5 Advantages of Fee Only Financial Advisors
Financial planners are professionals who help you manage your finances. Unlike brokers who charges a commission and are mainly motivated by the profit they are getting, professional financial advisors have your interests at heart. A fee only financial planner only provides financial recommendations and help you implement them. Normally, a fee only financial planner charges annually for their professional advice and when you’ve paid the fee, you can ask him or her any questions on real estate, retirement planning, investment, taxes among other financial topics. Here are 5 reasons why you should hire a fee only financial advisor in Monroe County:
1. They consider your financial capability
Unlike brokers whose aim is to sell you financial instruments like stocks and bonds to get commissions, a fee only advisor considers the investment to determine whether it is worth investing your money on it. Since he/she is concerned about your financial future, he cannot advice you on investing in a wrong business. This is not the case with brokers! Brokers don’t care about your financial future and they will persuade you to invest in any investment provided they are earning their profits.
2. They are fiduciary
A fee only financial advisor is a person whom is entrusted with your valuable assets and with hence, he/she is expected to act professionally and ethically to the best interests of his or her client. Most fee only financial advisors in Monroe County are very professional in their dealings and they are not focused on getting profits from your assets but to help you make the right financial decisions.
3. They have professional affiliations
As a qualified financial advisor, most fee only advisors have professional affiliations with financial organizations e.g. National Association of Personal Financial Advisors (NAPFA). Such kind of affiliations gives an assurance that the advisor does his or her business professionally and ethically. In addition, to be affiliated with such organizations, one must be qualified, certified and licensed to offer financial services. This is not the case with brokers because they are neither trained nor licensed to offer financial services.
4. They give advice whenever you need it
After you’ve paid the yearly fee, you can access the financial advisor to ask questions, get advice, opinions and clarification in any area you are interested in. With their vast knowledge and experience, you will be able to find financial solutions to your problems as well as new business ideas. Choosing to hire a fee only financial planner is the ideal choice when you want to have a comprehensive financial plan of your business.
5. Financial planning is comprehensive
Fee only financial planners are capable of giving you total wealth management because they have vast experience and knowledge in financial planning. They can help you in financial planning on retirement, real estate and insurance planning while still focusing on your taxes, cash management and goal setting. This is contrary to what a broker would offer because of the difference in motivation to work. A broker will not focus on giving you a comprehensive financial plan but rather sell stocks, mutual funds among other financial items you may even not know about. It is very important to differentiate the two to avoid making a mistake in selection and risk losing your money.
Choosing a professional fee only financial planner rather than a broker is the first step to solve your financial crisis. You will get advice and recommendations to make the right financial investments which would later boost you financially. You just need to take your time and do a thorough research online to get a reputable fee only financial advisor in Monroe County.