Clients are From Venus, Advisers are From Mars

While enjoying coffee with a friend, she told me that she was considering changing financial advisers. As we were talking it brought to mind many of the frustrations I had when managing a financial advisory business.

It’s very hard to get clients and advisers on the same page.

My friend listed two main concerns. First, she said she didn’t think her investments were performing well. They certainly weren’t beating the market, and the investments she manages herself in her 401(k) had performed better.

Second, she didn’t feel like she had a good understanding of whether she and her husband were on track to meet their financial goals.

Both of these issues are the result of the adviser failing to clearly communicate with their client. I guarantee you, that if my friend does change advisers, her current adviser will be totally shocked.

Seeking Financial Advice

For investors seeking help, there’s all sorts of information available and questions to ask to help you select an adviser.

One piece of advice I’ve heard consistently throughout the years is that if you’re paying for advice, your investment returns should be better than the market, at least by enough to cover the adviser’s fees.