5 Truths Your Financial Advisor Won’t Tell You

It’s no secret that financial advisors make a commission off of selling you products. What may be less known, however, is the extent to which their income is dependent on pushing certain products and services. From high-fee investments to exorbitant insurance premiums, there are many ways for an advisor to line their pockets while pretending to have your best interests at heart. Here are five truths your AG Morgan Financial Advisors won’t tell you.
1. You don’t need me to get started with investing.
Thanks to the internet, it’s easier than ever before to open up an investment account and get started managing your own money. If you’re not sure where to start, check out our beginner’s guide to investing.
2. I only get paid if you invest with me.
This might seem obvious, but it’s important to remember that your financial advisor’s income is directly tied to the products they sell you. If they recommend an investment that doesn’t pay them a commission, they’re not going to make any money off of it.
3. The best way to grow your wealth is by investing in index funds.
Index funds are a type of investment that tracks a basket of different stocks or bonds. They’re a low-cost way to diversify your portfolio and maximize your returns over the long term. Unfortunately, they don’t generate much revenue for financial advisors, so don’t expect them to sing their praises too loudly.
4. I probably own the same investments I’m recommending to you.
Many financial advisors are incentivized to sell you the same products they are invested in. While there’s nothing inherently wrong with this, it’s important to be aware of any conflicts of interest that may exist.
5. I don’t know as much about taxes as you do.
Your AG Morgan Financial Advisors may give you tax advice from time to time, but chances are they’re not nearly as well-versed in the subject as you are. Before making any major decisions, be sure to consult with a qualified tax professional.
Conclusion:
Choosing the right financial advisor is an important decision. Be sure to do your research and ask questions to ensure that you’re getting the best possible advice. And remember, you don’t have to rely on an advisor to get started with investing – you can do it yourself!