Recommendation for Financial Advisor

Funny I was thinking about asking the same thing, but for North Alabama. And I didn’t inherit $150k

 

What do you need a financial advisor for?

 

Check with your bank or CU, they usually have a division that handles investments. A lot of them are associated with LPL financial, which is a reputable company.

they should ask you a ton of questions and give you options based on the interview. If you feel like they are steering you in a direction too hard, don’t feel bad about walking. Also, don’t be afraid to ask about fees. Most FA’s I’ve met just want to do what’s beat for you, but there are bad ones out there.

 

I am not sure what LPL financial fee structure is, but most FAs charge a 1%-1.5% for assets under management, which in my opinion is highway robbery.

If all you want to do is grow your money in the stock market, just put it in a simple 3 fund portfolio in Vanguard or Fidelity. Adjust your Stock to bond ratio depending on your age, or how soon you think you will need your money, and that is it. FA create over complicated portfolios that never beat the market, and often is very costly if you compound your AUM fee over the years.

Just a simple calculation. If you put your 150k in the stock market, and earn on average 8% a year, the it would grow to $333k after 10 years. But if you have an FA that charges you 1%, then it would only grow to $302k. Is their advice worth $30k? Worse yet, if you leave it for 20 years, that 1% is worth a staggering $140k difference ($742k vs $608k).

I suggest you just talk to Vanguard or Fidelity, and they usually even have complementary financial advisors that could give you basic advice on how to invest your monies.

 

Agree 100%. This is what I did a few years back and I've had comparable returns as the FA we use to manage our businesses PSP plan and IRA accounts. Vanguard even has target date funds that adjust stock to bond ratio as they age. They also seem to have enough different type of funds to meet different investment goals, growth/income and tax deferred, you can move your existing ones there if you prefer. Most of their funds are also very low cost compared to using a professional.

 

You havent revealed any other details on your situation. Assuming it is simple.... I generally agree with those above. You could slide all that into several ETFs that have razor thin expenses. For example: VTI, which is Vanguard Total Stock Market Index Fund... with a cost of just 0.03%. Or VOO for their S&P500 ETF, or VXUS for their international ETF. Something a little volatile could be their VYM which is their High Yield Dividend ETF.

You should definitely shoot 78 a PM and start there.

 

I agree with the smart guys above. Broad market low fee index funds over FA any day. Occasionally when the market isn’t doing well for me I think of getting an advisor, then see the fees and snap out of it.

 

And you’d have underperformed by 1,000 basis points or more owning broad market index funds over the past 12 months.

It pays to know when you know. It makes sense to throw in the towel when you don’t.

 

Do you guys have any suggestions on any apps (or websites but preferably an app) that is solid for tracking stocks and funds (just tracking, not trading)?
I don't care for the ones that overcomplicate the layout and try to squeeze every single number into one small screen

 

It's a website not an app, but I like Marketwatch. It's free and you can easily set up a watch list. Often has some interesting articles. My bro-in-law is an FA with Raymond James and he uses it all the time.

 

Looks like they have an app and does all the same. I haven't downloaded it yet, but I'll check back when I do.

 

The app is exactly what I was looking for.

Thank you sir.

 

My pleasure.

 

I never noticed that. Thanks

 

Just use a laptop of desktop when dealing with financials....otherwise your retirement accounts may end up resembling one of the Donkey's late night bourbon filled post...

 

I do, when actually looking to make adjustments, etc.

For this I was just looking for simply tracking a fund or stock. Marketwatch provides enough information without cluttering the screen. I just like to see how things are doing with the stocks/funds, without having to always go in and out up the account.

I use my personal laptop for work and home stuff and have the computer separated as different "users" for each, so it is a pain in the ass switching back and forth during the day when working

 

Gottcha...I thought you might be one of those guys who do everything on their phone....In my case my phone is 9 years old and is useless as tits on a Bull other than looking at it when it rings to see who I'm not going to be talking to..

 

I'm on here 95% of the time on my phone and I do a lot on the phone, but there are certain things that the laptop is just better.

I need to get another laptop, but what I want aint cheap

 

That is true, last year was an outlier of a year for returns and if you had your money in the right stocks would've crushed the index. That doesn't happen all the time. Most FAs (what this thread is about) wouldn't have done a damn thing to position for the big breakout and would have kept you invested in funds. If your FA is different then please share with the OP.