Financial advisors are usually hired by clients after an introductory meeting. These meetings are a standard part of doing business for financial advisors and are typically free to potential clients. They are a time for you and the advisor to get to know each other, to ask questions and to determine whether there is a good fit between you.

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If there isn’t a good fit, it’s perfectly acceptable to walk away. A financial advisor is of greatest value to their clients if they have a comfortable working relationship. It’s roughly analogous to the relationship between you and any other qualified professional who sees to your needs, whether that’s a lawyer, a doctor, a personal trainer, or a golf pro. 

How To Prepare for an Introductory Meeting

While the introductory meeting is a time for you to ask questions of the financial advisor, the advisor also needs to obtain some information from you.  It’s therefore advisable to prepare for this meeting.

First, take the time to think through your goals on several levels. On the most immediate level, what brings you to a financial advisor right now? There can be many answers to this question. For some clients, it’s a life event, such as nearing retirement or a marriage that leads them to want more comprehensive financial advice. Other clients have specific concerns, such as Social Security planning or growing or selling a business. Others are looking for investment advice, how to manage cash flow for a lifetime of income, or even how and what to pass on to whom. 

Second, itemize your life goals, both for the short and long term. All financial advice is oriented around your specific goals and the achievement of them. When you consider it, that makes sense. Your goals might be very different from your brother or your neighbor. Short-term goals are usually considered those that can be achieved in a year. Long-term goals are those that take longer than a year to achieve. Goals for the long term may include what you see yourself doing 10, 20, 30, 40, or even 50 years from now.

Consider your personal life, your family life, your business life (if you run a business), your plans for retirement, your values, and your desire to be part of multiple communities (those based on values, those based on geography, and those based on interests). All of these areas can have multiple goals.

Third, review your current situation with an eye to discussing it with a financial advisor. Generally, comprehensive financial advisors work with the following broad areas.

• Your current financial situation (income, expenses; any concerns about the flow of income or expenses)
• Your investments – what investments you have, any concerns about them, your risk tolerance
• Your retirement plans – what retirement portfolios you have, any concerns about them, plans to retire
• Risk management – insurance for your assets or the risks you face
• Your estate plans – wills and trusts for the disposition of your assets, plus end-of-life planning

They may also advise on the following financial concerns:

• Tax planning
• Education planning, for children and grandchildren
• Business planning, if you run a business
• Charitable giving

At some point, if you choose to work with a financial advisor, you will have to provide details and documentation about your financial life, such as investment and retirement portfolios, bank accounts, and so on.

What To Do During the Introductory Meeting

At the actual introductory meeting, you want to observe, discuss, and ask questions. Introductory meetings can be 30-90 minutes long, so there should be plenty of time to do all three.

Observe

You are looking for a comfortable fit between you and the financial advisor. One of the ways to assess fit is simply to see whether you feel comfortable in the office and with the people. Do you feel comfortable with the physical surroundings? How are you treated? Do the people you meet seem knowledgeable and pleasant? Do they seem to share your values? Can you imagine comfortable future meetings and conversations?

Discuss

Discuss your reasons for wanting to work with a financial advisor. Share your short- and long-term goals. If you have divided your long-term goals into 10-year increments, give an overview of them.

Listen carefully to the financial advisor’s responses. Do you understand what they are saying, in terms of concepts and strategies? Do you feel comfortable asking questions? If they mention plans to meet goals, do these plans seem doable and reasonable?

Ask Questions

One of the best ways to assess a financial advisor and how they work is to ask questions. Here are some common questions. 

1. What’s your investment strategy?  

They can outline their investment strategies, such as asset allocation, benchmarks, returns, means of assessing clients risk tolerance, and so on.  And don’t forget to ask how they are held accountable to you for the returns they produce.

2. What are your qualifications?

Financial advisors have a wide variety of backgrounds. It’s prudent to look for one with a CERTIFIED FINANCIAL PLANNER™ Professional designation. CFP®s must take a rigorous course of study, pass a comprehensive financial examination, and demonstrate years of experience in financial advising. They are also required to be fiduciaries, meaning that they must put your financial best interests ahead of their own.

3. What would you advise me to do about [chose your most immediate or most significant financial concern]?

This gives you a sense of the type of advice you’d receive.

4. Can you explain [a concept or term you’d like explained]?

This answer lets you know how the financial advisor explains things, which is very important for a long-term relationship. First, you need to understand how your financial life is being handled. Did the financial advisor genuinely help you understand? Second, it gives you a sense of whether you will be comfortable with financial discussions.

5. How are you compensated?

Financial advisors are paid in various ways. The more common approaches are fee-based, which means they will be compensated by some fees and some commissions. Others are fee-only, which usually means compensation as a percentage of assets under management.

Choosing a Financial Advisor in St. Louis, MO

At Trinity Wealth Advisors, we are happy to set up an introductory Right-Fit meeting to discuss your financial goals and see if it makes sense to work together. We are CFP®s who work with affluent individuals in St. Louis and surrounding areas. Our financial advisors have 25+ years of experience on average and use a team approach.