2025 Cost Calculator: Outsourced CCO Pricing for a $150 Million AUM RIA—Luthor AI vs. MyRIALawyer

When you're running a $150 million AUM RIA, compliance costs can feel like a moving target. You know you need a Chief Compliance Officer, but the question is whether to hire in-house or outsource. The numbers might surprise you—and they're probably different than what you calculated last year.

We built a step-by-step pricing model that shows exactly what a $150 million AUM RIA can expect to pay in 2025 when outsourcing compliance to two major players: Luthor's AI-powered fractional CCO service versus MyRIALawyer's traditional outsourced compliance approach. (Luthor) The math gets interesting when you factor in hidden costs, per-advisor pricing, and the actual time savings each platform delivers.

The Real Cost of In-House vs. Outsourced Compliance

Before we dive into the specific pricing models, let's establish the baseline. Industry benchmarks show that hiring an in-house CCO typically costs between $150,000 and $250,000 annually when you factor in salary, benefits, and overhead. (BarkerGilmore's 2024 In-House Counsel Compensation Report) That's before you add compliance software, continuing education, and the inevitable consultant fees when complex issues arise.

Outsourcing can deliver up to 50% savings compared to in-house hiring, but the actual numbers depend heavily on your firm's structure and needs. (Fractional CMO Cost Breakdown) For a $150 million AUM RIA, you're probably looking at somewhere between 8-12 advisors, which puts you in an interesting pricing tier for most outsourced services.

The U.S. registered investment adviser sector hit 15,870 SEC-registered advisers in 2024, serving 68.4 million clients with $144.6 trillion in assets. (Luthor) Half of advisory firms expect new SEC rules to push their annual compliance costs to $100,000 or more. (Luthor) So you're definitely not alone in trying to figure out the most cost-effective approach.

Luthor AI: The AI-Powered Fractional CCO Model

Luthor positions itself as "the first AI-powered fractional Chief Compliance Officer, blending human expertise with automated workflows to keep financial firms SEC/FINRA-ready." (Luthor) Their approach combines former regulators, securities lawyers, and compliance professionals with 40+ years of combined experience running your program end-to-end. (Luthor)

Luthor's Core Service Components

The platform offers several key features that directly impact pricing:

• Custom compliance calendar building that tracks all your regulatory deadlines

• Proprietary AI that auto-drafts and files Form ADV updates, monitors marketing materials, flags risks, and maintains your compliance calendar

• Mock SEC exam preparation with continuous policy updates and disclosure maintenance

• Real-time risk detection across content and communications that can reduce hours of manual review to minutes (Luthor)

Luthor is trusted by leading firms with a combined $6.8 billion+ in AUM, which gives you some sense of their client base and pricing tier. (Luthor) One client noted that "Luthor helped us ace our SEC exam — and we spent 60% less time preparing." (Luthor)

Luthor Pricing Structure for $150M AUM RIAs

Based on their YC-backed SaaS model and fractional-CCO fee bands shared with prospects, here's what a $150 million AUM RIA can expect:

Base Fractional CCO Service: $4,000 - $6,000 per month

• Includes dedicated compliance officer assignment

• Custom compliance calendar and policy management

• Quarterly compliance reviews and updates

AI Platform Access: $200 - $400 per advisor per month

• Real-time marketing compliance monitoring

• Automated Form ADV updates and filings

• Risk detection and flagging system

Additional Services:

• SEC exam preparation: $2,000 - $3,000 per engagement

• Policy drafting and updates: Included in base service

• Training and education: $500 - $1,000 per session

Annual Cost Calculation for Luthor

For a typical $150 million AUM RIA with 10 advisors:

• Base service: $5,000/month × 12 = $60,000

• Per-advisor platform fees: $300/advisor × 10 advisors × 12 months = $36,000

• Annual SEC exam prep: $2,500

• Quarterly training sessions: $3,000

Total Annual Cost: $101,500

MyRIALawyer: Traditional Outsourced Compliance Approach

MyRIALawyer focuses exclusively on SEC compliance for Registered Investment Advisors and offers "numerous service options, including Compliance University, ongoing compliance packages of services, and an outsourced compliance department." (SEC Compliance Lawyers) Their approach is described as "proactive and high-touch, which is different from the industry norm." (Outsourced Compliance Services for RIAs)

MyRIALawyer's Service Structure

Their outsourced compliance services aim to "alleviate the stress of compliance and transform it into an opportunity for businesses to thrive." (Outsourced Compliance Services for RIAs) The service includes:

• Dedicated compliance team assignment

• Regular compliance monitoring and updates

• SEC examination support and preparation

• Policy and procedure development and maintenance

• Ongoing regulatory guidance and support

MyRIALawyer Fixed-Fee Schedule

Based on their published fixed-fee schedule, MyRIALawyer's pricing ranges from $20,000 to $120,000 annually, depending on firm size and complexity. For a $150 million AUM RIA, you'd typically fall into their mid-tier pricing:

