How much will you get paid?
That’s a question that is direct and should be asked. There are so many products/services in the financial services industry: fee-based accounts, separately managed accounts, mutual funds, annuities, insurance, structured products, etc. Don’t get lost in those weeds. Ask questions. Understand what your getting and how much it costs.
Next time you are presented with a shiny new idea, be sure to ask: How much will you get paid?
It’s your financial advisor’s responsibility and obligation to do what’s best for YOU. Knowing the answer to the question above is helpful in understanding whether their financial advice has YOUR best interest in mind. After all, you are sharing your personal financial information – you deserve to have a clear understanding of what they stand to make from the relationship. Their answer may surprise you.
Do you know how meaningful your relationship is to your financial advisor in dollars and cents? Is that figure transparent? Hopefully, you’re working in a fee-only environment with complete transparency. If not, it’s time to ask your advisor the question – How much will you get paid?