What Questions Should You Be Asking Your Wealth Manager?

What Questions Should You Be Asking Your Wealth Manager?


As you prepare to retire, it's important to take the right steps toward securing your wealth. Wealth management is an invaluable tool to have as you navigate this process. By hiring a wealth manager — a type of financial advisor who works with high net worth individuals and families — you can benefit from a wide range of services, including financial planning, tax planning, estate planning, and cash flow management.

To ensure that you get the most out of working with a wealth management firm, there are many things to consider. From analyzing investment strategies to learning about the services that different firms offer, there are various aspects to consider. Here are some of the most important questions to ask your wealth manager:

What Investment Opportunities Do You Offer?

The first thing you should discuss with your wealth manager is their investment philosophy. Each advisor has their own view on active and passive management, and this influences the investment opportunities they provide to clients. Additionally, the way your investment advisor approaches investment management can have a significant impact on the financial decisions they help you make.

To get a better understanding of your advisor's overall approach, be sure to inquire about their investment offerings. It's also helpful to determine whether they use mutual funds, individual securities, or ETFs when managing clients' investments. Taking these key points into account will enable you to receive the best investment advice for your needs.

What Is Your Client Service Model?

As a client, this is one of the most critical questions to ask your wealth manager. Understanding how your advisor assists high net worth individuals with their financial concerns will provide valuable insight into what you can expect from working with them. Whether you're seeking assistance for wealth transfer or asset allocation, you want to ensure that your advisor of choice meets your needs.

Always keep your goals in mind when choosing a wealth manager. This allows you to compare  your needs against the services offered by the financial specialist. Because a wealth manager works with clients on a long-term basis, you want to confirm that they can appropriately serve you as you head into retirement and pursue your investment goals.

How Can You Minimize Costs?

When you meet with a wealth manager, you go in with the expectation that they'll help lower your costs. However, not all money managers take the same approach. Be specific when consulting with your wealth manager about minimizing costs, and remember to ask about these expenses:

  • Advisory Fees
  • Commissions
  • Taxes
  • Investment Expense Ratios
  • Trading Fees

Of course there is a cost to working with a wealth manager, but it is good to hear their explanation of how the costs of their services are offset by the value they provide.  By delving into the specifics of your financial planner's cost reduction/value enhancement strategy, you'll get a clearer idea of whether this specialist is the right fit for you. Remember to think about all types of potential expenses as you make a list of questions to ask your wealth manager.

What Is Your Experience Level?

When you hire any kind of professional, you want to be assured that they have adequate experience in their field. Don't be shy about asking your wealth manager how long they've been working with high-net-worth individuals such as you. Their answer will play a significant role in your decision to trust them for financial advice.

If you feel that your wealth manager's experience level matches your expectations and needs, you can work alongside them with a higher degree of confidence.

If you're looking for advisors who have answers to all of these questions to ask a wealth manager, contact Stolz & Associates, P.S. today. Our wealth management and retirement planning specialists are dedicated to helping high-net-worth individuals achieve their financial goals.