Finding the right independent investment advisor in Pittsburgh can seem daunting with so many options to choose from. However, doing proper research and asking the right questions is key to finding an advisor that aligns with your investment goals and needs. With over $1 trillion in assets under management, Pittsburgh has one of the highest concentrations of investment advisors in the country. This article will provide tips on how to evaluate independent investment advisors in Pittsburgh through assessing their fee structure, credentials, experience, services, and client reviews.
Look Beyond the Advisor’s Credentials
Many financial advisors in Pittsburgh tout various certifications like the CFP, CFA, and ChFC. However, credentials alone don’t guarantee an advisor will be a good fit. Look beyond the letters after their name and make sure the advisor has substantive experience for your specific situation. For instance, if you need help with estate planning, find an advisor with expertise in that area rather than just a general finance credential.
Understand How the Advisor Gets Paid
Independent investment advisors in Pittsburgh get compensated in different ways. Some charge an hourly rate or fixed project fee. Others make money through commissions on investment products sold or receive a percentage of assets under management. It’s important to understand how your prospective advisor gets paid as it impacts the advice received. Fee-only advisors are best for unbiased guidance not driven by commissions.
Evaluate Their Clientele
The types of clients an independent investment advisor in Pittsburgh works with offers insight into their expertise. Some specialize in certain demographics like small business owners, retirees, or high net worth individuals. Others take a more generalized approach. Make sure their clientele matches your situation or needs. Don’t work with an advisor catering exclusively to institutions if you are an individual retail investor.
Ask About Services Offered
Independent advisors vary significantly in services provided. Some offer comprehensive wealth management encompassing investments, tax planning, estate planning, retirement planning, insurance, and more. Others focus specifically on portfolio management. Understand the full scope of services to determine if the advisor can address all of your needs or just a specific piece.
Read Client Reviews and Complaints
Reviews from current and past clients provide great insights into an independent investment advisor’s quality of service. Resources like Google, Yelp, and the SEC’s Investment Advisor Public Disclosure database contain valuable feedback. Pay attention to how advisors respond to negative complaints as well as what clients say about their communication, expertise, fees, and overall satisfaction.
Choosing the right independent investment advisor in Pittsburgh takes research and asking the right questions. But finding an advisor that suits your investment style and financial needs is critical to achieving your long-term goals. Taking the time upfront to evaluate and interview several advisors will give you the confidence to ultimately select the best fit.