The Fee Model
AUM fees are a structural conflict of interest dressed up as a service model.
When your advisor's income grows as your account grows — regardless of your outcomes — the incentives are misaligned. Here's why flat fees are the only model that makes sense for hockey players.
The Problem
The compressed earning window makes AUM fees even more destructive.
Most people have 40 years to earn, save, and invest. You have 10 to 15. That compression means every dollar matters more. Every fee matters more. Every year of compound growth you lose to advisory fees is a year you can't get back.
An AUM advisor charges you more as your portfolio grows — even though the work doesn't change. Your jock tax return is the same complexity at $500K as it is at $5M. Your estate plan doesn't get 10x harder when your net worth hits 10x. But an AUM advisor charges you 10x more.
The Math
What AUM fees actually cost at different career earnings levels.
$2M career earnings
$800K saved1% AUM Fee
~$8,000/year in AUM fees
TSPW Flat Fee
~$15,000/year flat fee
At this level, our fee is higher — but you're getting comprehensive planning most AUM advisors won't provide for an $800K account.
$10M career earnings
$4M saved1% AUM Fee
~$40,000/year in AUM fees
TSPW Flat Fee
~$35,000/year flat fee
The crossover point. Same work, same services — but the AUM advisor charges more because your portfolio grew. We don't.
$30M career earnings
$12M saved1% AUM Fee
~$120,000/year in AUM fees
TSPW Flat Fee
Starting at $75,000 (still dramatically less)
At this level, the AUM model charges $120K — the flat-fee approach is structurally different.
* Assumes 40% savings rate and 1% AUM fee. Actual fees vary by advisor. These examples are for illustrative purposes only and do not represent guaranteed savings. Consult a qualified financial advisor for advice specific to your situation.
The Incentive
Flat fees align interests. AUM fees don't.
An AUM advisor has a financial incentive to keep your money invested with them — even when paying down a mortgage, funding a business, or buying real estate might be better for you. Every dollar that leaves the portfolio reduces their income.
A flat-fee advisor has no such conflict. We get paid the same whether your portfolio is $500K or $5M. Our only incentive is to give you advice that actually serves your life — not advice that serves our revenue.
Your agent has a role. Your trainer has a role. Your advisor should have one too — not a piece of everything you own. Every specialist on your team gets paid for the work, not a percentage of your success. Your financial advisor should work the same way.
Top shelf standards on the ice. Apply them to your money.
Book your Opening Faceoff call. We'll show you exactly what you'd pay and how much you'd save versus AUM.
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