3 Reasons Why a Financial Advisor is Worth the Money

You Don’t Have the Time or Know-How to Invest

When turning down the idea of hiring a financial advisor because you believe you can manage money on your own, take some time to consider whether you have the knowledge, experience, and patience to invest and build your financial plan.

A financial plan will likely change the second you believe you’ve finalized it. That’s because the only constant in life is change.

You Aren’t Sure How to Plan for your Financial Future

You Want an Educated and Impartial Third-Party Opinion

An advisor could review your scenario and develop an impartial financial plan and investment strategy that you may not have considered before.

How Advisors are Paid

To earn the biggest bang for your buck, one of the first questions you should ask your potential financial advisor is this: How are you compensated?

As you embark on your search for a financial advisor, it is also critical to understand the difference between a fiduciary duty and the suitability standard.

Fiduciary vs. Suitability

Financial advisors typically offer advice on 2 levels:

● Fiduciary Duty – Your financial advisor is, by law, obligated to put your interests ahead of their own interests ● Suitability Standard – Your financial advisor just has to ensure the financial advice they give you is suitable for your overall financial plan

Closing Thoughts

While paying a financial advisor might cost you a pretty penny up front, a financial advisor could pay for themselves in the long run.

Financial Planning

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