Fisher Investments: Happy Customers?

Fisher Investments is a fee-only investment advisory firm with a private client base of high-net-worth individuals. The company offers a hands-on, customised investment approach, with clients receiving an assigned Investment Counsellor to help them set up an account with a custodian and implement an asset allocation recommendation. However, the company has received mixed reviews, with some praising the excellent customer service and educational resources, while others criticise the high fees and poor performance.

Fisher Investments' fees

Fisher Investments is a fee-only investment adviser, meaning its fees are based on the size of the portfolio it manages for you. The company does not charge any hidden or layered fees. Its fees are competitive and often lower than many other financial professionals' fees.

The fees are structured as a tiered advisory fee based on the size of your portfolio. For WealthBuilder accounts and any accounts below the $500,000 threshold, Fisher Investments charges a 1.50% annual rate. For other clients, the fee is based on the amount of assets under management and the type of account. For example, for the first $1 million, the fee is 1.25% per year, while for assets over $5 million, the fee is 1% per year.

Some clients have complained about high fees, while others have praised the company for its transparency and simplicity in fee structure. There are also complaints about hidden costs and unexpected losses on investments.

Customer service

Fisher Investments offers a personalized wealth management strategy, with tailored plans to help each client meet their long-term investing goals. The company separates sales, client service, and portfolio management responsibilities, allowing employees to specialize in their areas of expertise. This division of labor is intended to reduce conflicts of interest and give clients undivided attention and care.

The company has a presence in several U.S. states and a few global offices, and clients are assigned an Investment Counselor who can meet with them in person or online. The Investment Counselor will help the client set up an account with a custodian (such as Schwab or Fidelity), make an asset allocation recommendation, and implement that recommendation.

Fisher Investments offers ongoing support from an investment advisor, who will manage and adjust the client's portfolio to keep them on track through market ups and downs, changes in their needs, and deviations in their portfolio's asset allocations. The company also provides in-person support at its branch locations.

Reviews of Fisher Investments' customer service are mixed. Some clients report positive experiences with their Investment Counselors, praising their proactive and quick communication, data-backed explanations, and respectful treatment of women. However, other reviews highlight negative experiences with rude and condescending representatives, a lack of transparency about costs, and difficulty in contacting the company. Some clients also expressed concerns about high turnover among advisors and a lack of continuity in their financial advice.

While Fisher Investments does not offer a brokerage platform for clients to make their own trades, the company provides educational resources and market insights to help clients make informed decisions. The website features articles, investment guides, calculators, and books on investing, as well as insights from the company's experts, including Ken Fisher, on the latest market trends.

Performance

Fisher Investments offers a personalised wealth management strategy, creating a tailored plan to help each client meet their long-term investment goals. The company's investment process starts by analysing global economic, political and sentiment drivers to forecast market conditions and develop investment themes.

Fisher Investments is one of the world's largest independent, fee-only investment advisors. They manage over $205 billion in assets and serve 100,000 clients globally. The company was founded by Ken Fisher, who is known for his ""Portfolio Strategist" column in Forbes, which ran from 1984 to 2016.

The company has a minimum requirement of $500,000 of investable assets, although they also offer WealthBuilder accounts with a $200,000 minimum, which are approved on a case-by-case basis. Their fees are based on a percentage of the total amount of assets they manage on your behalf, ranging from 1-1.5% depending on the size of your account. For the first $1 million, they charge 1.25% per year, for the next $4 million, 1.125% per year, and for assets over $5 million, 1% per year.

Reviews of Fisher Investments are mixed. Some people praise the company for its customer service and performance, with one Trustpilot review stating that they have received "stellar service, quarterly client dinners, and updates" and that the company has returned between +0.9% to 1.2% above their competitors for decades. Another Trustpilot review states that in less than 7 years, their growth has averaged double digits each year.

However, other reviews criticise the company for poor performance and high fees. One Trustpilot review states that they lost 28% of their investment in 14 months, while another mentions that they are significantly down with Fisher Investments due to a lack of adjustments made to their portfolio. Another review criticises the company for its aggressive advertising and high fees, stating that they are "a marketing machine" that spends about $60 million per year on marketing, which is passed on to the client.

Overall, while Fisher Investments offers a personalised and tailored approach to wealth management, their high account minimums and fees may not make them the best option for everyone.

Investment approach

Fisher Investments offers portfolio management and financial planning services for wealthy investors. The company designs and manages customised investment portfolios for its clients, based on the guidance of Ken Fisher, a famous investor and author. Fisher Investments does not offer brokerage services.

The company's investment approach is based on a top-down, global investment strategy. This strategy involves analysing broad global economic, political and sentiment factors to identify opportunities across investment categories. Fisher Investments then narrows down to specific securities that it believes will perform well.

The top-down approach is preferred by Fisher Investments as it allows for a more flexible, cohesive strategy that can be adjusted according to market conditions. This method also ensures that the portfolio is not too narrowly focused, as can be the case with a bottom-up approach.

Fisher Investments' investment process can be broken down into three main steps:

• Asset allocation (70% of investment returns): This step involves understanding the investor's financial goals and needs and then applying macroeconomic analysis to adjust the asset allocation accordingly.
• Sub-asset allocation (20% of investment returns): Fisher Investments narrows down a list of possible assets based on characteristics such as country, sector and style, using a combination of historical analysis and forward-looking views.
• Security selection (10% of investment returns): Fundamental analysis is conducted to select individual securities that fit the sub-asset allocation decisions.

Overall, Fisher Investments' investment approach is designed to provide a personalised strategy for each client, taking into account their financial goals, risk appetite and market conditions.

Pros and cons

Pros:

Fisher Investments is one of the world's largest independent, fee-only investment advisors, serving 100,000-140,000 clients and managing over $197-$205 billion in assets. The company has a good reputation and is trusted by many. It offers a hands-on, customised investment approach, with a focus on long-term investing. The firm provides good customer service, including in-person branches, and has excellent educational resources and market insights. Fisher Investments also separates sales, client service and portfolio management responsibilities, reducing conflicts of interest and giving clients undivided attention.

Cons:

Fisher Investments has very high account minimums of $500,000, with fees ranging from 1-1.5% of assets under management. These fees are exceptionally high compared to other online advisors, which typically range from 0.25-0.5%. The firm also does not offer a brokerage platform, so it is not suitable for those who want to make their own investment decisions. Fisher Investments is also a marketing machine, spending $60+ million per year, which is one of the primary reasons for the high fees. The company has also received many negative reviews, with some customers reporting significant losses and poor customer service.

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