Does your financial planner need to be local to you? Choosing your financial advisor is based on your needs, goals, and comfort levels, aligned with the advisor’s expertise. So, the answer to the question is NO. Remember, this is a joint relationship that involves your input to the advisor. An experienced financial planner will help create a financial plan and investment strategies to generate sufficient wealth and retirement income so that you can achieve your goals.
Thanks to technology, consumers have an option of working with a remote or local financial advisor. Interactions include face-to-face meetings via video conferencing, regular follow-up calls, and email communications.
Your first meeting is typically designed to discuss your current situation, goals you've already set for yourself, and why you're looking for a financial planner. That is followed up with deep discussion, discovery of more details about your situation, perhaps more goals, and a strategy that takes all that into account so that you can achieve those goals. Once the financial plan is being implemented, it's additional communications and meetings are essential to ensure you're staying on track. There's no reason any of that process can't be done remotely or virtually.
For many clients, the lack of understanding or the uncertainty of the markets is daunting. An experienced financial planner will help you organize your finances for maximum benefit from now into retirement. With money being one of the most personal and important aspects of your life, you need to feel comfortable with and trust the person you select as your financial planner. Your financial planner also needs to be someone you can connect with and that understands you and your situation. With today’s increasing technology offerings, you open up your options to a vast selection of financial professionals to choose from so you can find the best financial planner for you. As you venture out on the search, here are some things to consider.
Comfort Using Technology
Virtual financial planners will likely want to meet with you face-to-face over video chat, whether through Zoom, Google Meet, FaceTime, or other video conferencing tools. They’ll want to share their screen with you, go over important documents, and even have you virtually sign paperwork. When you’re not meeting virtually face-to-face, you’ll likely have access to view your financial plan, your investment portfolio, and other financial information online.
It’s likely your advisor will work with you to try to make your experience as comfortable as possible. They can provide instructions for using their tools and answer any questions you may have to help ease your concerns. You can even share your screen with the advisor so they can help guide you through different steps. If you’re still uncomfortable with building a technology-heavy relationship with your advisor, working with someone local may be better.
Services Needed
The type of services you’re looking for from a financial planner may shape the type of relationship you’re looking to build. Not every financial planner offers the exact same services. Some cover only certain areas of financial planning. Some offer or even require investment management, while others will provide advice on investments you manage yourself if you're a DIY investor. Some charge flat fees or hourly fees, while some charge an AUM fee on the assets they manage for you. There actually is a wide range of the type of financial planners and advisors, so it's important to find one that matches your needs and wants, and selecting a remote or virtual financial planner can open up many options for you.
Convenience
If you’d prefer to remain fairly hands-off or you have a demanding schedule, working together virtually may be much more preferred than meeting in-person during office hours, even if the advisor is local to you. You may have a very busy schedule and find it difficult to drive to your advisor's office after a long day at work. And if the advisor works the same hours as you, it may not be ideal for you to leave work early or take time off in the middle of the day to meet with your advisor. An advisor who can meet with you online could help reduce the inconvenience of an interruption to your work and personal schedule, making available many more options for times and locales to meet.
The Financial Planner's Expertise
Another important consideration is experience and credentials. If you’re in need of someone with a specific niche (such as working with individuals in your career field), there may not be an advisor who specializes in this in your area. If that’s the case, it may be worth working with someone virtually who can provide the expertise you’re looking for.
Planning Today for Tomorrow
Whether you choose to work with a local or remote advisor, an assessment of your personal and financial needs are critical to developing an investment plan. If you prefer traditional face-to-face visits, working with a local advisor is best. If you’re comfortable with mobility and have a set perception of the chosen advisor’s characteristics, expertise, and skill to achieve your financial goals, then geographic distances will disappear.
In some cases, your location may limit the selection of local financial advisors, making it necessary to work with a remote advisor. Even if you select a local advisor now, you may change residences or careers, relocating to another city, and find that working with an advisor remotely is no longer an option if you don't want to change advisors.
At some point during your retirement, you may move outside of your current local area. At that point, you will need to use technology to communicate with your advisor who you've built a relationship with, or find a new one.
With today's technology, you select the right financial planner of you now instead of later. Look for one with the skill and knowledge to work with your situation and help guide you through the phases of earning investment returns, no matter where you live now or will live in the future.
Conclusion
In a world that’s gone virtual, working with an advisor simply because they are local is no longer a necessity. The technology to build a well-developed relationship virtually is there, and it’s being utilized by thousands of financial planners and advisors every day. The important thing is to determine what you’re comfortable doing when it comes to your money and finding a professional who will be compatible and capable of helping you reach your goals.
When you’re looking for a financial planner or advisor, you may even need to look beyond your local neighborhood if the options in your area aren't ideal. There no need to worry, though. Financial planners have been actively working with distant clients for years. In fact, financial planners generally have clients scattered throughout the country, and sometimes even internationally. It’s essential to select the expert capable of walking you through the hurdles to keep your dream on track no matter what life throws at you.
From the advisor’s perspective, sound business practices are rooted in establishing long-term relationships built on trust, whether it's a long- or short-distance relationship. That's the way Escient Financial is. To get started or to simply find out more, go ahead and...
This content is developed from sources believed to be providing accurate information. The information in this material is not intended as investment, tax, or legal advice. It may not be used for the purpose of avoiding any federal tax penalties. Please consult legal or tax professionals for specific information regarding your individual situation. The opinions expressed and material provided are for general information, and should not be considered a solicitation for the purchase or sale of any security. Digital assets and cryptocurrencies are highly volatile and could present an increased risk to an investors portfolio. The future of digital assets and cryptocurrencies is uncertain and highly speculative and should be considered only by investors willing and able to take on the risk and potentially endure substantial loss. Nothing in this content is to be considered advice to purchase or invest in digital assets or cryptocurrencies.
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