3 Red Flags of Working with a Traditional Financial Planner

Here are my three biggest red flags of working with a traditional financial planner. I'm Tyler, a former financial advisor and portfolio manager, and now I create financial content with companies like Facet to show you what the future of financial planning looks like.

1. Commission-Based Recommendations

If someone makes commissions off of recommending products to you, it might be the right product for you, but it also might just be the right product for them. The problem is, you’ll never know the true motivation behind their recommendations.

2. Complicated Explanations

They can make me feel like I’m back in college, sitting through a lecture in a language I do not speak—alpha, beta—and instead of getting clear, actionable advice, I receive vague explanations that make me feel like I need them just to keep up.

3. Reliance on Actively Managed Funds

Finally, if they invest your money in a bunch of actively managed funds, it’s crucial to be cautious. Sure, some of those funds can beat the market on an annual basis, but the majority likely won’t. This approach can end up costing you more for less return.

Conclusion

If you want to avoid all three of these red flags and get the advice you need when you need it, go to facet.com/tyler today and join the other members of my community who write to me daily, letting me know that Facet has truly gotten them one step closer to where they need to be.

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