Selecting A Financial Advocate Who Understands Retirement Planning
Like a long-time doctor or a trusted hairdresser, a good financial advisor is a professional who can come to seem more like family. And since one of the most important roles of a financial advocate is to help a client plan for a stable retirement, how can you select an advisor who is genuinely caring, has extensive financial knowledge and who clearly understands your ideal retirement?
It’s not a decision that should be entered into lightly. Ideally, you will form a relationship with a financial expert who can help you navigate any potential pitfalls and difficult decisions that will arise on the road to retirement. Here are the key considerations that should guide you as you look for a financial advisor:
You will want an advocate with the education, background and experience to help you through any financial landscape. You want an advisor who is up to speed on the latest offerings and pursues regular training and education to learn about new products.
Financial planners typically earn their money in one of two ways—by commission or by charging flat or hourly rates for their services. Make sure you understand the charges before you hire an advisor and feel comfortable that if your advisor works on commission he won’t try to steer you to more profitable products that might not be right for you.
It may seem like an intangible factor in a world of numbers, but because a relationship with a financial planner can last decades you may consider evaluating whether an advisor is trustworthy, honest and dependable. Interview several different candidates and see how you connect with each one. If you still need guidance, talk to friends and family about their own experiences with professionals in the field.
One emerging financial opportunity that an advisor might bring up to a client is a life settlement, which allows a senior to sell an unwanted life insurance policy for a cash payout. An informed financial advisor can help you understand the qualifications and potential benefits of a settlement.