Some companies will not use wrap fees at all but will insist on per-transaction and other fee structures.
Who are wrap fees for?
Wrap fees are designed for anyone who is looking to pay one set fee for professional portfolio management, but they don't always work out in favor of everyone who chooses them. For example, if you're a heavy trader and want to be able to make a lot of transactions without paying a separate fee every time you do, wrap fees might make sense for you. They'll give you a better idea of what your monthly or annual cost will be for managing your portfolio.
If you're a very set-it-and-forget-it long-term investor, however, a wrap fee may not make the best financial sense. A portfolio full of bonds and stocks that you intend to keep for years doesn't really need a lot of management or handling, and you may spend a lot more money on professional services by using a manager with a wrap fee.
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