How I'm paid.
Three compensation models, explained in plain English. No hidden incentives. Compensation is walked through at our first meeting before any agreement is signed — and reflected on every relevant document going forward.
Three ways an independent advisor can be paid.
Most engagements use one of the three models below — or a combination, with each component clearly identified. I will tell you which model applies before any work begins.
Asset-based advisory fees.
For ongoing investment-management relationships at Charles Schwab, you typically pay a percentage of the assets I manage as an advisory fee, billed quarterly from the account.
- Aligns compensation with growing your portfolio
- Transparent: shown on every statement
- Subject to fiduciary standard
- No commissions on the advised assets
Commissions on certain products.
For insurance products (life, long-term care, disability, fixed and variable annuities) and some investment products, the issuing company pays a commission. You don't pay it directly; it's built into the product's pricing.
- No out-of-pocket fee to you
- I disclose the product class and approximate commission range
- Carrier selection is across multiple insurers
- Held to FINRA's best-interest standard
A combination of the two.
Many households end up in a combined arrangement: advisory fees on the investment portion of the plan, commission-based products for the insurance portion. Each component is identified and explained separately.
- Lets each tool earn its keep on its own terms
- Components are itemized in writing
- You see what each piece costs
- You can opt out of any one piece without affecting the others
Specific advisory-fee percentages, insurance commission ranges, and any third-party costs are explained at the first substantive meeting and documented in the engagement paperwork before any agreement is signed. Pricing depends on engagement scope, account size, and complexity. There are no surprise fees.
Fiduciary and best-interest, plainly described.
The standard a financial professional is held to depends on which hat they're wearing for a given transaction. Both standards apply to me in different contexts. Here's what they mean.
Fiduciary standard (advisory)
For advisory services offered through a Registered Investment Adviser, I am held to the fiduciary standard — the highest standard of care under U.S. securities law.
That means I am required to act in your best interest, disclose material conflicts of interest, and recommend strategies that fit your situation rather than what generates the highest compensation.
Best-interest standard (brokerage)
For brokerage activity (commission-based products), the SEC's Regulation Best Interest applies. It is meaningful but distinct from the fiduciary standard.
Reg BI requires that recommendations be in your best interest at the time made, with material conflicts disclosed and reasonably managed. Compensation differences must be disclosed and cannot be the basis of the recommendation.
My personal approach doesn't change between the two: act with integrity, communicate clearly, and treat every client with respect. The legal standards differ; the day-to-day behavior shouldn't.
No agreement is signed at the first conversation.
The first conversation is exploratory and complimentary — anywhere from 5 to 45 minutes, your call. Nothing is decided, nothing is signed. Here is exactly what happens, in order.
- The conversation We talk about what you have, what concerns you, and what you'd like to figure out. I listen more than I talk. You ask anything you want.
- An honest read on fit By the end of the call, I'll tell you whether I think I can be useful. If not, I'll do my best to point you somewhere that's a better match.
- Compensation explained, in writing if needed Before any next step, I walk through which compensation model applies to your situation — advisory fee, commission, or combination — and the approximate range. You can ask follow-up questions; I have answers.
- You decide whether to continue Most people sleep on it. There is no pressure and no follow-up sales call. If you want a second meeting, we schedule one. If not, that's a perfectly fine outcome.
- Engagement paperwork — only if we both agree to proceed Advisory agreements, brokerage agreements, or insurance applications are signed only when both of us have decided the relationship makes sense. Every document spells out compensation.
Public-record references.
Don't take my word for any of this. The records below are public, free, and updated by regulators independent of any firm.
- FINRA BrokerCheck — Public record of every registered investment professional in the U.S. Search for CRD #4213860 to view current registrations, qualifications, employment history, and any disclosure events. brokercheck.finra.org →
- SEC IAPD — Investment Adviser Public Disclosure. The SEC's official database of registered investment advisers and their representatives. adviserinfo.sec.gov →
- Texas Department of Insurance — Verifies state-issued insurance licenses. tdi.texas.gov →
- Form CRS & ADV Brochure — Required disclosure documents from the broker-dealer and Registered Investment Adviser. See the disclosures page for current document references.
Questions about how this works?
Short conversation, anywhere from 5 to 45 minutes — your call. We can cover compensation in detail then.