Why do I need a financial advisor or a tax advisor for that matter?

Question

I have a 401K , a Roth IRA and some savings. I am in my mid forties.

Answer 1

I would recommend an advisor to help put all the pieces together. Go to one that will not charge you for helping put a financial plan together. Make sure they are an independent advisor and be upfront for what you want them to help you with.

Tell them you want to manage your own money but you need help to accomplish your goals. Even if you think you don't need help the advisor may see something you didn't know or never considered.

Everyone needs help in the risk management department of keeping what you have in the case of an emergency. Independent advisors generally will guide you in the process to protect your life savings. If you ever feel they are trying to sell you something you don't feel comfortable about or you do not understand, find a new advisor to ask their opinion.

So what's to lose by having a professional in your corner helping with advice that they work on everyday. You just need to know the correct questions to ask the advisor.

By the way you will need an advisor when you do retire. Why not start to establish a relationship now. Ask for referrals from friends, family and people you respect.

Good luck at set those goals for 2007 high. It's going to be a great year.

Answer 2

I had a financial advisor for a while, but I found I could manage my investments myself. Nowadays you have access to things like eTrade and Merrill Lynch online where you can look into your accounts at any time. Usually your investment strategy won't change but every few years, and in that case you really don't need one, unless you change it on a regular basis. Of course, if I came into a lot of money I might hire one!

Answer 3

I don't think you need a financial advisor, unless your advisor can prove that he/she can outperform most other investors in the market. At http://www.top10traders.com you can see what stocks the best investors are buying and selling. Top10Traders is a free site that lets you create a portfolio of stocks with $100,000 in "play" money. Each day the site ranks the best performing portfolios, so you can see how your picks perform compared to other investors. You can also read posts on investing from the best traders, as well as share your own investing ideas. There is also a charting feature , so you can see how your portfolio performs compared to the S&P 500.

Here are this month's best traders:

http://www.top10traders.com/Top10Standings.aspx

Hope this helps.

Answer 4

If you hire a Financial Advisor as soon as you finish your MBA then you will become a Millionaire by the time you are 35 and you won't have to work anymore.

If you hire a Tax Advisor you pay less money to Uncle Sam.

Answer 5

you may or may not need one, but to say they are just parasites is ignorant

if you are doing well and think you are ok to go for retirement you probably dont need one, you are in your mid forties, how is your investment plan going? what types of funds are you investing in?

Answer 6

You don't need one... they are parasites and feed off of people's fears...