4 Essential Questions to Ask Your Financial Adviser

Jun 19, 2024 | Advice, Financial Planning, SJB Global, SJB Service

4 Essential Questions to Ask Your Financial Adviser

Jun 19, 2024 | Advice, Financial Planning, SJB Global, SJB Service

Asking the Right Questions

Financial planning during tumultuous times is always challenging; however, it is the perfect moment to review one’s personal financial health. The instability of the current economy adds to the complexity of managing personal finances.

You need to ask the right questions!

If you are scheduling a meeting, here are four questions you should ask your financial advisor now.

Is My Portfolio Too Risky?

Economic downturns often cause investors to panic. Stock prices can plummet dramatically, reducing the value of a portfolio significantly in just a few days. Reacting to such events with sudden, unnecessary adjustments to your portfolio may not be advisable. Instead, ask your financial advisor to review your portfolio’s composition and your current circumstances.

Everyone has a different risk tolerance, and your financial advisor will assess whether your current portfolio aligns with yours. Your investments should not be causing you sleepless nights.

As retirement approaches, investments typically shift toward more conservative options to provide greater security. If your portfolio hasn’t been rebalanced recently to reflect the passage of time, now is a good opportunity to review and adjust your investment choices to ensure you stay on track to meet your objectives.

Will My Withdrawals Be Affected?

If your investments provide additional or retirement income, it’s crucial to ask your advisor how market downturns might impact your withdrawals.

Evaluate your income requirements with your advisor during these times. You may find another wealth source to draw from temporarily, allowing your portfolio to recover. Your financial advisor can review your portfolio’s composition to ensure withdrawals are taken from the best-suited assets and discuss any necessary changes.

How Can I Improve My Financial Situation?

Many people face financial hardships, including job losses, supporting adult children, business declines, or reduced rental property income. If your financial situation has changed, communicate this to your financial advisor. A full assessment can identify strengths in your position, enabling your advisor to formulate or adjust a plan to support areas needing more attention.

Having a clear plan provides comfort and reassurance that you are on the right path to financial security and success.

What Is the One Thing I Should Do Right Now?

Asking this question prompts your financial advisor to identify a single priority, the most critical action you could take based on the current situation. This approach is beneficial if your advisor has discussed several options, as it forces them to prioritize their recommendations and provides clarity on which adjustment may have the largest positive impact. It creates an opportunity for focus, which is essential for solid decision-making.

Our Dedicated Advisors Are Here for You

At SJB Global, we understand the challenges you face and are here to help you navigate through these uncertain times. Let us help you achieve financial stability and success.

This communication is for informational purposes only based on our understanding of current legislation and practices which are subject to change and are not intended to constitute, and should not be construed as, investment advice, investment recommendations or investment research. You should seek advice from a professional adviser before embarking on any financial planning activity. Whilst every effort has been made to ensure the information contained in this communication is correct, we are not responsible for any errors or omissions.

 

Schedule an Obligation-free Call With an Adviser

By scheduling an appointment with an adviser they will reach out to you at your requested time. 
Personal advice, whenever it suits you.

Schedule an Obligation-free Call With an Adviser

By scheduling an appointment with an adviser they will reach out to you at your requested time. 
Personal advice, whenever it suits you.