Advice on hiring a financial advisor?

[safari]

Re: Advice on hiring a financial advisor?

This probably should be in its own thread. To answer your question, Fidelity is just fine. Lots of people like it. I personally prefer Vanguard, but there is little difference in my opinion. If you have $100K to invest, by the way, you can get "Admiral" shares through Vanguard. That drops your expense ratio to 0.09%.

I wish I had $100K to invest

By the way, with $100K minimum I can get Fidelity Advantage Class shares of Spartan 500 Index Fund with 0.07% expense ratio http://personal.fidelity.com/product...html?315912824

Thanks for your reply Lux, I think I am leaning toward Fidelity. I have my 401k with them and like their interface.

[Ima saver]

Re: Advice on hiring a financial advisor?

I only have one fund at Fidelity and that is Magellan. When I opened it, it had a 3%load. I was not aware that Fidelity was now load free. I guess they had to compete with Vanguard.

[LuxLiving]

Re: Advice on hiring a financial advisor?

Safari -

FSIIX - SPARTAN INTL INDEX INVESTOR CLASS up 26.30% since our initial purchase in July of 2005.

I am as they say - H.A.P.P.Y.

[meaghanchan]

Re: Advice on hiring a financial advisor?

I wish I had $100K to invest

By the way, with $100K minimum I can get Fidelity Advantage Class shares of Spartan 500 Index Fund with 0.07% expense ratio http://personal.fidelity.com/product...html?315912824

Thanks for your reply Lux, I think I am leaning toward Fidelity. I have my 401k with them and like their interface.

Fidelity and Vanguard are both great companies.

One thing to consider is that Fidelity's Spartan 500 Index Fund is something of a 'loss leader' for them (ie, they offer it hoping that investors will buy other funds with higher expenses and make money for their managers later). If you invest in only one fund, the Spartan 500 would get my vote- if you're planning on diversifying later (and want to stay within the same company) you may want to compare expense ratios between similar funds offered at Vanguard and Fidelity.

[safari]

Re: Advice on hiring a financial advisor?

Safari -

FSIIX - SPARTAN INTL INDEX INVESTOR CLASS up 26.30% since our initial purchase in July of 2005.

I am as they say - H.A.P.P.Y.

Does Fidelity charge you any annual account maintenance fees or anything else of that sort? I am thinking about investing $20K into Spartan 500 Index Fund and then adding $500 to it every month. Will I have to pay any fees or no?

[gavinmccallister]

Re: Advice on hiring a financial advisor?

Who need's a financial advisor when you have the people @ www.savingadvice.com

[scfr]

Re: Advice on hiring a financial advisor?

Do you currently donate to PBS (Public Television)? If so, then you may be able to get a "free" financial plan (either "Smart Planner" or "Smart Investor") from Jonathan Pond if you donate during pledge week. Check with your local PBS station or with Mr. Pond's web site (www.jonathanpond.com).

[Ima saver]

Re: Advice on hiring a financial advisor?

I would never pay anyone to invest my money, it is too easy to do myself.

[LuxLiving]

Re: Advice on hiring a financial advisor?

Safari - we have never incurred a fee at Fidelity SO FAR - we have also never taken any money out of that account so that may be why. However, in doing some selling and repurchasing into other funds during a rebalancing we did not incur any fees either. YMMV. I think it may depend some as well on the amount of money you have invested with them. We are in their lowest cost category mainly because while it is a big amount to us, I think to them we are small potatoes at this juncture. At any rate there have been ZERO fees So Far.

Ima - visiting a financial planner or advisor isn't to get them to invest your money for you, but to suggest ways (flat rate planners anyway) that you might best use your assets to meet your targets. They can suggest things like perhaps a trust of some sort, or a way to organize your business to increase your tax deductions, why a life insurance policy issued a certain way might be better for your situation than one owned by you against your husband's life, etc. They aren't to invest your money FOR YOU, but to aid you in making the very most you can out of your financial life. I think you already know that, but like making decisions for yourelf. I do too!! ...but while I haven't seen one YET, I do intend to do that at some point in the near future. They may have some very good ideas and information that I'm just not aware of. Thinking that two heads may be better than one and I think they could explain either the opportunity costs and pitfalls of certain methods of financial planning.

AND, I'm still concerned FOR YOU that you don't see the need for long term care insurance. I know you said you are healthy, so am I - as a horse, but am planning on long term care insurance anyway. To my way of thinking it is better to have it and not need it, than to need it and not have it!!

[Ima saver]

Re: Advice on hiring a financial advisor?

My dh comes from a family that does not believe in insurance and he does not want to pay for something he may never use. We spend $90,000 on health insurance and never got a dime out of it. He was tired of working to pay insurance premiums!

When Edward Jones office came to town, I became one of their customers so that i could buy stock. They were constantly advising me to buy mutual funds that they sold. They all had 5.5% loads. My mutual funds were no load, and I knew more about investing than they did.

If you have a lot of money you probably would be wise to spend a few dollars and talk to someone in the field. I have never felt like we make enough to have a financial advisor.

[LuxLiving]

Re: Advice on hiring a financial advisor?

Ouch Ima, sounds like you had a run in with a mutual fund salesman and that is quite different than what certified financial planners are supposed to be doing for you.

'Financial advisor' can be a whole lot different things these days - but if someone was looking to shop for somebody to help them see the big picture I think a flat rate Certified Financial Planner would be the way to go. Someone who has NO PRODUCTS to sell!! I think this industry is going thru it's own growth stages right now and more and more people are getting the proper education to help you take an overall look at your financial life and not necessarily be trying to put you into their product du'jour!

Health insurance? $90,000 - triple ouch - I'd be leary too then!