Fee Only Financial Advisor
Why Choose Derive Wealth?
I like to say when it comes to your money, there is no dress rehearsal. The financial decisions you make can have a lasting impact on your wealth.
Finding a trustworthy financial advisor to help make smarter decisions is no easy task. The reason is simple:
Anyone can use the term financial advisor.
I've seen insurance agents, CPA's, bank tellers, investment brokers, and even real estate agents use the designation.
To truly determine if your financial advisor has your best interest at heart, look for the following characteristics. Ultimately your path will lead to a fee only financial advisor.
#1: The Legal Obligation Your advisor has.
Fiduciary Oath
A fee only financial advisor often is an independent advisor organized as a registered investment advisor (RIA),
RIA’s have a fiduciary duty to clients which just means they must put their client’s interest above their own.
In practice, this means the advice you receive does not have any smoke and mirrors. There are no alternative agendas motivating your advisor other than what’s best for you.
It is as pure as a relationship you can get with an advisor. You are both sitting on the same side of the table.
Why Derive Wealth Took The Oath
Candidly, it takes the "sale" out of your relationship with us.
There is no churn and burn to get you to sign up for a product. No quick sell. No can't miss opportunity or "guaranteed" returns.
Taking the fiduciary oath elevates the level of care to doing what is responsibly in your best interest.
“A fiduciary has two standards to meet: is the advice suitable and also in your best interest. The only way we know how to do that is being 100% transparent with our fees and deriving our recommendations from financial plans.”
#2: How Your advisor makes money.
No Product Selling or Commissions
Taking the fiduciary oath as an advisor is a great first step. However it does not mean the advice you receive will be conflict free.
Conflicts arise when there are incentives at play. It has nothing to do with providing advice in your best interest. It has everything to do with how your advisor chooses to deliver your advice.
A Deeper Level of Responsibility
It is easy to say a certain product, such as a life insurance policy, is in your best interest. But since there are commissions that go along with selling the policy, how do you know your financial advisor is not advising you to buy a more expensive life insurance policy that provides a higher commission?
You don't. Hence lies the conflict of interest.
You hope your advisor will not just offer products where they get the most commission. But why take the chance?
Since flat fee financial advisors get paid based on a pre-determined price, they can be objective with the products you need and recommendations they provide.
When you work with a fiduciary you have passed the first hurdle. Adding in a flat fee compensation structure allows you to feel confident you are removing as many conflicts of interest as possible. A fiduciary, flat fee financial advisor has three main advantages:
The advice you receive will not be based on purchasing any products
You will know the fees you are charged and how they are paid
If you do need products, your advisor will be objective in recommending the right one
“Working with a fiduciary makes sure your best interests are at the forefront. Adding in a fee only, flat fee structure adds an additional level of transparency.”
#3: Dedication To Be Better.
Certified Financial Planner
Another plaque on the wall? At first glance, that may be all you see.
Digging deeper, the Certified Financial Planner designation demonstrates your financial advisor has completed the lengthy education and experience requirements to meet the complexities of your financial situation.
I'll save you the exam details, but on average it takes approximately 1-2 years to be eligible to take the examination.
Then you have to pass.
Making this sacrifice means you take your job seriously. It is the financial planning industry's way to separate those who are trying to be stewards of the profession versus those who are just trying to make a quick buck.
You can learn more about why the CFP designation matters.
Systematic Approach
When you engage with Derive Wealth, your experience follows the Certified Financial Planner Financial Planning Process to build and develop your financial plan.
Establish A Relationship
Gather Data & Develop Your Goals
Analyze & Evaluate Your Financial Status
Review Recommendations
Establish Your Course of Action
Monitor & Benchmark Your Progress
Each financial plan I design follows these guidelines to ensure a thorough analysis and custom recommendations.
“Anyone can use the term financial advisor. But the CFP designation has to be earned.”
Get Started Today
Schedule Your Introduction Meeting
Our complimentary introduction meeting allows you to discuss your personal situation.