We believe working with a financial professional is key to a successful financial plan; but working with several financial professionals at the same time—not so much. This scenario often becomes a case of too many cooks in the kitchen.
If you work with several different financial professionals, are their strategies coordinated? Are they all aware of what the others are doing? Who’s looking at your whole financial picture?
Avoiding potential fumbles is why it’s wise to select a primary financial professional—someone who can take a broad view of your financial goals and strategies. In a sense, your primary financial professional is (to switch metaphors) the quarterback on your team. He or she coordinates between your accountant, your attorney, and any other financial professionals with whom you work, leading the team toward your financial goals.
Working with multiple financial professionals can complicate things in other ways, too. Multiple financial relationships can also mean more statements, more meetings, and potentially even higher fees.
In fact, investors who were working with multiple financial professionals and consolidated their assets with one advisor said they:2
• Found it easier to monitor their overall investment performance.
• Had lower investment fees/expenses.
• Got better financial advice.
• Felt more satisfied with their financial situations.
If you want to learn more about consolidating assets with a single financial professional. Visit consolidateassets.com, and download our legacy planning tool, family financial review, and a beneficiary planning checklist.
2 Cogent Research, May 2013.
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Principal Funds, Inc. is distributed by Principal Funds Distributor, Inc.