Can you manage your own investments as well a professional? Individual investors today have access to investment information and markets. But before you go it alone, here are a few things to consider:
• Individual investment performance generally leads to a lower annualized rate of return.
• Ensure you’re comfortable with numbers—proficiency in math is essential.
• You must be able to track your true performance of your investment portfolio.
• A trained, experienced professional can help you filter through your emotions—such as fear and over-optimism.
What services do financial advisors provide?
Even if you feel competent enough to develop a plan of your own, a financial advisor can act as a sounding board for your ideas and goals. They can also help in determining the state of your current financial affairs by reviewing your income, assets and liabilities; evaluating your insurance coverage and your investment portfolio; assessing your tax obligations and examining your estate plan.
Advisors will develop a plan to help meet your financial goals and make recommendations about specific products and services. Another bonus to having a financial advisor is time saved. They will monitor your plan, periodically evaluate its progress and adjust the plan to meet your changing financial goals and accommodate changing investment markets or tax laws.
Common Myths About Financial Advisors
• Most people don't need financial advisors. A qualified financial advisor has the expertise to help you navigate a steady path towards your financial goals.
• All financial advisors are the same. Some may specialize in one area such as investment planning, while others may sell a specific range of products, such as insurance. A financial advisor looks at your finances as a whole, and can help you with many of your financial needs.
• Financial advisors serve only the wealthy. Some advisors do only take on clients with a minimum amount of assets to invest. Many, however, only require their clients to have some discretionary income.
• Financial advisors are only interested in comprehensive plans. Financial advisors frequently help clients with specific matters such as rolling over a retirement account or developing a realistic budget.
• Financial planners aren't worth the expense. A good financial advisor may help you save and earn more than you'll pay in fees..
If you’re ready to partner with team of professionals who can review your financial picture and develop a plan to achieve your short- and long-term goals, put your trust in Busey Wealth Management. Click here to learn about our team.