Retainer Model

Learn more about the compensation model that industry observers believe will become the predominant type of professional engagement. Get a copy of The Financial Planners’ Retainer: A Reflection of Real Value written by ACP members Ken Robinson and Jacob Kuebler.

Retainer Model Webinar Recording

To add to this discussion, we hosted a webinar, The Financial Planners’ Retainer: A Compensation Model That Works. This was an informal round table discussion on how the retainer model enables advisors to charge a fee that better reflects the value of all the services financial planning professionals provide and featured a ACP members Jake Kuebler, Ken Robinson, and Charles "Chip" Simon. 

Click here to view the recording.

The Reviews are in...

Michael Kitces, partner at Pinnacle Advisory Group, Inc., publisher of Nerd’s Eye View, co-founder of XY Planning Network

“The progression of financial advisors from sales to actual advice, with both quantitative and qualitative value, will inevitably lead to a shift in business models as well. Kuebler and Robinson do an excellent job exploring some of these dynamics, and how the retainer model can both better align the advisor and client around the value of advice, and expand the marketplace for advice beyond just those that happen to be served by the AUM model today.”

Bob Veres, editor of Inside Information, and author of the upcoming book The New Profession

"The Financial Planners' Retainer does a great job of outlining the compensation issues facing financial planners today and in the future, and makes the case that planners can better align their value with their compensation by shifting from AUM to retainers. I also thought the authors did a good job discussing the mismatch in compensation for AUM-compensated advisors whenever markets go down—and I have heard rumors that they do from time to time."

Bert WhiteheadCambridge Connection, Inc., Founder of Alliance of Comprehensive Planners

"The use of retainers to keep an advisor on call is the most effective and ethical way to meet the fiduciary standard of our profession and provide continuing comprehensive financial advice to clients. I cannot claim to be a fiduciary if my compensation is contingent on the outcome of any transaction for which a client is paying me for unbiased advice."

Carolyn McClanahan, M.D., CFP®
Life Planning Partners, Inc.

"This model serves the 'millionaire next door' type very well. Their planning needs are not always complex, and they are overcharged by the AUM providers for investment management. They can typically get better service at a lower cost from retainer-based advisors."