What does Fee-Only Mean?
“Fee-Only” means we do not, under any circumstances, accept commissions for selling products. This eliminates conflicts of interest and allows us to select the best investments for you without promoting any products. People working on a commissioned basis are agents for a financial institution, and their allegiance is to that institution, not the client. Do not be confused by misleading marketing terms such as “fee-based,” “fee-offset,” or “fee and commission.
This term refers to the method of compensation for the financial planner. “Fee-Only” planners are compensated solely by fees paid by their clients and do not accept commissions or compensation from any other source. The National Association of Personal Financial Advisors (NAPFA) is the largest organization of “Fee-Only” planners. “Fee-Only” planners believe there is a significant “conflict of interest” if an advisor stands to gain financially from the purchase of any product he or she recommends to the client.
“Fee-only” planners are compensated solely through fees paid by their clients and do not accept commissions or compensation from any other source. Cambridge fee-only planners do not gain financially when a client purchases a recommended product. We prefer to remain fee-only because we believe that planners who are not fee only face a significant conflict of interest. “Fee-only” is a licensed trademark of NAPFA – the National Association of Personal Financial Advisors.
