How to Find a Financial Advisor
Finding a trusted financial advisor presents one of the most challenging tasks investors face. Sadly, the investment industry is filled with individuals who go by a variety of names, and most of them are salespeople looking to earn commissions rather than looking out for your own best interests.
To help you do your homework, check out the resources below. The interview below with the highly regarded Michael Kitces is a great place to start. He wisely warns that taking advice from friends and family on this topic may lead to trouble.
In this must-listen to interview of the legendary Michael Kitces by Financial Mentor Todd Tressider, Kitces provides useful insights on how to choose a financial advisor.
Although a bit frightening to read, this article will help you understand how your adviser’s pay may influence the advice you receive. No one cares more about your money than you do, so understanding how the incentives work will make you a more informed consumer of such services.
The Financial Planning Association (FPA) is a professional membership organization for the financial planning community, and is considered a good place to find a CERTIFIED FINANCIAL PLANNER™ (CFP®) professional. FPA member planners can help people assess their financial health, set realistic financial and personal goals, and develop comprehensive plans to meet those goals. You can use this tool to search for professionals in your area.
The National Association of Personal Financial Advisors (NAPFA) is the country’s leading professional association of Fee-Only financial advisorsFor finding fee-only financial advisors. The fee could be based on assets under management or hourly.
A national network of hundreds of hourly-based, Fee-Only financial planners. Perfect for locating exclusively hourly fee advisors for project-based help (e.g., a lifestyle change), or for asking a few questions or more.