Advice on Advisers
It’s hard to put your finger on the exact value of having a financial adviser. Morningstar recently attempted to quantify the benefit of hiring one, noting that investors who sought professional help gained an increase of 1.82% of retirement income per year.
But with a wide array of business models, fee structures and certifications, it would be wrong to blindly apply that number to the entire financial services industry. So, if you’re trying to determine whether or not your adviser is worth the cost, you should consider asking yourself these questions:
- What have you done for me lately?
- What have I paid you and what have you made me?
- Am I getting the best possible advice?
It may be hard to figure out at first but you have to really sit down and know if your adviser is the best fit for you or are they just taking your money and wasting your time. However, if you consider the steps above then you should be on the right track. If your adviser isn’t helping you out, don’t be afraid to drop them and see if another adviser is worth your time and money! If not, try seeing if you can do the work on your own. No one knows your finances better than you!