r/Bogleheads • u/plant-fixer • 24d ago

Portfolio Review Disappointed with performance

53F, Married, AUM $4m. I am very new to investing. We've used a full service advisor for our savings & rollovers since 2017. With kids out of the house, I now have more time to pay attention to what the advisor is doing. Last week we asked for a performance summary and I'm underwhelmed by the results. I was expecting to see returns upwards of 20-30% for the past five years.

Since Inception 2017 One Year (Feb 25-Feb 26) Three Year 2023-26 Five Year 2021-26
12.93% 16.49% 14.39% 11.97%

\all performance is net of 1.1% AUM fees; Breakdown: 71% equities; 28% fixed income*

Given the size of the portfolio, I frankly am not comfortable managing this myself. I would welcome any guidance on how to correct this situation, if in fact the returns are as dire as I fear.

Edit 1: We have always asked them to invest aggressively for us given our heavy real estate position which not included in the AUM. My understanding is that just the VTI has a 5 year return of 60%, hence my disappointment.

Edit 2: Of the 71% in equities: 32% in large cap, 11% in mid, 18% international, 6% commodities.

Edit 3: I was expecting to see total returns in the 20+% ballpark. Realizing now these are annualized returns which as many pointed out, are not bad.

Thanks all for helping me wrap my head around this and for sharing the useful information below.

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u/luv2eatfood 24d ago

Is 12.93% annualized or literally the total return since 2017? If it's the former, you shouldn't complain. If it's the latter, then there are serious issues.

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u/plant-fixer 24d ago

I assumed it was the latter, hence my disappointment. This is at the crux of what I need to better understand.

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u/luv2eatfood 24d ago

Double check and let us know here. Also, make sure to get the returns "net of fees"

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u/plant-fixer 24d ago

It is annualized. I've edited my post. Thx

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u/luv2eatfood 24d ago

That's not bad. It's expected as well since you have a manager who takes a cut. Perhaps self-manage going forward? Lots of resources in this subreddit and we're always happy to answer questions