How do you judge if a financial advisor is any good?
Question:
Answer:
If you want to know if they are good, ask where their money is and what they have invested in. Also see what they drive and what kind of clothes they wear. If they are making such good money themselves they should have no problem sharing what they know, that's what your paying them to do!
He will charge you alot and make you alot, i'm a financial adviser and my Bmw PROVES I'M THAT DAM GOOD!
Stay away from them.
A good adviser works for you not himself. If they try to sell tax deferred annuities, insurance products funds with high load fees (front or Back end ) or funds with a 12(b)1 fee greater than .25% then you need to go elsewhere. The total annual management/advisory fee should be no more than .75% to 1.5% depending on how much you have invested. Total fees plus fund expenses should not be more than 1.5% to 2% annually.
They should be able to give you the names of some satisfied clients you can call. Their own investments do no matter much since their goals and risk tolerances differ from yours.
Beware of those with fancy cars and $1000 shoes. Remember, their pay comes out of your pocket. Find one that can give reasonable returns for reasonable rates.
Many financial planner, especially those who are quite young and those close to retirement may try to push you into investments that provide them with the greatest commissions rather than what is best for you.
Advisers have an inherent confglict, they have to look out for your best interests and they wanty to earn the best living they can. These notions are sometimes antithetical.
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