UBS raising client fees, factoring in liabilities

Next year, some clients will see higher annual fees unless they have $2 million in assets and liabilities across accounts, or alter their accounts to gain fee waivers.
NOV 16, 2017

UBS Wealth Management Americas is changing the fees it charges clients next year and will take into account both liabilities – explicitly mortgages and securities based loans – and assets. Currently, UBS charges an annual account fee, in the range of $150 to $500, on clients with $1 million or less of total assets in all accounts, including Resource Management Accounts, or RMAs. Starting next December, the fee on RMAs and other accounts will increase and range from $175 to $500, according to a company source. Clients with less than $2 million in assets and liabilities will be charged the fee, the source said, adding that there were several ways for clients to have a fee waiver. They include: a client adding $250,000 of net new money to an account; opening a UBS Visa credit card account known as the "Infinite" card that charges a $495 annual fee; and using a UBS account aggregating tool that shows other brokerage accounts and liabilities that will count towards the $2 million minimum. The goal is for advisers to have discussions with clients about their entire financial picture, the source said. Likewise, annual fees on IRA accounts are increasing from $75 to $100, said the source, with ways for clients to have the fee waived. Industry website AdvisorHub first published a story about changes in customer account fees Thursday morning.

Latest News

Trump account confusion is widespread among parents — and advisors have an opening
Trump account confusion is widespread among parents — and advisors have an opening

Only 7% of U.S. parents are "very confident" they understand how the Trump accounts work, says Omni Calculator

Receiver sues to recover alleged Traders Domain Ponzi profits
Receiver sues to recover alleged Traders Domain Ponzi profits

One transfer alone came to $5.6m, and the receiver says none of it was real profit.

SEC accuses S2A Modular founders of alleged $65 million investor fraud
SEC accuses S2A Modular founders of alleged $65 million investor fraud

Investors chose which factory to fund - the SEC says the money went elsewhere.

Ameriprise gets narrow relief from FINRA panel in latest recruiting dispute with LPL
Ameriprise gets narrow relief from FINRA panel in latest recruiting dispute with LPL

Ameriprise and LPL Financial for the past few years have engaged in a financial advice trade war.

Am I stuck? Rethinking career mobility at every stage
Am I stuck? Rethinking career mobility at every stage

Why advisors at every stage may have more leverage, flexibility, and strategic options than they realize.

SPONSORED Direct indexing webinar targets tax-loss harvesting amid market swings

Northern Trust’s Ken Lassner shows advisors how to convert volatility into after-tax portfolio gains

SPONSORED Who builds the income when the pension disappears?

Dan Biagini of American Equity says the steady decline of pensions, longer lifespans and a reset in interest rates are rewriting how advisors build retirement income