Why Should You Have A Financial Adviser?

Do I really need a financial adviser?

I can manage my own money, everything is available on the Internet!

Indeed it is and indeed you can. If you have the time to relentlessly follow the markets, are able to conduct in-depth financial projections, are willing to spend most of your time buried in information from all around the internet and are totally OK with making solitary decisions it will be very easy. A full-time job might be slightly difficult to maintain while doing all of this! Solid research shows working with a financial adviser generates more income. Morningstar’s Gamma research demonstrates that making sound financial planning decisions with an adviser’s assistance in five areas—asset allocation, withdrawal strategy, guaranteed income products, tax-efficient allocation and portfolio optimisation — can generate 29% more income on average for a retiree. Finance and investments appear mathematical but when it comes to managing one’s own money the math may be overpowered by emotion. To be successful at reaching long term goals one must be able to refrain from emotional knee jerk reactions and be extremely disciplined. This is where a financial adviser can play a key role in preventing emotional behaviour and can add value by keeping their clients’ fears and emotions in check by providing steady, fact-based advice and reassurance when the markets get volatile. Through the ups and downs of your investment journey your adviser will keep you grounded and make sure you make the right moves at the right times. A financial adviser shouldn’t: Use too many technical terms and confuse you Have a condescending demeanour Make assumptions on your behalf “Tell” you what to do rather than letting you decide after sharing the facts Talk about how great it will be; promising miracles Scribble calculations on pieces of paper making things harder to understand Talk at you rather than with you At Tallrock Capital we: Listen to understand Analyse your goals and makes suggestions accordingly Explain strategies to you simply and make sure you are crystal clear Do not impose ideas Share what to realistically expect on your journey to your goals Suggest options that will allow you to enjoy life while saving Make you feel secure Suggest portfolios unique to you.