Broker Check

Questions to Ask When Choosing a Financial Advisor

October 14, 2021
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Finding the right financial advisor is a must if you’re planning to become more serious about managing your money and growing your wealth. Financial advisors are just as unique as the portfolios they manage—because every client has different assets, considerations, and goals, it is important to do your homework and find an advisor that lines up closely with your needs.

Before working with a financial advisor, it’s wise to set up a consultation so you can talk through all the money management details. Think of this as a two way interview—not only will the advisor be getting to know you and your financial goals better, but you will also be determining if they’re a good fit to manage your money. Coming prepared with questions such as the ones below will help you determine if a financial advisor is a good choice for your current and future financial needs.

What Should I Ask Before Hiring a Financial Advisor?

What is Your Investment Strategy?

When selecting a financial advisor, you’re putting a lot of faith in their ability to manage your investments—so understanding what their investment strategy looks like is very important. They should be able to work with you to balance risk and payoff depending on your goals regardless, but understanding their philosophy around investing will help you determine if they’re a good fit.

How Will Our Communication Work?

Setting a basis for communicating is an important part of working with a financial advisor. Understanding how often you will meet, check in, and whether or not they’ll be available for any questions that pop up can help you make sure that your working relationship is mutually beneficial and that expectations are aligned.

What Are Your Specialties?

While all financial advisors will be able to manage a general portfolio, if you have special considerations such as owning a business, sitting in a high income bracket, or having unique taxation situations, finding a financial advisor that is well-positioned to handle these nuances will be beneficial in the long run.

How Will Investments Impact My Tax Bill?

While getting high returns on your investments is a rewarding feeling, it is rare for these gains to come without fees and taxes. Asking this question can help you be sure that the financial advisor you choose will consider the big picture when it comes to managing your funds, and doesn’t put you in a scenario where your high returns lead to a high tax bill this April.

If you’d like to learn more about our investment philosophy and how we can help you manage your money, we’d love to chat! Set up a consultation today to get your questions answered.