Today, it's easier than ever to go online and get all kinds of information about the latest mutual funds or other investment opportunities. Plenty of people use self-serve retail brokerages and apps to manage a portfolio by themselves. But while there are benefits sometimes to going it alone, there are certain situations where having a dedicated financial advisor you can sit down with in person might be a good idea. Here's why you might want to form such a relationship with someone today.
You Want a Comprehensive Plan to Reach a Specific Goal
Maybe you just had a kid and it's time to start thinking about saving for their college tuition. Maybe you are behind on your retirement savings and want to reassess your portfolio and set new targets going forward. Do you want to retire by a specific age? A financial advisor can discuss the details of whatever your most important goals are and help you pick a plan of action for going forward. It can also help to have positive reinforcement from someone that you are making the right choices as you continue to invest.
You Want to Form a Long-Term Plan for Your Business
You can hire a financial advisor for plenty of additional reasons beyond investing in the stock market. Do you have a new business and you want to make sure that you get started on the right foot? A financial advisor can look at your early balance sheet and make suggestions that will minimize risk and encourage growth. If your business has a surplus amount of cash, your financial advisor could help you earn interest while keeping the cash easily accessible for business emergencies.
It's Time to Start Planning Your End Game
You've done everything right over the last several decades, and you are quickly approaching the moment where you can retire and start cashing out. Keep in mind, though, that people today are living longer lives than ever before. That nest egg you've built up might have to last you a considerable number of years. Your advisor can help you game plan when you should start withdrawing from which fund, and they will keep you aware of what the tax ramifications are for each of your decisions. As you continue to age and your funds begin to deplete, your advisor can provide assurance that you will continue to be comfortable during your final years.