The End-of-Year Tune-Up: Evaluating Your Financial Advisor’s Performance
As the year winds down, it’s the perfect opportunity to reflect on your financial goals and evaluate your relationship with your financial advisor. Whether you’ve been working with the same advisor for years or are just starting a partnership, the end of the year offers an excellent time to seek a second opinion, re-assess your plan and make sure your financial strategy is still aligned with your evolving needs.
If you’ve been questioning whether your financial advisor is truly meeting your goals—or if you're simply looking for a fresh perspective—it may be time for a "financial tune-up." Here are some important questions to ask yourself as you assess your current advisor and decide if it’s time to make a change.
1. Does My Advisor Really Listen To Me?
When working with a financial advisor you must constantly ask yourself: how well do they really listen to me?
A truly engaged advisor takes the time to understand what you want—not just from a financial standpoint but from a holistic, lifestyle perspective. Your goals, your values and what matters most to you should be at the center of the strategy they design. If you feel your advisor doesn't truly understand your objectives or isn’t incorporating your wishes into the plan, it’s time for a serious evaluation.
Ask yourself:
- Do I feel heard and understood when I speak with my advisor?
- Are my financial plans designed specifically around my unique situation or are they one-size-fits-all?
- Are they willing to pivot as I change my mind about different things in my life?
If you ever feel like you’re just another number or if your advisor pushes you toward strategies that don’t align with your priorities, this is a red flag.
2. Is My Financial Advisor’s Approach Aligned With My Goals?
Key to evaluating your relationship with your advisor is considering whether they understand and are committed to your long-term goals. If you are experiencing major life transitions, such as a change in business interests, family dynamics or estate planning needs, it's crucial that your advisor is proactively adjusting your financial plan to address those changes.
Ask yourself:
- Is my advisor taking a holistic approach to my finances, considering everything from tax planning and investments to estate planning and charitable giving?
- Does my advisor pause to ask me about my goals or if they have changed from our initial conversations?
- Have they been proactive in helping me achieve my financial goals?
If you feel like your goals have shifted over time and your advisor hasn’t adapted, it may be time to start a conversation or seek a second opinion to ensure your financial strategy is still aligned.
3. Does My Advisor Feel Authentic and Transparent?
Building a solid, trusting relationship with your financial advisor depends heavily on their transparency and authenticity. Do you feel your advisor is being honest, or are there moments when things feel too “salesy” or unclear?
The kind of financial advisor most folks want will be upfront about fees, risks and the reasons behind specific investment decisions. If there are any red flags about transparency or if you feel they’re not truly showing you the whole picture, it’s worth re-evaluating your relationship.
Consider asking:
- Are the advisor’s fees and compensation structure clearly explained, and do I feel comfortable with them?
- How open is my advisor about potential risks in my financial plan or investments?
- Do I feel informed and included in the decision-making process?
Authenticity is crucial. If you ever feel like you're not getting the full picture or if communication feels forced, that’s a sign to dig deeper.
4. Do I Feel Like I Am Getting A Full Team Behind Me?
A great financial advisor doesn’t just operate alone—they offer the expertise of a full team to help you achieve your goals. Do you feel like you're getting access to a team of professionals who can address all aspects of your financial life?
Whether it’s providing multiple members of their financial team, introducing you to tax strategists, estate planners or other types specialists in areas like insurance or even charitable giving, you should feel supported by the team that your advisor helps bring to the table.
Ask yourself:
- Is my advisor bringing in other experts when needed, or do I feel like I'm doing this alone?
- Am I getting comprehensive advice that addresses all areas of my financial life?
If your advisor seems to be managing everything on their own without drawing in the necessary expertise, it might be time to consider working with a firm that brings together a full team of specialists to support your wealth.
5. Do I Feel In Charge of My Financial Future?
You should always feel like you are in control of your financial future, with your advisor serving as your trusted guide. Do you feel like you're making the decisions, or are you just going along with what your advisor says?
A good advisor empowers you to make informed decisions and ensures that you fully understand every aspect of your plan.
Ask yourself:
- Am I actively involved in the decisions that affect my financial future?
- Does my advisor provide me with the information I need to feel confident in my choices?
If you feel that your advisor is making all the decisions for you without your input or understanding, it may be time to look for a more collaborative partnership.
Time For A Financial Tune-Up?
If your current advisor isn’t meeting your needs, or if you’re just looking for a second opinion, the end of the year is a great time to explore other options.
We recommend taking the time to interview a few new advisors to see if they offer the expertise, service and approach you're seeking. Ask about their experience with clients who have wealth similar to yours and make sure their strategies align with your goals.
If you’re looking for a second opinion or simply want to discuss how we can help you and your family achieve your financial goals, we’d love to connect with you. Feel free to schedule a complimentary Financial Consultation with me today.
