10 Questions (and Answers) to Ask Prospective Financial Advisors
The Certified Financial Planner Board recommends asking your financial adviser these 10 questions. They’re intended to give you the information you need to choose the right financial partner. We think this is such a great idea. After all, you’re entrusting decisions about your financial life and hard-earned money to them. Here are The Coleridge Group’s answers to these questions (see our answers to even more questions suggested by The Wall Street Journal).
What are your qualifications and credentials?
Our team consists of three MBAs, one Ph.D., and one CFA charterholder and CFP®. All advisors have also met the Uniform Investment Advisor Law Exam (Series 65) licensing requirements. In addition, we stay updated with the latest industry practices by being members of various associations including the CFP Board, CFA Institute, NAPFA, and the XY Planning Network.
This education, training, and experience enables The Coleridge Group to be well versed in the areas of financial life planning and investment management. We have a solid understanding of personal finance, behavioral finance, portfolio construction and financial life planning.
What services do you offer?
We offer financial life planning services and investment management services.
Financial life planning is a process of aligning our client’s money and resources to their values and what is truly important to them. We firmly believe that money is a tool (one of many) used to create a life that is fulfilling and meaningful. We work to guide our clients in designing an exciting and inspiring future. Then, together we use that vision as a map for arranging and implementing financial strategies with intention and purpose.
Our approach to investment management is based on the principles of diversification, low-cost portfolio construction and tax efficiency. We are not market timers nor do we try to outguess the market or chase past performance. We let the markets work for you to help you achieve your goals.
Will you have a fiduciary duty to me?
Yes! But our definition of fiduciary duty is stricter than what is common in the industry. While the industry’s definition of acting in the client’s best interest centers around disclosure, compliance and recommending appropriate products, we feel that those elements are necessary but not sufficient. As true fiduciaries, we feel that we need to truly get to know you and your interests before we are comfortable giving you financial advice. We do this with a personalized discovery process where we learn about your needs, concerns, values, and aspirations. Only then will we be confident that our recommendations are in your best interest.
What is your approach to financial planning?
We offer comprehensive financial planning. This means we help you with cash flow management, investment management, college funding, insurance planning, retirement planning, tax planning and estate planning. We follow this approach because we understand that all aspects of your financial life are interconnected and dependent on each other. Once our recommendations are made, we partner with your team of advisors (CPAs, attorneys and insurance agents) to help you implement the plan.
What types of clients do you typically work with?
We have no minimum asset requirements and are virtual, so we can help people from all walks of life and from anywhere in the country. We like to work with clients who are curious and open to exploring a vision of their best life.
Will you be the only advisor working with me?
As lead advisor, you will primarily be working with me (learn more about me). But you can always reach out to any member of the team to help you answer any questions.
How will I pay for your services?
Our fees are based on the service(s) you receive from us. Our Ongoing Financial Life Planning fees involve a one-time upfront charge plus a monthly subscription fee. Our investment management fee is based on the value of assets under management and is calculated using a tiered rate. See question
How much do you typically charge?
We believe that transparency about our compensation is essential so we always have our fees listed on our pricing page.
Do others stand to gain from the financial advice you give me?
Absolutely not! We are fee-only advisors, which means we are only compensated by you, our client. We don’t receive commissions, kick-backs or any other third-party compensation nor do we pay them to others. When you work with us, you’re paying for our unbiased advice based on what’s best for you. How we structure your financial life plan and what we recommend for your investments are intended to maximize your well-being and nobody else’s.
Have you ever been publicly disciplined for any unlawful or unethical actions in your career?
We have never been disciplined for any unlawful or unethical actions. In fact, The Coleridge Group has been retained numerous times by the Securities and Exchange Commission to provide expert witness commentary on the fiduciary duties of investment advisors. Here is our Form ADV so that you can get to know more about our background.
Like what you read about us and our approach to financial planning? Click below to schedule a free intro call today.
