Mercer Advisors charges fees that typically range from 0.4% to 1.4% annually, with the exact percentage depending on the total value of the investments they manage for a client.
Understanding Mercer Advisors' Investment Management Fees
Mercer Advisors employs an asset-based fee structure for their wealth management and financial advisory services. This means their compensation is calculated as a percentage of the total assets they manage on your behalf, rather than an hourly rate or flat fee. This model aims to align the advisor's incentives with the growth and performance of your investment portfolio.
The specific annual fee percentage a client pays falls within their stated range of 0.4% to 1.4%. The exact percentage is primarily influenced by the value of the investments held within the client's account.
Key Aspects of Mercer Advisors' Fee Model
- Percentage of Assets Under Management (AUM): The fee is directly proportional to the total market value of the assets Mercer Advisors manages for you.
- Tiered or Scaled Structure: While the overall range is 0.4% to 1.4%, it's a common industry practice that larger investment portfolios generally qualify for a lower percentage fee within this range. This means clients with higher asset values may pay a percentage closer to the 0.4% end of the spectrum.
- Comprehensive Services: This asset-based fee typically covers a broad range of services, including:
- Investment Management: Professional oversight of your portfolio, including asset allocation, security selection, rebalancing, and performance monitoring.
- Financial Planning: Holistic advice on various financial aspects such as retirement planning, tax strategies, estate planning, education savings, and more.
- Ongoing Support: Regular consultations, performance reports, and direct access to your dedicated financial advisor.
- Billing Frequency: While the fee is expressed as an annual percentage, it is usually calculated and deducted periodically, often quarterly, based on the account's value during that period.
How Your Specific Fee is Determined
To determine your precise fee, Mercer Advisors will consider the total value of the assets you bring under their management. They then apply their fee schedule to arrive at the specific percentage within their published range. This ensures that the fee is reflective of the complexity and size of your financial needs.
For example, a client with a multi-million dollar portfolio might pay a lower percentage fee compared to a client with a smaller, but still substantial, account. It is always recommended to discuss the exact fee schedule directly with Mercer Advisors to understand the specific charges applicable to your investment level.
