Advanced Capital & Investments · Back to the core
Independent research: the same picks, a different price tag
Funds, wraps and managed accounts charge a percentage of your money every year. Independent research firms publish their stock and bond recommendations for a flat yearly price. The recommendations can be the same kind; the cost works very differently.
Education only. We explain how these products work and what they cost. We do not sell or recommend securities.
From a fee on assets to a fee for research
An asset-based fee grows as your account grows. You pay more each year for the same service, and the fee comes out whether the picks did well or not. A research subscription is a fixed dollar amount. As the account grows, the cost shrinks as a share of it, and more of the return stays with you. The focus moves from what you pay to how the recommendations perform.
Who you pay, and for what
$500,000 over the last 20 years
Every line holds the same S&P 500 total return, 2004 through 2023, so the risk is identical. The only difference is how the advice is paid for.
| $500,000, 2004–2023 | Yearly cost | Value at 20 years | Paid in fees | Behind the index |
|---|---|---|---|---|
| S&P 500 total return, no cost | — | $3,181,405 | — | — |
| Research service, same holdings | $3,000 flat | $2,976,914 | $60,000 | $204,491 |
| Sales advisor or wrap account | 1.00% | $2,602,093 | $234,348 | $579,312 |
| Funds at 0.65% inside a 1% wrap | 1.65% | $2,280,900 | $356,235 | $900,505 |
Example only. Historical S&P 500 total returns, 2004–2023, applied to every line; fees taken at the end of each year. Trading costs and taxes not included. Not based on any actual account, adviser or service. Past performance does not predict future results.
Lower drag, and room to beat the index
With less cost to overcome, recommendations only need to match the market to come out ahead of a fee-based account, and any outperformance is kept. Some research firms publish long records for their model portfolios. One firm’s published materials, for example, show two stock models ahead of the S&P 500 Equal Weight index over 10 years through April 2025: 11.2% and 11.3% a year against 9.5%.
These are model portfolio returns, as the firm notes: they do not include taxes, trading costs or fees, or the timing of an investor’s own trades, and some periods lost money. Models are not actual accounts, so they are not GIPS composites. Past performance does not predict future results.
You can see everything, and you can step aside
Independent research services
The kinds of firms that publish stock and bond research and recommendations for a subscription. We do not name or endorse any of them.
| Type of service | What it covers | Cost | Updates |
|---|---|---|---|
| Independent equity research firm | Stock, ETF and fund research with a forensic accounting team; many stock and ETF model portfolios with records of 10 years or more | About $250 to $3,000 a year | Ongoing; model changes as made |
| Weekly stock survey | Full-page reports on actively traded stocks, timeliness and safety ranks, several model portfolios | About $250 to $3,000 a year | Weekly |
| Stock rating service | Quantitative buy-to-sell ratings across thousands of stocks, with research reports | About $250 to $3,000 a year | Daily |
| Corporate bond research service | Individual corporate bond picks, investment grade and high yield, with buy, hold and sell updates | About $250 to $3,000 a year | Quarterly, plus new picks during the year |
Typical range for individual subscriptions, from publishers’ sites and published reviews, October 2026; some advisor platforms price on request. Many brokerage accounts also include independent research at no extra charge.
Questions to ask
- How long is the model’s record, and against which benchmark?
- Are the returns before or after trading costs, and are they a model or real accounts?
- How often do recommendations change, and how will I be told?
- Do they say when to sell, not only when to buy?
- Does the firm earn anything from the securities it recommends?
- Do I have the time to follow it, or will I pay someone to?
Advanced Capital & Investments pages are for education only. Nothing here is an offer to sell, a solicitation of an offer to buy, or a recommendation of any security or investment strategy, and we do not sell securities through this site. Examples are hypothetical, do not represent any actual product and do not reflect taxes unless stated. Investing involves risk, including loss of principal. Before investing in any fund, read its prospectus and talk with a properly registered professional. No research service is named or endorsed; Advanced Capital & Investments receives no compensation from any of them.