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Unless you’re UHNW, I don’t think it’s worth it. Advisors just put you in actively managed funds that give them the best kickback, and then charge you 1.5%. You’d do better if you just went all in on VTSAX.
A good CPA helping you navigate taxes might be worth it though.
Rising Star
Under 10M net worth, just put the money into indexes.
Start at 30yo
Chief
I’ve heard people recommend it if your net worth exceeds $10M
Disagree. I use a financial advisor (or really a wealth management team). My holdings are very diversified, not primarily in index funds (a couple sector-specific ETFs but not nearly the majority of my holdings).
Also, when things got shaky they worked with me on some hedging strategies, some put options, rebalanced international exposure, etc. if you have a good advisor that’s what you get.
It also opens up doors to a lot of other benefits:
-$1.3m line of credit (I didn’t even ask for it)
-0 points to get a home mortgage and HELOC opened
-Vastly discounted mortgage, car loan rates
-If it’s related to a commercial bank you get better credit cards, my wife has had all of her bank fees removed when she goes below ‘minimum’ balance…
Basically you get to join a club with a lot more access.
Rising Star
OP got some good news today 😂🥰
Rising Star
Congrats OP!
You’re not going to get any good FA unless you’re UHNW. Nowadays, most private banks won’t consider you UHNW unless you’re at ~$40M NW with more than 50% of that semi-liquid (cash and securities).
Basically, if you need an FA, you would know you need one. If you’re asking if you need one, you don’t need one.
-7+ years private banking experience