Should I Have a Financial Advisor on My Team?

Hiring a financial advisor is a big decision. One not to be taken lightly. If you are contemplating the possibility, consider the following scenarios.

People who are looking to simplify their lives need a Financial Advisor. Let’s face it, you’re busy! Work demands, family pressures, and social obligations are just a few of the items clamoring for your attention. As a result, setting up and maintaining financial order may require more time, effort, and expertise than you can spare! Enter the financial advisor. A trusted advisor can help consolidate financial accounts, automate cash flows, map out investment strategies, and assist with strategic tax planning.

People who lack a plan need a Financial Advisor. One of the most common answers I receive

as an advisor to the question, “What brings you in today?” is, “I need a plan!” An effective plan will prioritize goals, personalize strategies, and customize solutions. A competent advisor can assist you in doing all three.

People who are facing life transitions need a Financial Advisor. Most people who decide to seek the help of an advisor do so when facing a significant life change such as buying a home, starting a family, changing careers, retiring from a job, inheriting money, or caring for elderly parents. The reason is because life transitions create financial uncertainty. An effective advisor will provide context, perspective, and creative solutions.

People who are getting ready to retire need a Financial Advisor. Retirement is not as easy as it looks, particularly from a financial perspective. Handling a 401(k), creating a sustainable income stream, making the right pension choices, and reducing investment tax liabilities are just a few of the many details that need to be worked out. Having a competent advisor on the financial team goes a long way towards getting the details right.

People who are seeking to increase their returns need a Financial Advisor. A study put out by

Vanguard in 2019 entitled “Quantifying Your Value to Your Clients,” estimated that working with an advisor adds about a 3% net return per year. Likewise, Morningstar calculated a similar difference between a typical baseline investment and an advisor-optimized portfolio.1

If one or more of these scenarios resonates with you, then you should consider adding a

financial advisor to your financial team!

_________________________________________________________________

1 Alpha, Beta, and Now…Gamma. David Blanchett, CFA, CFP®. Head of Retirement Research. Morningstar Investment Management.

Paul Kaplan, Ph.D., CFA.

Investment advisory services offered through Brookstone Wealth Advisors, LLC (BWA), a registered investment advisor and an affiliate of Brookstone Capital Management, LLC. BWA and R&R Financial Advisors, LLC are independent of each other. Insurance products and services are not offered through BWA but are offered and sold through individually licensed and appointed agents. Information provided is not intended as tax or legal advice and should not be relied on as such. You are encouraged to seek tax or legal advice from an independent professional.