Do I Need a Wealth Advisor?

By Royce Ramey, CFA

The short answer is that almost everyone would benefit from working with a wealth advisor.

► Do you work out at a gym with a trainer?

► Do you take golf, tennis, or pickleball lessons from a local teaching pro?

► Do your children have teachers, coaches, or mentors in their extracurricular activities?

► Do professional athletes, musicians, and entertainers engage professional coaches to help them achieve their goals?

Like the examples above, a wealth advisor is like a coach in other areas of your life. An experienced and skilled advisor provides much more than investment returns on your investment portfolio. They can serve as your financial guide and leverage their years of experience working with different family profiles to help you think through many decisions you encounter through life’s major events. From marriage or divorce to inheritance or selling your business, helping you make sound choices to grow your wealth through generations is at the center of what wealth advisors do.

On a daily basis, you are faced with some sort of personal financial thought or decision:

• Is my investment portfolio positioned to maximize my after-tax and after-expense returns?
• Am I saving enough, or do I have enough to have financial freedom?
• Can I afford a new home? Can I afford a second home?
• What if I was to take a break from my career?
• Should I buy or lease a car?
• My friend showed me an investment opportunity. Is it right for me?
• How should I maximize my charitable giving?
• Does my estate plan really do what I want it to?
• Am I paying too much income tax?
• What is the best way for me to fund my children’s college education?
• Is it better to use my credit card or a debit card?
• How do I prepare my children, who might inherit a large sum of money?
• How should I maximize my wealth transfer plan?
• Do I have any gaps in my personal or business insurance coverage?
• Should I have life insurance? How much? How should I own it?
• Should I establish trusts for my children?
• How do I protect my assets from creditors?
• My parents are getting older. What are the options to care for them?
• How can I ensure my family is getting the best healthcare?
• Who would my partner turn to if something were to happen to me?

If you’re wrestling with financial questions that have the power to shape your future, enlisting the expertise of a wealth advisor could prove invaluable. Also, consider a switch if your current advisor falls short of delivering comprehensive financial planning.

How can a wealth advisor help you and your family?

Instead of juggling multiple and separate professional services you have to coordinate, having a wealth quarterback on your side can bring all the puzzle pieces together to work in unison toward achieving your financial goals, creating a seamless and streamlined experience.

According to the Vanguard Investment Advisory Research Center, wealth advisors can provide upwards of an annualized +3% to investment returns through comprehensive, holistic planning. As fiduciaries focused on your well-being, wealth advisors coach you through your financial journey and help bring peace of mind and clarity to your financial life.

Royce Ramey, CFA, is the Co-CEO of Versant Capital Management and focuses on investment management, portfolio construction, tax planning, wealth-transfer strategies, trust and estates, and family governance to help people navigate their complex financial lives.

DISCLOSURE: For complete information on your tax situation, you should consult a qualified tax advisor. While Versant Capital Management doesn’t offer tax advice, we are familiar with certain tax situations that our clients face regularly. Disclosure: Any tax-related material contained within this document is subject to the following disclaimer required pursuant to IRS Circular 230: Any tax information contained in this communication (including any attachments) is not intended to be used and cannot be used for purposes of (i) avoiding penalties imposed under the United States Internal Revenue Code or (ii) promoting marketing or recommending to another person any tax-related matter.