How to Choose the Right Financial Advisor

Choosing a financial advisor is one of the more important decisions you'll make — this is the person who will help guide choices about your money, your goals, and your family's future. The good news is that finding the right fit doesn't require a finance degree. It mostly comes down to asking good questions and paying attention to the answers.

Start with how they're paid

Understanding how an advisor earns their money tells you a lot about how they'll work with you. Ask directly: are you paid a flat fee, a percentage of what you invest, commissions, or some combination? There's no single "right" answer, but you deserve a clear, straightforward explanation with no hesitation.

A trustworthy advisor will explain exactly how they're compensated — and won't make you feel awkward for asking.

Ask whether they put your interests first

Some advisors are held to a standard that requires them to act in your best interest. Ask whether that applies to them and what it means in practice. The answer should be confident and easy to understand.

Look for someone who listens

The best advisors spend more time listening than talking, at least at first. In an initial conversation, notice whether they ask about your goals and concerns, or launch straight into a pitch. You want a partner who understands your full picture before recommending anything.

A few questions worth asking

What kinds of clients do you usually work with?
How will we communicate, and how often?
What does the first year of working together look like?
How do you help clients stay on track when markets get bumpy?

Trust your gut

Finally, pay attention to how you feel. Do you understand what they're telling you? Do you feel heard, not pressured? A good advisor relationship can last for years, so it's worth choosing someone you genuinely trust and feel comfortable talking to.