From Courtship to Commitment
Deciding to work with a financial advisor is a personal decision. Sometimes, financial conversations are the most intimate because they often revolve around your hopes, dreams, fears and family connections. Trust is the most vital component to a successful partnership—here’s six ways to build it.
Dig a little deeper. Once you have a list of candidates (firms or specific advisors), dig a little deeper. Learn about their educational background, professional certifications, continuing education regimen, etc. Check their regulatory record—FINRA and SEC both have search tools online. Remember to also learn about the firm’s history, longevity, compliance record, mission and values.
Make sure the intro meeting is a conversation and not a sales pitch. Ask about their experience and examples that apply. Financial professionals cannot share specific client information, but they can give you more general examples of situations or topics that they have successfully addressed.
Tell them what is most important to you and make sure your values align. Be honest about what you expect and see if the way they work with clients is comfortable for you. Learn about their team, their communication styles and any requirements/minimums.
Ask about how they get paid. It is an important question as there are a lot of different ways financial professionals can be compensated. Make sure they can be transparent with you about money. After all, they are asking that of you.
Unlike a first date, it is usually more productive to lay out the details of your financial situation and goals at the first meeting. It will help them assess if they are the best match for your needs. Make sure they are up front about what services they can provide directly and what others you may need to outsource.
Trust your instincts. Just like a first date, if you are not feeling confident and excited after meeting them, it is probably not the right match.
Taking It to the Next Level
When you are in a relationship with a financial advisor, when do you stop seeing other people?
Some investors prefer to not only diversify their portfolio but to also diversify the management of their assets across more than one firm or advisor. It all comes down to personal preference, but in some cases, you may be able to maximize the relationship with your financial service team by allowing them the opportunity to impact your full financial picture.
Meeting the family is a big step in any relationship. Once you know you have a relationship built on trust, bringing your family into the fold on your financial planning can have tremendous benefits to all generations involved. At the very least, they will be familiar with your advisor, have an idea of your goals and wishes and understand how to keep your plans on track if you become unable, or at your passing.
Make Up or Break Up?
Leaving your advisor is a notion that can be intimidating, especially if you have already given a lot of time and effort into building a relationship.
Sometimes, the most comfortable relationships can lose the spark if you don’t express how you feel. If your expectations are not being met or your preferences have changed, speak up and see if there is a way to resolve the issue. Most likely, your financial advisor will be willing to adjust to make sure that you are happy. If not, maybe it’s time for a change?
It not as complicated as you might believe to transfer to another firm or advisor. There will most definitely be paperwork and tasks involved, but your advisor should be able to guide you through that transition.
Valley National Financial Advisors is the marketing name for Valley National Group, Inc. and its affiliates. Securities offered through Valley National Investments, Inc. - an independent broker/dealer and member FINRA and SIPC. Valley National Advisers, Inc is a Registered Investment Adviser with the U.S. Securities and Exchange Commission.
Valley National Financial Advisors | 1655 Valley Center Pkwy Suite 100, Bethlehem | valleynationalgroup.com
This post is a sponsored collaboration between Valley National Financial Advisors and Lehigh Valley Style.
