Do I Need a Financial Advisor?


Have you questioned whether you can take on managing your finances yourself? Do you only have a 401K and allow the company assigned by your employer to manage the account? If you have an advisor already, is he or she the right partner for you? If you’re unsure if you need additional financial assistance, keep reading!


1. The Right Amount of Risk

Good financial advice will help increase the probability of achieving your investment & retirement goals. While people have been successful without professional investment advice, we see people teetering on the edge with undue risk and one bad move away from compromising their retirement. People take “too much” and “too little” risk relative to their age and what makes financial sense.


2. You Control Your 401K

Some investment advisors provide hourly investment advice. This option is most beneficial for those who have a significant amount of their assets in their employer retirement plan. Typically, the investment company that sets up the retirement plan does not offer the top investment advisors to advise on the company retirement plan. The original purpose of the 401k plan was to transfer the risk to the employee. Thus, keep in mind the investment company attached to the retirement plan is not monitoring & tracking your account. You are responsible for all investment decisions in your account.


3. A Financial Advisor with ROI

It takes hundreds of hours per year to properly monitor and research investment options; that’s if you know what you’re looking for. While investment advisors may have varied investment knowledge & backgrounds, a worthwhile investment advisor will help you avoid major mistakes that exceed the cost of such advisors in the long-run.


4. What Goes Up, Must Come Down

When the stock market rises such as it has over the last 8 years its tough to lose on any investment decisions. As the market as historically proven cyclical, be sure you know how to handle a downturn as well as a bull market.


5. Choosing the Right Partner

You may already know you need a financial advisor and you may already have one but the harder question to answer is: who is the right partner for you? Start by looking at credentials and experience. A Chartered Financial Analyst (CFA) designation means a financial advisor with the highest level of education, experience and business acumen. Take a look at our post about 5 Questions to Ask Your Financial Advisor for more criteria to use in this important decision.


Don’t hesitate to contact us with any of your financial questions.

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Kroon & Mitchell
29 Pearl Street NW, Suite 245
Grand Rapids, MI 49503
Email: inquire@kroon.us
Phone: (616) 356-2002
Fax: (616) 356-2051
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