When someone mentions a used car salesman, what comes to mind? A short, fat guy in a cheap, plaid suit, smoking a cigar with a strong New Jersey accent, right?
Oh, and don’t forget the obnoxious radio ads.
We envision a slick dealer who won’t offer us enough for our car and tries to sell us an overpriced one off of his lot. They buy low and sell high. Their goal is to earn the highest possible commission for themselves while selling you a car that is suitable.
Sure, they’ve got to make a living and earn a profit, but we still feel slighted.
Getting a Fair Deal
Many of us have dealt with a used car salesperson at some point and we are certainly cautious. We go into the situation knowing that the sales person has their best interests in mind, not ours. We want to trust them, but if we’re not careful, their smooth talk will have us believing their pitch.
Unless we do our homework, we can’t be certain that we are getting a fair deal.
Buying a car is stressful enough, so would we want this situation repeated when it comes to having someone manage our money and investments? Of course, we wouldn’t, that’s why choosing a fiduciary to manage your money is a wise choice.
Your Best Interests Should Matter
Fiduciaries are looking out for your best interests. Unlike brokers, fiduciaries make decisions about your investments based on the best outcome for you.
Brokers, on the other hand, only need to make financial decisions that are suitable for you-sort of like our used car salesman who we think wants to sell us a car that will only last long enough to drive off the lot.
Hiring a fee-only advisor who is held to a fiduciary standard will give you the peace of mind that your best interests are being looked out for. There isn’t need to worry that your advisor is making decisions based on a good financial outcome for themselves. Because fiduciaries work as fee-only advisors, we don’t receive compensation for investment decisions.
Peace of mind…isn’t that what you want in life?
Hiring a fiduciary can give you that peace of mind when it comes to your financial life – and we’ll do that without the plaid suit and cheesy accent.