The Different Types of Advisors

The Rich and Their Advisors

Rich people have different problems. For the more affluent, the financial planning process is more complicated. That’s why this clientele often turns to a team of professionals.

But there typically is one central advisors to play quarterback, coordinating the efforts of such experts as accountants, real estate attorneys, estate planning attorneys, said Stephen Stabile, senior vice president and wealth management advisor at Merrill Lynch, in an advisor panel.

The Future of Financial Advice

Financial planning looms in everyone’s life, including yours. Not all money advisors are created equal, though. Does yours do the best job for you – and how can you contribute to making your own plan?

“Is your advisor asking you, the investor, the right questions? Is the investor asking the right questions of the advisor?” said Jeffrey Vivacqua, senior vice president of business strategy at the Fairfield, Iowa-based broker-dealer Cambridge Investment Research, speaking at a recent advisory panel.

Planning Beyond Investing

Financial advisors can reach far beyond a portfolio and investments. Most people have no idea that advisors can assist with matters as diverse as estate plans and insurance, to ensuring you invest with your head and not always your heart.

“Emotions will overcome economic considerations every time,” said Tim Maurer, wealth advisor with Buckingham Asset Management and director of personal finance for the BAM ALLIANCE, speaking on a recent advisory panel.

Why You Need a Financial Coach

Advisors are coaches who see your financial blind side. Even the best, market-savvy players can benefit from having an advisor.

“You don’t know what you don’t know,” said Larry Light, editor-in-chief of personal finance site AdviceIQ, during a panel discussion for National Financial Advisor Week. He gave an example of how his advisor, Jim Ludwick of Main Street Financial Planning, got him into a free health-care program that he otherwise would probably never know he is eligible for.

Checking Your Advisor

If you’re one of the some 10,000 people turning 65 every day for the next 15 years, your looming retirement probably spurs you to seek out a financial advisor to help with money decisions as you leave the workforce. Everywhere you see professionals with strings of letters after their names. How do you find the right advisor with the right credentials for you?

Listening to Gurus (Pt. 2)

Our first article looked at some reasons to often exercise caution with financial gurus such as Suze Orman. Here are more reasons to beware of gurus’ pop advice.

Stocks not for everyone. Orman enthusiastically recommends investing in the stock market. This one-size-fits-all advice misses something basic: Wall Street clearly isn’t for all investors.

Listening to Gurus (Pt. 1)

The airwaves hum with brash celebrity advisors dispensing financial wisdom in blanketing sound bites. Should you listen to them? Up to a point, but only up to a point.

Gurus - Are They Really?

When a financial advisor or an author of financial books becomes well-known, investors may assume they can trust that person’s advice. This isn’t necessarily the case.

Fame and quality don’t always go together. Recently, I was selected by an Internet community site called moneytips.com as one of their top 50 “social influencers.” This is a list of professionals in the areas of wealth and personal finance who use social media and other Internet tools effectively.

Advisors: What Women Need

Anyone familiar with John Gray’s Men Are from Mars, Women Are from Venus knows the premise that men and women communicate very differently. Perhaps this explains why most female investors prefer to work with a female advisor and most married women leave a male advisor after the husband dies. Starting with the first conversation, women want, need and deserve distinct treatment from financial advisors.

Gurus’ Advice: Be Skeptical

Many financial celebrities, like Dave Ramsey, hand out advice for an audience of millions that rarely applies to a real person. Instead of following their one-size-fits-all rules, you should make decisions based on your unique situation.

I’m not saying you should disregard what Dave or any of the other financial gurus out there has to say. What I am saying is that we need to take their advice with a grain of salt.

Pages

Subscribe to RSS - The Different Types of Advisors