Last week I heard from long-time reader Ms. Florence D. A sharp 87 years young, she's facing a situation that's all too common for many investors who were seduced by Wall Street's overreliance on the "never lose money" mantra.
Now she's got a few money-losing commodity and financial stocks on hand (not ones I recommended, fortunately) and is wondering if it's time to "hire advice on each dog."
I think so.
Good counsel is absolutely vital when it comes to building Total Wealth.
Obviously, you can get some of that from me each week, especially when it comes to identifying trends, spotting opportunities, and helping you pick your trades. That's because many times Wall Street simply cannot tell you what I can, nor can they offer the fiercely independent analysis I do. There are huge conflicts of interest that are well documented thanks to the financial crisis, and it's not in Wall Street's best interest to have you thinking independently.
That said, there comes a time in every investor's career when having the right advisor in your corner can mean the difference between huge profits and devastating losses. That's because he or she will help you make decisions that are uniquely dependent on your personal situation. Examples include money moves needed to minimize taxes, leaving a legacy for your children and grandchildren, or simply planning for life's major events.
But how do you find the right professional from amongst tens of thousands?
That's what we're going to talk about today.
Finding the right advisor comes down to five questions.
Everyone seems to forget the last one…
Big brokerage houses are turning up the heat.
According to The Wall Street Journal, the pressure is higher than ever to win more clients and assets. Merrill Lynch, for example, will double what it calls strategic growth awards for its 14,000 advisors. The first $10 million in new assets is worth 0.10% of that amount in 2015 versus 0.05% of that in 2014. Any advisor adding at least two new client relationships will see awards triple. UBS, Morgan Stanley, and Wells Fargo are all making similar changes.
Put bluntly, they've put a bounty on YOUR money.
And that's a problem because it makes finding an advisor who is truly aligned with your interests a challenging undertaking. Not impossible, mind you, but complicated nonetheless.
About the Author
Keith Fitz-Gerald has been the Chief Investment Strategist for the Money Morning team since 2007. He's a seasoned market analyst with decades of experience, and a highly accurate track record. Keith regularly travels the world in search of investment opportunities others don't yet see or understand. In addition to heading The Money Map Report, Keith runs High Velocity Profits, which aims to get in, target gains, and get out clean. In his weekly Total Wealth, Keith has broken down his 30-plus years of success into three parts: Trends, Risk Assessment, and Tactics – meaning the exact techniques for making money. Sign up is free at totalwealthresearch.com.