Five Questions to Ask Your Financial Advisor

  1. Is your advisor working strictly in a fee-only or fiduciary capacity at all times?

    Ultimately, it boils down to how your advisor gets paid. Is he willing to be completely transparent about his incentives? Are you sure you’re receiving advice that’s objective? For more about the fiduciary standard for financial advisors, click here. Fiduciary articles

  2. What educational background and professional credentials does your advisor have?

    The most respected credentials are the Chartered Financial Analyst (CFA) designation for investment professionals and the CERTIFIED FINANCIAL PLANNER™ (CFP®) designation for financial planning professionals. For more information about these designations, click here: CFA - CFP

  3. What is the “all in” cost you will be paying for your advisor and the investments you will be using?

    The true cost of your investments can be hard to figure out on your own, especially when you are working with a commission-based or fee-based advisor. Most fiduciary advisors are willing (even proud) to be transparent about all investor costs.

  4. How tax-efficient is your financial advisor when it comes to your investments?

    Will your taxable investments be traded often resulting in significant taxable gains each year? Will your advisor be attentive to tax loss harvesting and other tax-saving strategies?

  5. Will your advisor be preparing a comprehensive financial plan?

    Comprehensive plans done right are highly detailed and customized. In addition to a retirement spending analysis, a quality financial plan includes a review your tax picture, estate plan, insurance protection and other relevant aspects of your financial life, with recommendations for each. For more information about a Keatley Wealth Management financial plan, click here. Financial planning articles