As retirement approaches, managing investments becomes a crucial task to ensuring financial security during your golden years. Deciding whether to independently manage retirement investments yourself or delegate the responsibility to a professional investment advisor can be a challenging decision. Here, we explore the factors influencing this decision, including the time and expertise required, and the potential benefits of working with an advisor.
Should You DIY Your Retirement Investments?
Managing your own retirement investments requires staying informed on the latest market trends, changes in tax law, and economic conditions that could impact your portfolio. This demands considerable time commitment and expertise in financial strategies and regulations. For many individuals, regularly reviewing investment performance, researching market variability, and adjusting portfolio allocations can become overwhelming, especially the further down the road of retirement you get.
Personal circumstances change over time, requiring adjustments to investment strategies. This could be a daunting task as the complexities of financial products and markets grow. It’s also crucial to consider whether you want the burden of managing investments later in life when other aspects of retirement—such as health and leisure—might take precedence.
Benefits of Working with an Investment Advisor
Engaging with a professional investment advisor can add immense value, especially for those less inclined or equipped to handle the intricacies of managing retirement funds. Advisors, such as those at Benchmark Financial Group, can provide expertise in formulating comprehensive retirement plans, coordinating various income sources, and managing the timing and allocation of investments. Advisors also offer clarity, helping to strategize around financial goals and act as a resource for updates on federal retirement benefits.
One of the significant advantages of working with a fiduciary advisor is the ethical obligation to prioritize the client’s interests above their own. Fiduciaries must avoid conflicts of interest and disclose any potential conflicts to ensure transparency, which can be reassuring for retirees looking to trust their advisors fully.
Identifying a Fiduciary Advisor
To determine if an advisor is a fiduciary, you can utilize resources such as the Financial Industry Regulatory Authority (FINRA). FINRA operates an online tool, BrokerCheck (brokercheck.finra.org), where individuals can verify the credentials and fiduciary status of financial advisors. This transparency allows investors to make informed decisions about who they trust with their retirement planning.
Specialized Knowledge of Fed-Focused Advisors
While general knowledge is imperative, expertise in federal benefits coordination can be invaluable. Fed-focused advisors are skilled in navigating the complexities associated with federal employee benefits, ensuring all potential income streams are efficiently integrated into the retirement plan. To identify a knowledgeable advisor in this area, inquire about their experience with clients who have similar benefits and their understanding of federal retirement systems.
Conclusion
Deciding whether to manage your retirement investments independently or delegate to an advisor depends on personal circumstances, knowledge, and comfort with financial complexity. While the DIY approach offers autonomy, engaging a professional can provide strategic advantages to help you navigate. By exploring resources like FINRA’s BrokerCheck and considering specialized advisors for federal benefits, you can make informed choices to secure a retirement to reach your financial goals.
Are you looking for assistance? We can help!
If you are looking for a guide to help you plan your retirement, Benchmark Financial Group can help. It all starts with gathering your information, discussing your goals, and preparing a plan so that we may help you maximize your income in retirement. With the right strategy, you may get your income equal to or exceed your pre-retirement net income. To get started, schedule an appointment today with Benchmark Financial Group by filling out the form online or calling David Raetz at 913-534-8256 to discuss your financial needs. Benchmark Financial Group is happy to help you navigate your options and determine the best path to move toward your financial goals.
*Securities and Advisory Services Offered Through CreativeOne Securities, LLC Member FINRA/SIPC and an Investment Advisor. Benchmark Financial Group, LLC and CreativeOne Securities, LLC are not affiliated.
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