As we move forward with more and more online services and AI, is the human interaction going to be missed? Nowadays, you don't need a lawyer to do your estate planning. Just go to firms like Legal Zoom, right? Tax planning? No need, again, many online services these days. As for financial planning and more, are there not millions of DIY investors?
Sure, these services do exist and perhaps they are helpful for some, but I am not alone in my thought that if you find a "right fit" advisor for you and your planning, these people can be exceedingly helpful. Many studies have shown that on average, Americans with a financial advisor can retire sooner than without one. Also, it is reported that they have significantly more money saved by working with an advisor. So, why is that when other studies show that simply purchasing S&P 500 index fund tends to outperform over 85% of money managers? Could it be the "coaching" that the advisor provides their client? A little extra push to save more, do more?
Also, outside of financial reasons to work with an advisor there are many other benefits, including emotional ones. People are, on average, social creatures. Sure, online tools, AI and more are more available today then ever, but they will NEVER replace human interaction. In fact, many online tools and AI are helping advisors become even better advisors to their clients and I for one think that will continue to be the trend for top advisors.
It is well documented that people report feeling less stressed, have less anxiety, and have more confidence in their financial path when they work in partnership with advisors. So, can this added value be quantified? See thisVanguard articlethat is now a few years old but done by industry giant, Vanguard. It's a very interesting article. So what is your view on the value of a relationship? How much are you willing to pay for having the best relationship possible?
I have long felt that I/my team provides value that far exceeds the fees our clients pay us. I will always do whatever I can to help and serve my clients and treat each and every one of them like family. Further, whether you are an existing client or not, please do reach out anytime to have a quick, confidential conversation. I'm always here to listen to your concerns, review your existing planning and do whatever I can to improve your planning.