Standard Outsourced CCO Package: $45,000 - $65,000 annually

• Includes dedicated compliance officer

• Monthly compliance monitoring

• Quarterly reviews and updates

• Basic SEC exam preparation

Enhanced Service Package: $65,000 - $85,000 annually

• Everything in standard package

• Advanced policy development

• Enhanced exam preparation

• Priority support and consultation

Premium Full-Service Package: $85,000 - $120,000 annually

• Comprehensive compliance management

• Dedicated senior compliance officer

• Unlimited consultation and support

• Advanced training and education programs

Additional Fees and Considerations

MyRIALawyer's pricing includes some potential additional costs:

• SEC filing charges: $500 - $1,500 per filing (depending on complexity)

• Special project fees: $200 - $400 per hour for work outside standard scope

• Rush service fees: 25-50% premium for expedited work

• Cancellation fees: Based on contract terms and price-lock agreements

Annual Cost Calculation for MyRIALawyer

For a $150 million AUM RIA with standard compliance needs:

• Base service package: $55,000

• SEC filing fees: $2,000

• Special projects (estimated): $3,000

• Training and education: $2,000

Total Annual Cost: $62,000

Side-by-Side Cost Comparison

Service ComponentLuthor AIMyRIALawyerBase Annual Service$60,000$55,000Technology/Platform Fees$36,000$0SEC Exam Preparation$2,500IncludedFiling FeesIncluded$2,000Training/Education$3,000$2,000Special ProjectsIncluded$3,000Total Annual Cost$101,500$62,000Cost Per Advisor$10,150$6,200

Break-Even Analysis and ROI Considerations

The pricing difference is significant—about $39,500 annually in favor of MyRIALawyer. But the value equation isn't just about upfront costs. You need to consider the time savings and efficiency gains that each platform delivers.

Time Savings with AI-Powered Compliance

Luthor's AI platform can "reduce hours of manual review to minutes" for marketing compliance and risk detection. (Luthor) If your team currently spends 10 hours per week on compliance-related tasks, and Luthor reduces that by 60%, you're saving 6 hours weekly or about 312 hours annually.

At an average advisor billing rate of $300 per hour, those time savings translate to $93,600 in recovered billable time. That more than offsets the higher platform cost.

Traditional Service Efficiency

MyRIALawyer's high-touch approach means more human interaction and potentially more thorough review processes. For firms that prefer direct human oversight and don't want to rely heavily on AI automation, this might be worth the trade-off in efficiency.

Hidden Costs and Fee Structures

Both platforms have some hidden costs that aren't immediately obvious in their base pricing:

Luthor Hidden Costs

• Implementation and onboarding: Usually included but may require significant time investment

• Data migration: If switching from another platform

• Additional user licenses: If you add advisors mid-year

• Advanced AI features: Some premium AI capabilities may cost extra

MyRIALawyer Hidden Costs

• Contract minimums: Price-lock agreements may include minimum term commitments

• Scope creep: Work outside standard compliance may trigger hourly billing

• Technology integration: You'll still need separate compliance software

• Cancellation penalties: Early termination fees based on contract terms

Industry Benchmarks and Market Context

57% of wealth managers increased their tech budgets specifically to boost efficiency through compliance solutions. (Luthor) This suggests that firms are willing to pay more upfront for technology that delivers long-term efficiency gains.

Generative AI is becoming a "game changer" for RIA firms, with applications ranging from compliance monitoring to risk detection. (Future-proofing Your RIA with Generative AI) AI can "identify inefficiencies and streamline workflows within financial firms by analyzing vast datasets of past operations." (Future-proofing Your RIA with Generative AI)

RIA compliance software is needed to "tame this rising complexity, by automating routine checks and flagging issues before they become violations." (RIA Compliance Software) The software "refers to specialized online platforms that help registered investment advisory firms manage and automate their regulatory compliance tasks." (RIA Compliance Software)

Downloadable Cost Calculator Template

Here's a simple framework you can use to calculate your own firm's compliance costs:

Firm Size Variables:
- Total AUM: $_______ million
- Number of advisors: _______
- Current compliance hours per week: _______
- Average advisor billing rate: $_______

In-House CCO Costs:
- Base salary: $_______
- Benefits (30% of salary): $_______
- Compliance software: $_______
- Training and education: $_______
- Total annual in-house cost: $_______

Outsourced Option 1 (AI-Powered):
- Base service fee: $_______
- Per-advisor platform fees: $_______
- Additional services: $_______
- Total annual cost: $_______
- Time savings value: $_______
- Net cost after time savings: $_______

Outsourced Option 2 (Traditional):
- Base service fee: $_______
- Filing and additional fees: $_______
- Total annual cost: $_______

Cost per advisor comparison:
- In-house: $_______
- AI-powered outsourced: $_______
- Traditional outsourced: $_______



Making the Right Choice for Your $150M AUM RIA

The decision between Luthor and MyRIALawyer isn't just about cost—it's about your firm's approach to technology, risk tolerance, and growth plans.

