What are Hard Dollars?

Hard dollars are money paid to a broker or investment adviser in return for consultation or investment research. Hard dollars do not include fees related to trading.

How Do Hard Dollars Work?

For example, if someone wishes only to learn from a broker or adviser about options for retirement planning, the broker may charge a fee for an hour of consultation. This fee is an example of hard dollars. Hard dollars are the opposite of soft dollars.

Why Do Hard Dollars Matter?

Hard dollars compensate financial professionals for their time. They serve as an incentive to provide quality service that may later result in a sale of securities.

Ask an Expert about Hard Dollars

All of our content is verified for accuracy by Paul Tracy and our team of certified financial experts. We pride ourselves on quality, research, and transparency, and we value your feedback. Below you'll find answers to some of the most common reader questions about Hard Dollars.

Be the first to ask a question

If you have a question about Hard Dollars, then please ask Paul.

Ask a question
Paul Tracy
Paul Tracy

Paul has been a respected figure in the financial markets for more than two decades. Prior to starting InvestingAnswers, Paul founded and managed one of the most influential investment research firms in America, with more than 3 million monthly readers.

Verified Content You Can Trust
verified   Certified Expertsverified   5,000+ Research Pagesverified   5+ Million Users