Fisher Investments is one of the largest independent investment advisory firms in the US, managing over $165 billion in assets. However, despite its size and influence, views on Fisher Investments’ performance and fees are mixed. While some praise its long-term results, others criticize the high fees and question if clients get enough value. This article will analyze Fisher Investments’ pros and cons to help determine if it’s a good choice for investors.
Fisher Investments’ assets under management and client base have grown steadily
Fisher Investments was founded in 1979 by Ken Fisher and is headquartered in California. It serves a global client base of high net worth individuals, pension funds, corporations and other institutions. Over the years, Fisher Investments has experienced steady growth in assets under management. Assets have increased from $3 billion in 1997 to over $165 billion in 2022. The number of client accounts has also grown significantly to well over 65,000. Fisher Investments attributes this growth to strong long-term investment performance and focus on clients.
Fisher Investments points to long-term outperformance versus benchmarks
Fisher Investments states that its investment strategy has outperformed common market benchmarks like the S&P 500 over the long run. For example, Ken Fisher claims that over the past 15 years, Fisher’s Growth Strategy has returned 10.4% annually versus 8.3% for the S&P 500. However, some third-party analysis has found more modest outperformance or mixed results depending on time period. While Fisher Investments has produced solid long-term returns for many clients, performance data varies.
Fees for Fisher Investments’ advisory services are high compared to competitors
A common complaint about Fisher Investments is its high advisory fees. Fisher’s fees range from 1.5% – 1.65% of assets under management for smaller accounts to 0.75% for larger accounts above $10 million. These fees are well above the ~1% industry average for similar investment advisory services. Fisher argues its performance justifies the higher fees. But some clients contend they can get comparable long-term returns for less with other firms.
Mixed client reviews reflect areas for improvement in customer service
Reviews of Fisher Investments by clients are mixed. While some praise its performance and customer service, others complain of mediocre results and poor communication. Common issues cited include high analyst turnover, lack of contact and responsiveness from advisers, and aggressive sales tactics. These types of complaints seem to have increased in recent years as Fisher has rapidly expanded its client base across the globe.
In summary, Fisher Investments has delivered solid long-term performance for many clients but high fees and some client service issues remain areas for improvement.