QUESTIONS & ANSWERS
What are the advantages of Fee-Only investment planning and management?
When you hire a fee-only advisor, you know that your advisor is not receiving compensation from a third party to steer you toward investments that may not be optimal for you, or are more expensive than other options.
Is Fee-Based the same as Fee-Only?
No, a fee-based advisor is compensated both by fees paid by the client and through commissions that are contingent on the purchase or sale of financial products.
Are all financial planners certified?
No, there is no legal standard for calling oneself a financial planner. CERTIFIED FINANCIAL PLANNER™ professionals have gone through a rigorous training program and passed the certification exam, undertake continuing education and adhere to the Code of Ethics.
How can I learn more about your services?
I offer a complimentary meeting to discuss your financial situation and our services and see if there is a match. Everything you share with me is confidential even if you do not decide to work with me.
What does it mean to me that you are a fiduciary?
I am required by law to act in the best interest of my clients.
Are all investment advisors held to a fiduciary standard?
No, some advisors are not fiduciaries, and some advisors are fiduciaries only part of the time.
What is a CFA or Chartered Financial Analyst?
The CFA is considered the most rigorous designation for investment professionals. CFA charterholders must pass three levels of examinations. They sign an annual statement agreeing to adhere to the CFA Institute Code of Ethics and Standards of Professional Conduct, which require them to place their clients’ interests ahead of their own, maintain independence and objectivity, act with integrity and maintain and improve their professional competence.
What makes someone a Certified Financial Planner ™ ?
CERTIFIED FINANCIAL PLANNER™ professionals have voluntarily submitted to the CFP Board’s certification process that includes demanding education, examination, experience and ethical requirements. Topics covered include Financial Planning, Insurance, Investments, College Funding, Retirement Planning, Estate Planning, Income Taxes and Ethics. CFP® professionals agree to adhere to the organization’s Standards of Professional Conduct.
What is a Registered Investment Advisor ?
An RIA, or Registered Investment Advisor, is an entity which is in the business of giving advice about securities. An RIA is registered in its home state(s) and is also subject to the regulatory oversight of the Securities and Exchange Commission (SEC) if its assets under management (AUM) are under $100 million; an RIA is regulated solely by the SEC if its AUM are over $100 million.
What is the financial planning process?
After a preliminary meeting to discuss your values and goals, you would provide me with your financial data and answer a risk assessment questionnaire. Next, I would analyze this information and produce a plan with recommendations. Finally, we would discuss the plan and agree on a course of action.
What should I expect if I hire Azure Financial Advisors?
After our initial meeting, I would send you an engagement letter and contract as well as our Form ADV and Privacy Statement. I would create a customized financial plan for you, including a recommended asset allocation which would be subject to your approval. I would facilitate the transfer of your existing account(s) to Charles Schwab, and you would sign documents giving me authority to trade in your account(s). I would align your portfolios with your customized asset allocation. If you hire me for advice on accounts that I cannot manage, such as 401(k)s, I would give you specific instructions which you could execute. You would receive monthly statements and trade confirmations from the custodian for your account(s), and periodic updates from me regarding your portfolio. I would be available for your questions at any time, and would update your financial plan as needed.
How do I know Azure Financial Advisors is not running a Ponzi scheme?
Our clients’ assets are held by Charles Schwab, a third-party regulated custodian which provides regular reporting directly to the client. Azure Financial Advisors does not take custody of any client assets.