Questions to Ask When Selecting a Financial Planner

We are all for do-it-yourself money management, but there are reasons for hiring a financial planner as well . If you are thinking about it, keep these questions in mind when interviewing.

You need to be sure that you have complete confidence in your financial planner or consultant, and it will take a whole process to select the right one. Part of this process is interviewing them. If you’re unsure of where to start your interview, MarketWatch will ask you a few questions. Here are some of the most important and basic ones to help you get started:

  • “Do you accept fiduciary responsibility?” Ideally, you should only hire a true certified financial planner who is sworn in to fulfill your fiduciary responsibilities, which is legally required to act in your best interest.
  • “What services do you provide?” These services can range from managing your investment to retirement planning and long-term care advice, tax preparation, and more.
  • “What total cost and commission would you recommend for typical stock and bond funds?” MarketWatch notes that the average mutual fund commission is 1.25%, and in many cases it is much lower.

Of course, this is not all. You will obviously want to ask how much they charge, and also, don’t be afraid to ask how they get paid . Some advisors work on commission, paid or paid, or are a combination of all of the above. A good financial advisor or planner will be transparent about their rate.

If you’re thinking of hiring a planner, you’ll want to read the full MarketWatch post at the link below.

25 Questions for a Potential Financial Advisor | MarketWatch


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