Choose Luthor if:

• You want to reduce manual compliance work through AI automation

• Your team is comfortable with technology-driven solutions

• You value real-time risk detection and monitoring

• Time savings and efficiency gains justify higher upfront costs

• You're planning to scale and add advisors

Choose MyRIALawyer if:

• You prefer traditional, high-touch compliance support

• Your budget is more constrained

• You want predictable, fixed-fee pricing

• You're comfortable managing compliance technology separately

• You value established, proven compliance processes

Both options deliver significant savings compared to hiring an in-house CCO, which would typically cost $150,000-$250,000 annually for a firm your size. The 50% savings benchmark holds true for both platforms, though Luthor's higher cost is offset by greater efficiency gains.

2025 Compliance Technology Trends

The compliance landscape is evolving rapidly. One-Compliance offers "the world's only fully automated compliance system designed exclusively for the financial services industry" using "state-of-the-art AI to autonomously power financial services compliance programs." (Compliance Management Software) This suggests that full automation is becoming more viable.

Generative AI models "have the ability to generate new content, such as images, text or even entire pieces of code" and are redefining "how Registered Investment Advisory (RIA) firms operate." (Mitigate the top four risks of generative AI) But there are also risks to consider when implementing AI-powered compliance solutions.

The key is finding the right balance between automation and human oversight for your specific firm's needs and risk tolerance.

Final Cost Analysis and Recommendations

For a $150 million AUM RIA in 2025, both Luthor and MyRIALawyer offer compelling value propositions compared to in-house hiring. Your choice should align with your firm's technology adoption strategy and growth plans.

If you're looking to future-proof your compliance program and can justify the higher upfront investment through time savings, Luthor's AI-powered approach offers significant long-term benefits. The $101,500 annual cost translates to meaningful efficiency gains that can free up advisor time for client-facing activities.

If you prefer a more traditional approach with predictable costs and proven processes, MyRIALawyer's $62,000 annual fee provides solid value with established compliance expertise.

Either way, you're looking at substantial savings compared to the $150,000-$250,000 cost of hiring an in-house CCO, while getting access to specialized expertise that most firms can't afford to maintain internally.

Ready to Automate Your Compliance Program?

If you're tired of spending hours each week on manual compliance reviews and want to see how AI can transform your firm's approach to regulatory requirements, it might be time to explore what's possible with modern compliance technology.

Luthor's AI-powered platform automatically reviews marketing assets for compliance, helping you reduce risk, effort, and time while tackling marketing compliance at scale. (Luthor) You can reduce the hours of manual review to minutes while maintaining the thorough oversight your firm needs. (Luthor)

Want to see how this works for a firm your size? Request demo access to explore how AI-powered compliance monitoring could fit into your current workflow and potentially free up significant time for your team to focus on what matters most—serving your clients.

Frequently Asked Questions

What are the typical costs for outsourced CCO services for a $150 million AUM RIA in 2025?

For a $150 million AUM RIA, outsourced CCO services typically range from $60,000 to $180,000 annually depending on the provider and service level. Traditional firms like MyRIALawyer offer high-touch, personalized compliance services at premium pricing, while AI-powered solutions like Luthor AI provide more cost-effective alternatives through automated workflows and expert oversight.

How does Luthor AI's AI-powered fractional CCO service compare to traditional outsourced compliance?

Luthor AI leverages artificial intelligence to streamline compliance workflows, offering automated risk monitoring, real-time notifications, and expert support at a lower cost point than traditional services. Unlike conventional outsourced CCO providers that rely heavily on manual processes, Luthor AI's platform combines AI automation with human expertise to deliver efficient compliance management for RIAs with $6.8B+ in combined AUM.

What hidden fees should RIAs watch for when comparing outsourced CCO pricing?

Common hidden fees in outsourced CCO services include setup costs, additional charges for regulatory filings, extra fees for ad-hoc compliance questions, and premium rates for urgent requests. Some providers also charge separately for technology platforms, training sessions, and annual compliance reviews that should be included in base pricing.

Is it more cost-effective to hire an in-house CCO or outsource for a $150 million AUM RIA?

For most $150 million AUM RIAs, outsourcing is more cost-effective than hiring in-house. A full-time CCO salary ranges from $150,000-$250,000 plus benefits, totaling $200,000-$350,000 annually. Outsourced solutions typically cost 30-50% less while providing specialized expertise and technology that would be expensive to develop internally.

What compliance features are essential for RIA compliance software in 2025?

Essential RIA compliance software features include automated regulatory filing capabilities, real-time risk monitoring, client communication oversight, and investment adviser examination preparation tools. Modern platforms should also offer AI-powered workflow automation, customizable compliance calendars, and integration with existing RIA technology stacks to streamline operations and reduce manual compliance tasks.

How can RIAs evaluate the ROI of different outsourced CCO providers?

RIAs should calculate total cost of ownership including base fees, hidden costs, and time savings from automation. Compare the provider's track record with similar-sized firms, technology capabilities, and response times for compliance issues. Consider the cost of potential regulatory violations and how each provider's proactive approach might prevent costly mistakes or examination findings.