| The following information will help you find a financial | | | | commission may recommend frequent transactions |
| advisor who can address your financial needs and | | | | because he or she makes money on each |
| help you achieve your goals. | | | | transaction. A fee-only advisor does not have such |
| If you are looking for a financial advisor, certified | | | | conflicts of interest so can focus on what's best for |
| financial planner (CFP), or other investment advisor, | | | | your portfolio. |
| you will want to interview several before you make | | | | * Will the advisor rebalance your portfolio periodically? |
| a selection. But even before that, you need to | | | | As the values of your investments change, so does |
| determine your personal financial goals. | | | | the balance between the different asset classes. |
| You will also need to decide what services you want. | | | | Rebalancing restores the desired balance. |
| Financial advisors offer various services, including | | | | * Will the advisor give you a quarterly assessment of |
| financial planning, portfolio management, estate | | | | your portfolio's performance? This is the way to |
| planning, insurance, college savings, retirement | | | | determine if adjustments need to be made. |
| savings, group benefit plans, business finances, | | | | * Will the advisor write an investment policy |
| foundation investments, stocks, and bonds. | | | | statement for you? The policy should detail your |
| How can you find a good financial professional? Many | | | | investment objectives and constraints. |
| people rely on references from friends, family, | | | | * Will the advisor show you a variety of investment |
| coworkers, or lawyers. Another way is to use | | | | models and mixes that can achieve your goals? A |
| Internet search tools that locate professionals based | | | | fee-only advisor has more options to offer because |
| on your needs and desires. Good search tools will | | | | his suggestions aren't colored by his or her personal |
| screen advisors before recommending them. Among | | | | financial gains. |
| other criteria, they will check advisors' qualifications | | | | * How will the advisor keep you informed of new |
| and records of any complaints. They will match you | | | | products? Finance is a rapidly changing field. |
| with an advisor who offers the services you need. | | | | Investment opportunities change frequently and you |
| Once you have a few names, whether from | | | | need to be able to respond promptly. |
| recommendations or a search tool, you can start | | | | Unfortunately, most people start looking for a |
| interviewing. | | | | financial advisor when they have financial problems. |
| Meet a potential advisor face to face before you | | | | By starting earlier, you can often avoid the pitfalls |
| make any commitment to work together. This is a | | | | that lead to financial crises. Your financial advisor will |
| person with whom you are likely to have a long-term | | | | help you create a financial plan that works for you |
| relationship. Make sure you can communicate | | | | and keep your plan focused. You can put your |
| comfortably. Find out some basic information about | | | | day-to-day financial worries aside when you have a |
| how the advisor works, such as: | | | | plan working for you. A good financial planner will help |
| * Does the advisor work on brokerage commissions | | | | you reach your goals, whatever they are. |
| or a fee-only basis? A financial advisor who works on | | | | |