Advisory firms that charge asset-based fees often offer high-end services like bill pay, estate planning, tax planning, and accounting—but they privately hope clients don’t use them very much. So says Matt Fleissig, the CEO and co-founder of Englewood, N.J.-based multifamily office firm Pathstone. The prevailing business model, he says, is: “Let me charge you 1%, and pretty please don’t ask me to do these other services, because you’re going to erode my margin.”
Pathstone’s antidote, an unbundled fee model in which clients…
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