"General
Questions to Ask Wealth Advisors" Posted by Exogen at Stage3Alpha
10/29/2014
General Questions to Ask Wealth Advisors
Choose the questions that are most relevant for your situation
When interviewing a wealth advisor, it is important to ask the right questions and know how to interpret the answers. Here are select questions to get you started. I
In a formal selection process the family should come up with additional relevantquestions that will isolate important criteria.
Firm Background and Ownership
When was the firm founded?
When did the firm begin providing wealth advisory services? What was the impetus behind the creation of the multi-family office business, if applicable?
What is the firm’s organizational structure? If family-owned, what is the percentage of the family s interest?
....
Choose the questions that are most relevant for your situation
When interviewing a wealth advisor, it is important to ask the right questions and know how to interpret the answers. Here are select questions to get you started. I
In a formal selection process the family should come up with additional relevantquestions that will isolate important criteria.
Firm Background and Ownership
When was the firm founded?
When did the firm begin providing wealth advisory services? What was the impetus behind the creation of the multi-family office business, if applicable?
What is the firm’s organizational structure? If family-owned, what is the percentage of the family s interest?
....
What is the firm’s ownership structure? If
family-owned, what is the percentage of the family’s interest?
Does the firm develop an annual strategic plan? If so, what are primary initiatives for the firm in the next two years?
What is the firm’s stated mission?
Is the firm a Registered under the 1940 Act of the Securities and Exchange Commission? Please provide a copy of the firm’s ADV Parts I & II filed annually with the SEC.
Services
Describe your expertise in each of the following service areas:
wealth transfer planning
financial planning
foundation and philanthropic planning
investment management
performance analysis
tax planning and tax compliance
bill paying and cashflow management
client education process
What are your areas of greatest strength when providing wealth advisory services?
What new services/service enhancements are you planning to introduce in the next year?
What aspects of your business distinguish you from your competition?
Do you work with outside investment consultants to enhance your research?
Client Relationships
How many family relationships does your weath advisory business have? What is the distribution of clients by type (business owners, wealth owners, wealthinheritors, foundation, etc.)?
How many new clients have you added/lost in each of the past three years?
What percentage of your clients are full-service relationships? What services do you typically provide to the clients that don’t use your firm for all services?
How do you get new business? Do you have an active new business development effort?
What are current assets under management?
Please provide a breakdown of:
growth in new assets due to new client business over the past three years
growth in assets due to new assets from existing clients
loss of assets due to client attrition in the past three years
Provide references from three clients that have worked with your firm for at least three years?
What were the reasons why former clients terminated your services in the past three years?
Employees
How many employees do you have in each major department? Provide a breakdown of employees in the following categories:
senior relationship managers
investment professionals
tax and accounting professionals
philanthropy specialists
information technology professionals
marketing professionals
operational/back-office personnel
administrative staff
How is the typical relationship management team structured? And how is technical expertise provided to support the relationship team?
How are the relationship managers compensated? If they are paid incentive compensation, what is that basedupon? Do they share in firm profits?
What is the typical account load for a relationship manager?
Please provide the biographies for senior management and key personnel who would service my account.
Provide the number of employee hires and terminations/resignations for the past three years.
Client Servicing and Reporting
How do you most frequently communicate with clients?
Do you have regularly scheduled client meetings? If so, what is the frequency and who typically represents the firm?
How do you interact with the clients’ other key advisors?
Do you provide electronic versions of client reports? Do clients have on-line access to their reports?
What is the ?
Does the firm develop an annual strategic plan? If so, what are primary initiatives for the firm in the next two years?
What is the firm’s stated mission?
Is the firm a Registered under the 1940 Act of the Securities and Exchange Commission? Please provide a copy of the firm’s ADV Parts I & II filed annually with the SEC.
Services
Describe your expertise in each of the following service areas:
wealth transfer planning
financial planning
foundation and philanthropic planning
investment management
performance analysis
tax planning and tax compliance
bill paying and cashflow management
client education process
What are your areas of greatest strength when providing wealth advisory services?
