The answer is as individual as the person asking it. When making big decisions in life, most people look for sources of guidance, expertise, and objective advice to help them make thoughtful educated choices. That encapsulates what a professional financial advisor is.
The value of a financial advisor can be quantified by avoiding behavioral mistakes made by investors, cost savings, tax planning, and many other factors. In one study this value has an annualized benefit of over 4% improvement on an investor’s account performance. This fact alone seems to be one of the most compelling reasons to utilize a financial advisor.
Choosing a financial advisor is not just about investment management. A proper matched advisor can be a confidant to discuss some of your most challenging decisions. Experienced advisors have seen it all and can help you with those experiences, so you need not repeat those best avoided.
In addition to long-term planning, advisors are a well of knowledge in short-term decisions like charitable giving, legacy planning, social security options, mortgage options, insurance, and family support. This is just an abbreviated list of the value-added advice that quality advisors help their clients with.
In summary, most investors who work with a financial advisor will state it is more than just investments. For many, ongoing coaching, advice, and planning were the most valuable part of their advisor experience.
At Salish Wealth Management, our clients are more than just a number. They are friends, family, neighbors, and stories that matter. We’d be honored to have you join our family.
1 Value of a financial advisor, Russell Investments, 2017