We are currently in our 30s and our planning for our future. Would like to have someone to recommend what we need and how we go about doing it. We do not have a lot of assets and investments that we would like someone to manage. So we are not looking for a long term relationship but more of a one-off consultation.
What we expect is someone to make recommendations on a IRA, identify any insurance products that we may need, etc etc. Would prefer someone who isnt a broker or RP who is looking to sell us on of their products but a more objective advise on the best options avbailable.
#1 by Trick or Treat! on July 5th, 2010
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What you want isn’t all that easy to find. Brokers and investment counselors are paid to sell you investments and, although they have some very strict regulations to which they must adhere, they still have to make money. You can get an independent financial advisor, but they don’t have access to the investments you need. The best thing to do is educate yourself.
Consider three things. First, take a class in financial planning to help you get started with the “pyramid” concept and cut through some of the marketing BS. Second, get started with some mutual funds at a high performing discount wholeseller like Fidelity or Janus funds. It will spread the risk while you learn more about how to invest. You can find them online. Third, find a person you trust in the business and get to know him or her for awhile before you make any purchases. Have them make a couple of suggestions about how to manage your WHOLE portfolio instead of individual investment purchases. Check how their recommendation jive with each other. You’ll quickly find out who to trust,
#2 by Homeowner on July 5th, 2010
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call up Vanguard. They will advise you. 1.800.662.SHIP
#3 by The answer man on July 5th, 2010
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Good Luck!!! Every financial advisor that I have ever ran across makes a majority of their money through the products that they sell. Even a fee-based financial planner will more often than not lose money on the advice that is provided when you take into consideration that industry average marketing cost to acquire a client tops $600 and a good average for an advisor is one client a week. This would mean to make a small salary of $30,000 per year the advisor would need to charge a minimum of $1,100 per financial plan written just to break even.
#4 by derek on July 5th, 2010
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Try a fee based advisor. Keep in mind that they will charge you what most any other professional might (several hundred bucks).
There are lots of good self help books out there that you might want to read. Tons of websites also.
If you want specific, personal advice from a professional, it’ll cost you (obviously).
My $.02 opinion:
Pay off high interest debt
Develop a realistic budget
Roth IRA, 401k (invest these dollars in good stock mutual funds)
life insurance, disability, health & an umbrella policy
estate docs (include a trust provision in your will if you’ve got kids)
529 accounts for college savings (if applicable)