Hello fellow MMMers,
I am a 29 year old investor who has been taking a DIY approach over the past 3 years. I have made some bad investment mistakes over the years and slowly have been taking a more Boglehead approach for my portfolio. While it isn't quite where I want it to be I am getting closer and closer.
I use Personal Capital to track all of my accounts and have a holistic view of my assets. A few months ago Personal Capital reach out to me offering me a free consultation and portfolio analysis. I was aware at the time that they are likely going to try to sell me their management service. I decided to hear what they had to say anyway.
Today I had the meeting, where the advisor brought up some valid points about my portfolios shortcomings.
I am extremely overweight in Large Cap stocks in my equities portion, very underexposed to Small Caps.
I am extremely overweight in Financial, Technology, and Healthcare sectors.
Apparently this is because I own by and large Vanguard Total Stock Index, International Stock Index, and Total Bond Index.
PC uses Modern Portfolio Theory in order to do an even distribution across all sectors, as well as larger exposure to Small Caps.
I am curious to hear what Bogleheads think about this service. The cost is .89% of AUM which is significantly higher than my current .13% using Vanguard ETF's.
Could it be worth the AUM fee to enroll in their service? Once a client you have access to two advisors assigned to you, who according to them have no self serving interests in getting you to invest/buy specific financial products, and abide by the fiduciary standard. They apparently advise you on ANY financial/life decisions not just the funds they directly control. (work 401k, house purchases, estate planning, etc etc).
I am scared of my own ability to stick to a strategy and find myself tinkering with my portfolio very frequently. The idea of letting someone else worry about it is slightly appealing to me. As well as having someone there to talk me off a ledge if I decide to do something irrational with my money.
I know this is a sales pitch, I work in sales and am successful so I want some genuine feedback.