Do it now, and you can save hundreds of thousands of dollars… even millions of dollars… over your lifetime as an investor.
How much you save depends on the size of your nest egg.
But all you need to make this tweak is a phone call… or an internet connection and a few clicks of your mouse.
There’s no downside… and plenty of upside. It’s the definition of a no-brainer, in other words.
Are you still skeptical about our claims about colleague Jason Bodner’s “unbeatable” stock-picking system?
You’ve probably seen by now that, tonight at 8 p.m. ET, we’re kicking off one of the most extraordinary events in the history of Legacy Research.
Jason is going to show you on camera – using a panel of experts – how he built an “unbeatable” stock-picking system.
He was one of the few guys on Wall Street authorized to make multibillion-dollar trades.
After quitting his job at financial services firm Cantor Fitzgerald, Jason used his two decades of Wall Street experience to build an algorithmic trading system.
It blends the strategies of elite Wall Street traders with the work of Nobel Prize-winning mathematicians. It even uses artificial intelligence (AI).
And it has one aim. It detects when billions of dollars in institutional money is headed into certain stocks. This allows Jason and his readers to ride them higher as the Wall Street money flows in.
But he’s aware that folks are skeptical about his strategy.
That’s why he got a team of Ivy League researchers and quantitative analysts from Cornell and Columbia to study it over three decades (including 22 years of backtesting).
It confirmed that Jason’s system pinpointed the top-performing stock on the S&P 500 almost every year for the past three decades.
The team also confirmed that Jason’s system picked the No. 1 stock the past six years in a row.
And Jason’s system beat the returns of superinvestors Warren Buffett, Carl Icahn… and the world’s most successful hedge fund manager, Ray Dalio… by more than 500-to-1.
I’ve been writing about investing for more than a dozen years. I know these results sound incredible… almost impossible.
I’d expect nothing less from you as a Legacy Research reader.
That’s why tonight, at 8 p.m. ET, Jason will be kicking off a special broadcast from New York City.
Jason is going to pull back the curtain on his system. He’s also going to prove to you – with a panel of top-caliber investment experts – that his system is the real deal.
Jason says his system can make you more money, with more certainty, than almost any other investment you may have tried in your life. And he has the proof to back it up.
So far, more than 35,000 of your fellow readers have signed up to watch it. I’ll be tuning in tonight. I hope you will, too.
It’s got to do with what Legacy Research cofounder Bill Bonner calls “silent wealth-killers” – investment fees.
You pay fees as an investor when you talk to an advisor… when you buy or sell a stock (brokerage commissions)… and when you buy a mutual fund or exchange-traded fund (ETF).
Cumulatively, these fees can destroy your ability to put away enough to retire comfortably.
Yet a lot of folks’ eyes glaze over when fees come up. They seem boring… even trivial. But that’s a huge mistake. Because even “low” fees will sap your portfolio over time.
Here’s Bill on the fund industry…
In the short run, a fund can be an extremely profitable investment. In the long run, it is more like a “compensation system” for fund managers.
It’s not just your gains that compound. Your costs do, too. Take a fixed amount of capital. Allow a fund manager to take out 2% a year. Over five years, he has taken out a little less than 10%. But over 50 years… he has taken out most of it!
Let’s say you have $100,000 invested.
If you earn 6% a year for the next 25 years… and you have no costs or fees… you’ll end up with about $430,000.
If you run the same scenario… but now add in 2% a year in investment fees… after 25 years you’ll have about $260,000.
In other words, that small-seeming 2% annual fee takes away almost 40% of your final account value.
That 2% annual fee on your initial stake of $100,000 is “just” $2,000.
But as your account grows in value, so does the dollar amount you fork over in fees.
This allows a seemingly small percentage fee to wipe out almost half the value of your stock portfolio. That’s insane. Especially if you’re counting on those investments to support you through your retirement.
Last week, the online broker announced that its customers will no longer pay commission fees. As CNBC reported…
Interactive Brokers said its new product, called IBKR Lite, will “provide commission-free, unlimited trades on US exchange-listed stocks and exchange-traded funds,” the company said in a release.
IBKR Lite will have zero commissions on U.S. stocks and ETFs, no account minimums, no inactivity fees, [and] free market data, in addition to other features, the company said.
This has thrown down the gauntlet to the competition.
Charles Schwab, the second-largest U.S. brokerage firm, followed suit yesterday. It announced it is eradicating commission fees for stock, ETF, and options trades made on U.S. and Canadian exchanges.
And TD Ameritrade made a similar announcement late yesterday. It said it would also drop commission fees on stock, ETF, and options trades starting tomorrow.
The other big brokerages will follow… or they can kiss most of their market share goodbye. Expect imminent announcements from Fidelity Investments, E*TRADE, TradeStation, and Merrill Edge.
Now, if you’re wondering how these firms can turn a profit without charging you commission fees, the short answer is: It’s not all as it seems.
We’ll be taking a close look at that in tomorrow’s dispatch.
If you don’t take these firms up on their zero-commission offers, you are choosing to throw away your best chance at a comfortable retirement.
Remember, over 25 years, a 2% fee can wipe out nearly half your nest egg. And 2% isn’t even the top of the range for fees.
Advisory plus fund management fees can easily top 3% a year. At that rate, you’re going to sacrifice $220,000 over 25 years on an initial stake of $100,000.
So if you care about your retirement… or if it maddens you to throw away your hard-earned cash for nothing… it’s time to switch to a no-fee broker.
To recap, right now, the companies that have announced no-fee accounts are Interactive Brokers, Charles Schwab, and TD Ameritrade. But more are almost certain to follow.
Either pick up the phone and call them about switching your account. Or contact them online.
If you have even a modest sum in your brokerage account, it could be the most valuable 30 minutes you ever spend.
October 2, 2019