Whether it’s building a comfortable retirement or establishing a legacy for your loved ones by maintaining a successful wealth accumulation strategy, we all have our financial advisors invest with specific goals in mind. How successful you are in attaining your financial goals depends on both your investment strategy and the people you trust to implement it.
A wealth diversification strategy should always take into consideration life’s bumps along the way, because as your needs change, your plan must change along with it — an important consideration for financial success. Yet balance is also important, so scrutinizing potential sources of risk is also necessary so that a plan can be modified to minimize any negative effects.
Equally important is who you have put your trust in to manage your future. For example, when considering a financial advisor or broker, there is a difference. Brokers are held to “fair dealing” standards of commerce and are subject to a “suitability” standard of care with their clients, meaning that their investment recommendations must be “suitable” for the needs of the client. Registered Investment Advisors and their representatives, however, are subject to a “fiduciary” standard of care with their clients. That means that their investment recommendations must be in the best interest of the customer and the customer’s interests must come first. CERTIFIED FINANCIAL PROFESSIONAL™ is an example of a designation based on curriculum that emphasizes the fiduciary standard.
Most of all, be sure the investment advisor is someone you identify with. The more comfortable you feel with your advisor and the more commonality you can establish, the easier it will be to build a long and trusting relationship. Remember, you are in this for the long haul, so you want the relationship to be strong.
If you have not gone over your long-term goals in a while, make the time. Investment strategies can be the most important, and the most overlooked, responsibilities you have regarding your future. If you need a CERTIFIED FINANCIAL PLANNER™ professional to help you with these strategies, then visit Mooney Lyons at mooneylyons.com, or call us at 1.847.382.2600. We’ll help you realize realistic wealth accumulation strategies that seek a successful and secure retirement.