Is a financial adviser worth the cost

When it comes to working with a financial adviser, it's important to understand how to make the most of their expertise and skills.

Is it possible to have too many choices?  

When it comes to managing your finances, it can certainly feel that way. It may especially ring true if you have complex financial arrangements—and these are outside super. 

Working with a financial adviser can help to take a step back and look at your complete financial picture, putting things into better perspective. An adviser will focus on your unique goals and objectives, drawing on years of experience and expertise, as well as specialised knowledge and skills, to create a financial plan to help you achieve your goals. It could also become an ongoing relationship that gives you peace of mind, knowing that a professional is managing your finances to suit your personal circumstances.  

At the same time, because financial planning is a personalised and specialised experience, there is a cost involved.  However, the true value of an adviser lies in the sense of financial well-being they inspire—through guidance, education, timely responses to changing markets and regulation, as well as listening and responding to your evolving needs. 

This brings us to the key question: How does an adviser add value to your life, your wealth and your future?  

1 Create measurable goals

A financial adviser can help to translate your life goals into financial goals and put in place milestones to measure progress. They will ask important questions about your income, what you own (inside and outside super), how much risk you want to take on, what kind of life you want in retirement, and what you want to do with your super after you’re gone (especially if you have dependants).  

2 Make tax-savvy decisions 

A financial adviser can help you make tax-savvy decisions, such as minimising tax on investments, salary sacrificing into super and adopting transition to retirement strategies. Often the same investments held in different tax structures can be taxed differently and an adviser can guide you through that. 

3 Prevent future problems 

A financial adviser will work with you to make sure your financial plan aligns with changing legislation (such as upcoming Your Future, Your Super legislation) and global market movements (take the impact of the COVID-19 pandemic on markets). They will also check to see if you have the right insurance should something happen.  

4 Look beyond the short term 

A financial adviser is also a behaviour coach and a risk manager—looking to help future proof your wealth. For example, they can work with you to avoid common pitfalls like the temptation to react to market volatility, to educate you on why you should diversify your investments, and to show you the importance of estate planning to protect your wealth. 

 

Speak to a financial adviser today 

We have partnered with qualified and experienced financial advisers who can provide comprehensive personal advice. Your first meeting is complimentary, with a fee-for-service model applying after that, so there are no surprises.  

Get in touch with us on 1800 555 667 or iq@russellinvestments.com.au and we’ll organise it for you. 
 
2021 Value of an Adviser Report is out now

Our experts have developed a formula that sums up the value of working with a financial adviser. Read the report to understand why this relationship may be one of your best investments.

Read report