I was fortunate to recently sell my company for high 6 figures in cash. Several of my peers are trying to convince me to put it into a discretionary managed fund through a private banking service but I've shopped around and they want around 1% p.a. for custody and management. However I've always thought I can't beat the market and so the best long-term investment is a All-World passive index tracker with very low fees invested through an online brokerage.
I don't want to get involved in deals and private equity etc, I just want to invest the money and have it available for me in 20 years when I retire. Since the fees have such a significant impact on the performance long-term I'm wondering why would I go the private banking route, what am I missing?
I don't want to get involved in deals and private equity etc, I just want to invest the money and have it available for me in 20 years when I retire. Since the fees have such a significant impact on the performance long-term I'm wondering why would I go the private banking route, what am I missing?