Selecting a Wealth Advisor

Your interests and goals always come first.

Aren’t all advisors the same?

Advisors come in different shapes and sizes, ranging from large firms and brokerage houses to smaller boutique firms, like Cabot, and small independent advisors. In general, choosing one over the other shouldn’t matter so long as your needs are being met and the service is tailored for you. The following are some of the questions that may be helpful when interviewing a perspective advisor.

Can your firm handle complex situations?

When selecting an advisor, it is important to have confidence in their ability to provide quality professional advice. Your own advisor need not be an expert in every area related to financial planning. They should, however, have a basic understanding of the general concepts and have the resources to find more specific information as needed. It is generally important to look for an advanced degree or specialization or professional credentials, such as CFA® or CFP® designations from one or more of the individuals who will make up your team. These credentials show that the advisor has committed significant time to gain the knowledge necessary to provide solid, sound guidance. Our team at Cabot consists of several Certified Financial Planner™ professionals, CFA® charter holders and Certified Public Accountants.

What services does your firm provide?

This question is crucial if you want to ensure that the advisor you choose can provide the depth of services desired or needed based on your own situation. For instance, as part of our suite of wealth management offerings, we provide tax planning and preparation, estate planning, retirement planning, asset allocation, risk management and evaluation of alternative investments. Not everyone needs help in all of these areas, but if we were not adept at tailoring our service to fit the client, no one would be happy. Any advisor you choose should be able to create a specific set of services and tailor meeting agendas around your needs. If they seem to have their own agenda, move on and find a better fit.

How often will we meet?

At Cabot, we feel that there is no substitute for consistent face-to-face meetings. Our wealth advisors often glean more from their clients’ expressions and body language than from the actual dialogue. To that end, we would recommend finding an advisor who will meet with you on a regular basis and as often as necessary to provide you with peace of mind. A strong financial relationship is in-depth and takes time to build; therefore, it cannot be accomplished through one or two meetings. Furthermore, open dialogue is essential to keep your plan on track. Good advisors proactively contact their clients and are hands-on to insure that their clients’ financial plans are properly positioned. There is no substitute for a thorough, proactive planner.

How are you compensated?

Perhaps the most important questions you can ask an advisor is how they are compensated. Cabot, like many other firms, sees an inherent problem with selling products. We want our interests to always be aligned with those of our clients. This avoids conflicts, but more importantly, allows our clients to understand that the advice we give is for their benefit, not for some hidden agenda.

To find out if our firm is a good fit for you and your family, contact us today.

Cabot Wealth Management

216 Essex Street
Salem, MA 01970