Whether or not to hire a financial advisor, or which one to hire, is a decision that will have a big impact on your financial future. If you do so, how will it benefit you?
Vanguard Research has attempted to answer that question by developing a service model to estimate the value, or “alpha” that a financial advisor adds to net returns through relationship-oriented services such as financial planning and guidance, rather than trying to outperform the market. They’ve estimated that implementing their service model framework can add “about 3% in net returns.”
These findings should be taken with a great deal of skepticism; your net returns could of course be more or less than that depending on your circumstances. Still, their research might provide you with a conceptual understanding of the potential benefit of using an advisor.
For many, perhaps most investors, subjects like how to invest their money, whether or not they have enough, or how to spend it are beyond their areas of interest and understanding. For these, the specific value proposition of a financial advisor makes sense and could potentially provide some measure of net returns, at least compared to what they could accomplish without it.
For other, self-directed investors who enjoy financial subjects and have the time and interest to pursue them, hiring a financial advisor would be a waste of money except to deal with topics that are beyond their scope.
In the end, it’s a question of motivation, behavior, interests, and emotions. In which category are you?
We customize our services to suit you.
We at Clearity Capital believe that there’s no one-size-fits-all approach that works equally well for everyone.
We therefore offer a flexible service model that can be customized to suit your specific needs and allows you to pay no more than necessary for financial services.
Do you want to pay an hourly, monthly, quarterly or annual fee for the only the services you really need – rather than a percentage of your assets under management? Clearity Capital can do that for you.
Would you rather pay commissions on a sliding scale depending on asset size, with commissions as low as 0%? No problem.
Do you prefer to have a fee-based account with detailed ongoing portfolio management, investment oversight, and financial planning? Like most advisors, we can do that too.
Are you a benefits manager who’s responsible for your company’s retirement or executive bonus plan? We’ll deliver the specific services you need at a reasonable cost.
We also have no investment minimums except those of the fund companies and investment partners we work with, which in many cases are nominal. Your money is important no matter how much you invest, and we’ll help you manage it wisely.
At Clearity Capital, you, the client, are in charge. We’re completely transparent about expenses and will help you decide on a service model that works best for you based on your own unique circumstances. You pay only for what you truly need, and no more.
625 E. Mowbray Court,
Norfolk, VA - USA
23507-1858