Take these five questions to your first meeting with a financial advisor.
Meeting with a financial advisor for the first time but don’t know what to ask? Missy Epperson, Senior Vice President and Area Wealth Executive of Regions Private Wealth Management in South Louisiana, suggests asking these questions to feel more confident during your first visit.
1. What are your areas of specialty? Financial expertise includes a wide range of topic areas, from cash flow and debt management to tax and investment planning. So you want to make sure that your financial advisor knows the area of expertise that covers what you’re trying to accomplish.
2. What are your credentials? Credentials will reveal what your advisor can offer, in terms of training and experience. Some advisory certifications are mostly for marketing purposes while others are based on rigorous education or ethics requirements.
3. Can you describe your “typical client”? Some financial advisors may focus on a particular type of client—defined by levels of wealth, marital status or occupation. Check whether your advisor is working with clients who are in similar situations you’re in.
4. How do you get paid? It’s important to understand whether your financial advisor’s pay is fee-based or commission-based, and whether it’s disclosed. This will clear the air for any potential conflicts of interest.
5. Are you a fiduciary? Financial fiduciaries are tasked with putting clients’ interests ahead of their own when offering advice and to reveal any potential or existing conflicts of interests that could influence their guidance.
Overall, these questions will help you to understand who your financial advisor is and how to take control of your financial future.
