AdvisorNet Financial provides wealth management services through its associated network of independent advisors and their firms. The Minneapolis-based firm also conducts business under the name AdvisorNet Wealth Management.
AdvisorNet Financial Background
AdvisorNet Financial can trace its roots back to 1959 when it formed as Stommen & Associate. Back then, the firm had five associates (plus founder Clair Stommen) and one staff member.
Its portfolio partners team, which provides investment research and back-office support, features certifications including accredited wealth management advisor (AWMA), chartered market technician (CMT) and chartered investment management analyst (CIMA).
AdvisorNet Financial Client Types and Minimum Account Sizes
Through its independent advisors, AdvisorNet Financial works with individuals, trusts, non-profit organizations and business entities. It generally does not require a minimum investment for asset management services.
The firm also sponsors a wrap fee program, which it extends to a small percentage of clients. Under this arrangement, clients pay one single specified fee that covers advisory services, brokerage transactions and custodial costs.
In addition, AdvisorNet Financial advisors consult sponsors of qualified retirement plans such as 401(k)s on various matters including selection and monitoring of investment options for their plan offerings.
Services Offered by AdvisorNet Financial
AdvisorNet Financial specializes in investment management services. To a limited extent, advisors may provide financial planning services when requested by individual clients.
AdvisorNet Financial Investment Philosophy
AdvisorNet Financial provides investment advice in accordance with the client’s goals and financial situation. The firm doesn’t restrict itself to specific securities. Depending on your needs and risk tolerance, your portfolio may invest in the following types of investments:
- Mutual funds
- Fixed income securities
- Collateralized mortgage obligations,
- Exchange-traded funds (ETFs)
- Independent investment managers and/or programs
- Select alternative investments
Fees Under AdvisorNet Financial
For investment management services on a non-wrap-fee basis, the firm generally charges asset-based fees that max out at 2.50% annually. The firm’s wrap-fee program includes trade execution, custody, reporting and investment management fees. This program has the same 2.50% annual fee cap.
For financial planning services, AdvisorNet Financial typically charges a fixed fee based on the complexity of the services requested. Rates typically range from $400 to $10,000, though heavily complex plans could see fees up to $100,000. Hourly fees may also be used, with rates being around $300.
AdvisorNet Financial Awards and Recognition
As mentioned earlier, AdvisorNet Financial ranked among the Financial Times 2019 "300 List" for RIAs. To qualify for consideration, firms must have at least $300 million in AUM and a strong three-year growth rate, which the publication takes to reflect client satisfaction.
What to Watch Out For
AdvisorNet has one disclosure on its record, according to its most recently filed Form ADV. This was the result of actions of one of the firm's advisory affiliates.
Most advisors here are also registered representatives of a broker-dealer and licensed insurance agents. These present potential conflicts of interest. However, the firm abides by fiduciary duty.
More About Finding the Right Financial Advisor
- AdvisorNet Financial’s services are limited when it comes to financial planning services. If you want more comprehensive advice around specific topics like retirement savings and estate planning, you may want to work with a different advisor. Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to three financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.
- Be sure to ask potential advisors about their credentials. Not all have industry certifications, so those who do have that much more training. They may also be held to higher standards. Certified financial planners (CFPs), for example, must always provide advice in the best interests of their clients.
All information was accurate as of the writing of this article.
