Motley Fool One opened up its membership today, sending out invitations to those who applied. The 11,000 word sales pitch had all the details on what the service offers and the pricing terms.
Let’s get straight to the pricing:
Motley Fool One Cost
- 1 yr subscription: $7,499
- 2 yr subscription: $9,499 ($4750 per year)
- 3 yr subscription: $10,499 ($3500 per year)
- 5 yr subscription: $12,499 ($2500 per year)
On top of this they are offering an early sign-up discount of $1000 if you sign by March 20th, so a one year subscription would be $6,499 and 5 years would be down to $11,500. This brings the annual basis for a 5 year subscription down to $2300.
And if you have any existing subscriptions, you can credit them against the price, bringing the cost down even further.
Finally, they are offering a full 1 year money back guarantee as well. In essence, you could loan the Motley Fool $7499 and cancel on your last day of membership and get it all back. That’s pretty generous of them.
The one year price is intimidating. That’s a LOT of money. If you follow the rule of trying to keep fees to 1% of your investment portfolio, you would need a $750K portfolio to make it worth it.
But I think it starts to make a lot more sense if you look at the 5 year membership. With the $1000 early bird discount the annual price is only $2300. Now you are talking about a $230K portfolio to make it worth it. But let’s talk about what’s included in the membership and you’ll see that the $2300 actually gets you a lot of bang for your buck.
Motley Fool One Membership
- Complete access to all of their investing services (Stock Advisor, Rule Breakers, Supernova, Income Investor, etc.)
- Complete access to any future investment newsletters or services they may offer.
- A “best of the best” weekly digest of all the best investing picks and content from all the Motley Fool services.
- Various video interviews and other special content from business leaders
- Access to Tom Gardner’s Everlasting Portfolio where he invests his own money alongside Motley Fool’s money
- A new personal investing/financial advisory service called Motley Fool Financial Planning
This last one, the Motley Fool Financial Planning service, is a vastly different service than anything they’ve ever offered. Basically it offers a centralized portal where you can link all your accounts (brokerage accounts, 401ks, bank accounts, etc.). You answer some basic questions and an algorithm will calculate a target allocation and connect that to recommended Motley Fool trades. The sales pitch mentions getting up to 10 actionable trade recommendations which will update whenever new buy or sell recommendations comes out from one of their services.
They are also partnering with Ayco to give Motley Fool One members phone access to a financial counselor. You can discuss your personal financial situation and receive individualized financial advice.
This is a fundamentally different approach than what Motley Fool has offered in the past. For legal reasons they’ve had to stay clear of giving individualized financial advice but by partnering with Ayco, they are now able to offer that as a component of their service.
So the price is higher than last when the Motley Fool One was offered last year but it did not include the Financial Planning component. So it makes sense that it’s more expensive.
This is definitely aimed at a specific audience – people who have large portfolios and/or the financial means to make the annual subscription cost effective. And I think you have to be a very big fan of the Motley Fool in general, because Motley Fool One is sucking you all the way into the Motley Fool universe. If you’ve never been a member of any of the Motley Fool investment newsletters or services, you may not want to go all in with a 5 year subscription at these price levels. This site, Motley Fool Review, is generally positive about the company but it can be an acquired taste, and many people will not be a good fit with the Motley Fool approach to investing.
Personally I still don’t have my mind made up. I’m not sure I want or need the Financial Planning service, and so I’m paying a higher price for a service I won’t take full advantage of. The one year money back guarantee is a great offer though, and gives me some flexibility to do a “try and buy”.
Let me know if you have any questions and I’ll try to answer them. And let me know your thoughts on Motley Fool One – do you think it’s worth the price?