Life after the AUM fee model: converting to hourly

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Yes, there is life after AUM fees! In this podcast I interview Sarah Charles, an hourly financial planner who used to work under the AUM fee model. She talks about why she made the jump and what life is like now as an hourly financial planner.

For those of you who are new to my blog, my name is Sara. I am a CFA® charterholder and financial advisor marketing consultant. I have a newsletter in which I talk about financial advisor lead generation topics which is best described as “fun and irreverent.” 

Sara Grillo, CFA is a highly fun and slightly crazy marketing consultant based in NYC.
I am an irreverent and fun marketing consultant for financial advisors.

The AUM fee model has its drawbacks when it comes to financial planning

Look, let’s face it.

AUM fees are probably not the most logical way to charge when the focus on your services is financial planning.

WHAT how dare you, Sara?

Well logically it just doesn’t make sense. AUM is correlated with someone’s assets and that may or may not have anything to do with the person’s financial goals and the depths you need to go to create planning for them.

I feel like I am on the quest for the Holy Grail trying to talk to people about hourly planning.

Everybody gets an attitude problem when I talk to them about hourly planning. People give crazy responses and launch into a whole Shakespearean sonnet about how it doesn’t as well as the AUM fee model. Well, guess what. Sarah Charles is an hourly financial planner and she loves operating this way. So let’s talk about how she makes it work for her.

In this podcast you’ll learn:

  • How she charges as an hourly planner
  • What her service offering looks like
  • How she started her practice
  • The benefits of hourly planning vs. AUM fee models
  • What the challenges are if you are not charging AUM fees

Enjoy the show!

Sara’s upshot

Are you ready to go leave the AUM fee model for hourly, flat, or advice only planning?

Learn what to say to prospects on social media messenger apps without sounding like a washing machine salesperson. This e-book contains 47 financial advisor LinkedIn messages, sequences, and scripts, and they are all two sentences or less.

This is a book about financial advisor LinkedIn messages which contains scripts you can use to get new prospects.

You could also consider this LinkedIn training program which teaches financial advisors how to get new clients and leads from LinkedIn.

The Sara Grillo membership is a social media program for financial advisors - but only the cool ones.

Thanks for reading. If you are a financial advisor reading this, I hope you’ll at least join my weekly newsletter about financial advisor lead generation.

See you in the next one!

-Sara G


Grillo Investment Management, LLC does not guarantee any specific level of performance, the success of any strategy that Grillo Investment Management, LLC may use, or the success of any program. Nothing in these materials may be construed as an investment, insurance, or financial recommendation. For such a recommendation, consult with a financial advisor.

Grillo Investment Management, LLC will strive to maintain current information however it may become out of date. Grillo Investment Management, LLC is under no obligation to advise users of subsequent changes to statements or information contained herein. This information is general in nature; for specific advice applicable to your current situation please contact a consultant or advisor. Opinions stated by third parties may not be correct and do not reflect the views of Grillo Investment Management, LLC. Grillo Investment Management, LLC may not be held accountable for any statements made by third parties.

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