give the okay, you can report them. Edward Jones's fees. But I know people who panic sold during covid crash at older ages that had control of their stuff directly. The market is down 7% this year so far and you are mentioning getting out. They did a white paper showing just how much value a financial advisor brings: https://www.vanguard.com/pdf/ISGQVAA.pdf. I will have to agree with this article and the following comments on the high cost of EJ. They serve people in their niche very well. I really wish I had decided to do my investing on my own several years ago. Edward Jones certainly isnt for everyone! There is a good book out there called The Intelligent Investor, that talks about low cost funds, dollar cost averaging, diversification, and etc. Its counter factual to assume that you wouldnt have received a higher return, that more than pays for the fees, if you used an advisor rather than choosing your own investments. They can generate in 2 seconds and send to you. Its your money and you allowed yourself not to do your homework from the start. Edward Jones' U.S. financial advisors may only conduct business with residents of the states for which they are properly registered. Just stop your nonsense. Edward Jones is a full-service investment firm that provides advisory and money management services. All rights reserved. I didnt want to pay him for the exact same service and options I could get completely free at fidelity (or other places). While you have access to high-quality advice, the high fees will be charged as long as your account is open. Account Opening Fee: $0 47. The fees and expenses that an investor pays better be worth what the returns are given the context of the market etc etc etc.Edward Jones is a good firm and has some of the best long term investors in the market today. At Edward Jones the planning is what you pay for. Absolutely correct that any firm can have scoundrels. I think the problem is that I am a single woman, somewhat older, with no one to help out. !, How have they done versus the market over the past 13 years? Over time, the number is 100%. Investor Junkie strives to keep its information accurate and up to date. Edward Jones Guided Portfolios. The fees simply don't justify the benefits unless you're in it for the very long term. stocks, mutual funds, bonds, life insurance, annuities, etc etc etc etc, you always pay the piperOver the last 20 years the craze has been no load index funds all the way..now the tide is turning towards active management funds.Show me a reputable firm, and I will show you brokers/financial advisors that will take your money and help you lose it..Be it Edward Jones, Raymond James, Merril Lynch Wells Fargo etc etc.. Be aware that this is Edward Jones policy they can move you around from advisor to advisor without your permission or consent. For some, a 6% average annual rate of return is sufficient over the long term for others, 8% may be required (unless working longer or spending less is an option they are willing to budge on). When reviewing fund options, youll see many expense ratios in the 0.50% to 0.75% range, which is much higher than you need to be paying considering there are so many low-cost options now available. It scales down from there, reaching a rate of 0.50% for assets valued over $10m. My Managed Large cap fund .2020 77.4% .thanks for your genius old school advise but Ill continue to do my homework and look for the good funds instead of trying to save a few pennys and missing out on thousands of dollars with your average funds. After leaving EJ and going to Vanguard, I will tell you the difference is huge. (they will just quote Edward Jones research, which you could do on your own). I have tried several. I would recommend opening a Vanguard account and put together your own portfolio of low-fee mutual funds that fits your risk profile. Do you agree? VTSMX is the same thing as VTSAX, but for investors with fewer than $10,000. Let's take a look at the brokerage account options from Edward Jones. I interviewed with them and RAN out the door when I heard what they do. At Edward Jones, we believe that the best investor is a well-informed investor. However, I cant really recommend that most people do it on their own, because its stressful, time-consuming, and takes nerves of steel. Though if you follow investor wisdom from the greats throughout our time you will come to know that fees are not the first thing to look at. So yes I will gladly pay 1% to get an extra 6% in returns lol. Very few managed mutual funds outperform total stock market index funds over 10+ years (>3-5%). You must have added to your account of over 1 to 1.5 million of your own money during that period of time. I wish the EJ model worked for me, because I really dont know how to get from here to there. Go to morningstar.com and get a Quote for your mutual funds. Take the lose n wait until the next bull market 10 year from now. My wife and I use Edwards Jones as a CFP (Certified Financial Planner). In any and every financial firm you have good people and not so good and its your responsibility to find out all information Bouton their fees and not to depend upon that person to share. All Edward Jones fees are subject to change without notification. It was at the time the market was still going up. This is contradictory. If people expect to get something for free, I hope they get what they want. DO NOT put your hard earned money with Edward Jones or other similar investment firms that charge well over 1% annually. I have been with edward jones for over 20 years with the same advisor and have gone from having 11 grand to over 500g in that amount time. Jones doesnt have account minimums to have a physical advisor, and the local branches mean youre not calling a 1-800 #. That said, once you know about compound interest, youre acutely aware of how much that 1% can hurt you in the long run. So as an Edward Jones advisor do you give clients to new advisors as my wifes does? Now theyre going to take $7500!! Passive funds like Vanguard consistently outperform these fee laden mutual funds that the Legion of EJ advisors are pushed to sell. 2. THE FEES ARE WAY TO EXPENSIVE I was done the same way. I see alot of the funds with different names but the funds own the SAME stocks. Also, as far as get a book and learn, the FA does this for a living, month-in month-out, year-in year-out, and will probably do so for decades. Lower Exp ratio and lowest cost of ownership over time compared to B and C shares. One post you said I am a 20 year plus veteran broker then you said I am a 20+ year Edward Jones advisor I dont go around saying Im a CFP when Im not so if you are a fiduciary over your clients assets then you can call yourself an advisor. Then shame on you for mentioning that option, which I neglected matters is your NET result but investors. 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