What new services/service enhancements are you planning to introduce in the next year?
What aspects of your business distinguish you from your competition?
Do you work with outside investment consultants to enhance your research?
Client Relationships
How many family relationships does your weath advisory business have? What is the distribution of clients by type (business owners, wealth owners, wealthinheritors, foundation, etc.)?
How many new clients have you added/lost in each of the past three years?
What percentage of your clients are full-service relationships? What services do you typically provide to the clients that don’t use your firm for all services?
How do you get new business? Do you have an active new business development effort?
What are current assets under management?
Please provide a breakdown of:
growth in new assets due to new client business over the past three years
growth in assets due to new assets from existing clients
loss of assets due to client attrition in the past three years
Provide references from three clients that have worked with your firm for at least three years?
What were the reasons why former clients terminated your services in the past three years?
Employees
How many employees do you have in each major department? Provide a breakdown of employees in the following categories:
senior relationship managers
investment professionals
tax and accounting professionals
philanthropy specialists
information technology professionals
marketing professionals
operational/back-office personnel
administrative staff
How is the typical relationship management team structured? And how is technical expertise provided to support the relationship team?
How are the relationship managers compensated? If they are paid incentive compensation, what is that basedupon? Do they share in firm profits?
What is the typical account load for a relationship manager?
Please provide the biographies for senior management and key personnel who would service my account.
Provide the number of employee hires and terminations/resignations for the past three years.
Client Servicing and Reporting
How do you most frequently communicate with clients?
Do you have regularly scheduled client meetings? If so, what is the frequency and who typically represents the firm?
How do you interact with the clients’ other key advisors?
Do you provide electronic versions of client reports? Do clients have on-line access to their reports?
What is the ?
Client Education and Research
What kind of client education do you provide?
Do you offer formal seminars or other educational opportunities?
Do you publish research or newsletters for your clients benefit? Please include a list of research papers distributed to clients with the date of publication.
Pricing and Fees
Do you have a published fee schedule? If so, please provide. If not, please describe how you determine a fee for a new client.
Is there a minimum account size or minimum fee requirement?
How does the fee structure differ for different client types?
Do you offer any performance-based fees? As an alternative to basis points?
Do you accept soft dollars from any product providers?
Do you accept fees of any other type of service providers? If so, under what circumstances?
2 comments:
Exogen seems to be on our side. His/her postings are positive and welcome. What I don't get is the investing push, given that most are predicted to be broke in three years anyway. Most people with VNN,IQN, etc., seem to be older people, as many on TNT calls and others have admitted. WE AIN"T GOT MUCH LONGER TO LIVE ANYWAY ! So let's say you end up with 10 million after exchange. My OPINION is there is no tax on an exchange, a subject the guru's seem quite afraid of. As DC say's, bottom line, if you are stupid with 10 million, will you be less stupid with 20 ? 30 ? or 100 million ? Not likely. Will this ' spendthrift ' by some miracle have the presence of mind to lock it up where he/she simply can't spend it all ( trust ) ? Can an alcoholic avoid the liquor cabinet ? Is this where I should cover my ass, by saying I'm not a licensed adviser or an attorney [ typed with shaking hands ] ?
I will give to friends & family. Screw the " I need more money " mindset. If you are stupid, how likely is it that your CPA will help ? Not very. If the ones in charge of our government haven't been removed [ NESARA ], ALL OF OUR GAINS WILL BE STOLEN ANYWAY ! If you are smart or lucky, you have already chosen friends well, who don't collect fees and siphon off your ' investment.' Most of us already have way more shit than we ever needed, and we end up taking care of it { spending more money } and worrying about it. I wonder what the " Christians " will say to their god on judgment day when he asks why they consorted with Mamon and ignored his warning about Usury ? TYJM frj
I have another question to ask.
What if you know less than me about the "real" truth about "money", should I feel confident about it being safe with you?
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