Financial Teamwork

Financial Teamwork is an essential element in financial planning yet it is also the most common missing link.

3 Questions For Any Financial Advisor

For most investors , the reason they’ve spent years investing in a 401(k) without getting input from a financial advisor is because they’re not sure where to look for a real “fiduciary”. Another challenge is knowing what specific questions to ask a Financial Advisor to make sure they’re just another sales professional.

The challenge is understandable, but its easy to remedy. A qualified financial advisor must be able to answer the following three questions:

1. Are You A Fiduciary?

• A qualified financial advisor is a fiduciary, which means that they are legally obligated to act in your interest. A fiduciary advisor provides advice that is best for your unique situation.

• Financial advisors who are not fiduciaries may recommend products, funds, or other strategies that provide them with a paycheck but may not be the best solution for your financial situation.

• Not only a confident “yes” to this question is needed, the Financial Advisor should be able to put it in writing.

2. How Much Do I Need to Retire?

A competent financial advisor will not give you a number off the top of their head.

To determine how much you’ll need to retire, Financial Advisors need to listen carefully to What Matters Most – to you:

• Your lifestyle,

• Your plans for retirement, and

• Your risk tolerance.

  Then and only then will a Financial Advisor be able to help you determine a target amount for your retirement nest egg.

3. Am I Getting the Most From My Social Security?

Double-checking your social security benefits statement is your homework assignment! Any financial advisor who truly cares about your financial future will require a look at your most recent Social Security Statement. A “fiduciary” Financial Advisor will help you evaluate if you are positioned to maximize your social security benefits.

Bonus Question

What About Advisor Coordination? Chances are, your CPA isn’t talking to your family attorney. Your family attorney never speaks to your insurance agent. Your insurance agent isn’t talking to your “investment guy”, and your investment guy is generally talking to himself.

Like any doctor, it’s important to diagnose before creating a treatment plan or writing a prescription. After completing the first section of The Blueprint for Financial Success™ you (the investor) will have everything you need to meet with your Financial Advisor to take the next steps. If you’re a Financial Advisor, you’ll be ready to coordinate with the client’s advisory team (in their office or via Zoom):

• CPA or Accountant

• Family or Business Attorney

• Insurance Agent(s)

• Investment Advisor

• CFP® Professional

BayRock is dedicated to helping individual investors, families, and business owners manage the risk and opportunity of everyday life, recover from the unexpected, and realize their highest purpose. To do this, we believe Financial Teamwork is a key – to your success and ours.

For More Articles About Financial Teamwork

• Missional Money Financial Training for Families

• BayRock Wealth Management Services

• Family Wealth Builder of Houston

• Family Office Blueprint – Trust Training for Financial Advisors

• CFP® Game Plan Family Office Training for CFP® Professionals

• CPA Game Plan Family Office Advisor Training

• Munchbach Family Office Family Financial Education