SELECT SAMPLE QUESTIONS FOR YOUR ADVISOR
- Are you a “Fiduciary”?
- Do you receive commissions or fees for recommending funds and/or other products?
- Has the fund you are recommending consistently outperformed the index after considering all costs and capital gains distributions? If no, why is it being recommended?
- What are the fund costs associated with your recommendation? What are the costs paid to the advisor? Can you tell me about fund turnover, capital gains distributions and after tax returns?
- What is your investment philosophy?
- How and to what extent does the recommended fund utilize derivatives? The same question applies to companies whose securities are recommended.
- What are your thoughts about current pricing levels in both the bond and stock market?
- Do you provide opinions on equity security pricing? If so, how do you prefer to value equity securities?
- Do you provide advice regarding pricing of debt securities? If so, how do you value these securities?
- What is your opinion about future inflation and interest rates?
- When valuing securities how do you assess risk?
- How does this (recommended) company make its money? What are the competitive risks? Are you concerned about future sales growth and/or compression of margins? Is the balance sheet levered appropriately? Do you expect growth to be organic or by acquisition? How do your assumptions regarding growth and margins compare to past performance?
MSN Article - "Can You Trust Your Financial Advisor"
CONTACT US:
SunPillar Financial Advisors LLC
(p) 646-285-3493; (f) 917-522-9648
steve@sunpillarfinancialadvisors.com
(p) 646-285-3493; (f) 917-522-9648
steve@sunpillarfinancialadvisors.com