Earlier this year, AIMkts published “5 Things you should ask your financial advisor” with advice on how to be a more savvy investigator of the guy (or gal) who will handle your most sensitive financial assets.
More recently, Forbes writer Roger Gershman painted a different perspective of the issue in, “The 6 Worst Ways to Choose an Investment Advisor“.
Says Gershman, “You want an advisor who is experienced with working with people who have similar goals and similar account sizes. You want one without any conflicts, one who isn’t all bells and whistles and no substance.”
While that may seem like obvious advice, snookery abounds nonetheless, as Gershman notes: “Even the best-intentioned attempts at finding a qualified investment advisor can run into walls.”
If you think a personal recommend from a friend of family member is the safest way to play, or if you love to read ratings and make decisions based on a 5-star methodology, you may end up paying substantially for your lack substantive due diligence.
Are you approaching the financial advisor hunt in the wrong way? Compare your methods to Gershman’s list here.
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