[graciegirl]

Originally Posted by 784caroline

There are many reasons why one would go to a financial advisor to manage their investments....and believe it or not, its not always to obtain maximum gain on your investments. Of course everyone who is in the markets wants to stay the course with the averages and for most of us if you are thinking about using a financial advisor you have been doing something right up to now. But there is more to think about!

IN most household situations however there is one main person resonsible for making the key financial decisions as it pertains to investments, while the other is not in the loop and in fact most often clueless on how to proceed with any type of investing. AS long as things are status-quo, meaning the household unit stays as it has been, everyones healthy etc, fine .... continue what you are doing. BUT what will happen when (not IF) the time comes when the knowledgeable person can no longer make the necessary financial decisions and you are faced with issues such as 1) I need money to take care of everyday business or 2) I have accumulated a fair amount of assests and I need help managing it and have no concept as to what a mutual fund is compared to an ETF or bond and I never executed a stock trade in my life???? Yes, I can find my accounts BUT, I dont really have a "person" to turn to for we always dealt with "discount" firms.

Getting to know a financial advisor while you are healthy, knowing their philosphy on investing while they also learn your situation will greatly ease any transition that will be needed at some time in the future. In trying to select an advisor, you need to learn his/her philosphy and how they invest..., are your goals compitable, are they big on annuities, use only mutual funds or ETFs or do they invest in individual stocks and bonds. How are they paid, who will you call and talk to, will I be dealing with only one person or a firm, what happens if my key person leaves the firm, communication expectations? Once selected, bring other members in the household to these meetings so they get to know who is who and they start becomming more familiar with your financial sitaution. If you are fortunate enough to have a fair amount of assets im not saying give everything to a financial advisor, keep some yourself and play with it as you would, but by starting the relationship early, you will be preparing for the future in more than simply monetary terms.

Well said as usual, sir.