Ask an Advisor: Is it Better to Work With an Independent Advisor or One From a Large Firm?
Nasdaq Is it best to work with an advisor whos independent or part of a large firm? I am not investment savvy and Im entering retirement. I need to make sure I hire someone or a firm that is going to help and maybe is somehow insured.
-Sharon
That's a great question, Sharon. I'll provide some context that I think will help you as you look for an advisor, whether that person works for a large firm or a smaller independent practice. Although I am independent (which I and my clients specifically like), I don't think one is inherently better than the other.
It's more about the firms culture, the individual advisor, the services they offer as well as your preferences as the client. Ultimately you may be comfortable with one over the other and that's perfectly OK. It's your money and you should be happy with where you keep it. (And if you need help finding a financial advisor, this tool can help match you with one.)
Is the Firm Insured?
You specifically brought up insurance. The way you phrase the question makes me think it may be worthwhile to explain how firms might be insured. The two most common types of insurance that you might want to know about are SIPC and E&O.
