Finding the Right Financial Advisor
Updated: Jul 22, 2020
If you’re not sure which type of advisor suits you, take a look at the highlights:
These online services pick and maintain an investment portfolio for you using computers, which lowers their overhead. Some offer access to human advisors for when you have questions.
Low cost, easy entry: Fees start as low as 0.25% of your balance and most charge 0.50% or less. Many have no or low account minimums, so you can start investing with a small amount of money. Good when: You want to get started working on financial goals like retirement but don’t want to pay a lot.
HUMAN FINANCIAL ADVISORS
Many different types of specialists focus on helping you reach financial goals. Finding a fee-only financial planner gives you a good combination of specialized training and no conflicts of interest.
Higher cost, minimums: The median financial advisor fee is about 1% of the assets managed for you, although some charge by the hour or have a set rate per service. Some require a minimum balance, such as $250,000 in assets to manage. Good when: You want specialized services like estate planning; you’re about to make a big life change, like retiring or getting married; your situation is complex.
Another wonderful resource is FINRA the Financial Industry Regulatory Authorities "BrokerCheck". It's free and provides a quick background check with the regulatory authority that oversees the advisor and its representatives.
An excellent source of reference would be Investopedia. An American website based in New York City that focuses on investing and finance education along with reviews, ratings and comparisons of various financial products such as brokerage accounts. They offer Advisor Insights and
a directory of financial advisors.
We are here to help put you on the path to financial success.