Frequently Asked Questions
What is a Certified Financial Planner, or CFP?
This is a title recognized by the International Board of Standards and Practices for Certified Financial Planners. A Certified Financial Planner (CFP) must pass a rigorous series of exams and enroll in continuing education classes. Knowledge of estate planning, tax preparation, insurance, and investing is required. A CFP is committed to their professional responsibility of ethical behavior when providing financial advice and must abide by the CFP Board’s Code of Ethics and Professional Responsibility and Planning Practice Standards.
How do I know if I can benefit from a Certified Financial Planner managing my finances?
These are the questions you need to ask yourself: Do you have time to devote to the maintenance of your finances? Do you possess a comprehensive and thorough knowledge and experience in finance, economics, taxation, insurance, and estate planning? Do you keep abreast of new information and developments in a dynamic industry? Can you make objective decisions of your own future without allowing emotion to influence those decisions?
*Only if you answer affirmatively to these questions, we would suggest that you can effectively manage your own finances.
What is our “Flexible Fee” system for financial planning and how does it affect me?
Our financial planning team provides “Fee for Service Only” work with alternatives methods of payment. At Traditions Wealth Advisors, clients may choose the method of charging that is most satisfactory to their situation. Our sole motive is to accommodate you.
Financial planning services can be paid for on a flat annual fee, quarterly fee, or on an hourly basis. We typically require a $5000 yearly minimum fee. A client may be charged on a commission basis if they choose this method of payment. This is often the case for facilitating a transaction, such as the buying or selling of securities, or through management of funds.
The accommodative business structure of Traditions Wealth Advisors is possible because of our independent status. Traditions Wealth does not sell financial products or is subjected to outside, third party influence. We receive all revenue directly from our clients.
The best way to drive a client-centered business is through strictly “fee-based” charging. Why this is a myth?
A “fee-based” payment method alone does not work because too much emphasis is placed on the perceived value of the performance of a client’s portfolio. An advisor may be objective, but it is more difficult to track the value-added to justify a fee over time. Clients expect an advisor to respond to short-term performance.
What is my responsibility as a client?
Review your investment objectives. As we help you to define your investment objectives, we will need your assistance in the process. Begin thinking about your objectives before our meeting. Your participation and feedback will greatly assist your advisor in formulating your optimal investment strategy.
Ask questions. Your questions will enable you to become an informed investor who fully understands the characteristics of different investment opportunities. If you are unsure of your understanding of your investments or planning strategies, it is your responsibility to bring these questions and concerns to our attention. We will gladly discuss this with you.
Meet to review your portfolio. This is a good time to inform us of significant changes in your life requiring an adjustment in your investment policy. Use these meetings to you full advantage- it is to your benefit to come prepared. Our semiannual reviews are also an opportunity to discuss any major changes in the economy or new tax laws that have the potential to affect you.
Maintain up-to-date records. Try to be consistent in reviewing your confirmations and account statements, and store them in a safe place. When you come across something you do not understand, feel free to ask for our assistance. Keeping good records will help you to be an informed investor and it is especially useful for tax preparation.
This is a title recognized by the International Board of Standards and Practices for Certified Financial Planners. A Certified Financial Planner (CFP) must pass a rigorous series of exams and enroll in continuing education classes. Knowledge of estate planning, tax preparation, insurance, and investing is required. A CFP is committed to their professional responsibility of ethical behavior when providing financial advice and must abide by the CFP Board’s Code of Ethics and Professional Responsibility and Planning Practice Standards.
How do I know if I can benefit from a Certified Financial Planner managing my finances?
These are the questions you need to ask yourself: Do you have time to devote to the maintenance of your finances? Do you possess a comprehensive and thorough knowledge and experience in finance, economics, taxation, insurance, and estate planning? Do you keep abreast of new information and developments in a dynamic industry? Can you make objective decisions of your own future without allowing emotion to influence those decisions?
*Only if you answer affirmatively to these questions, we would suggest that you can effectively manage your own finances.
What is our “Flexible Fee” system for financial planning and how does it affect me?
Our financial planning team provides “Fee for Service Only” work with alternatives methods of payment. At Traditions Wealth Advisors, clients may choose the method of charging that is most satisfactory to their situation. Our sole motive is to accommodate you.
Financial planning services can be paid for on a flat annual fee, quarterly fee, or on an hourly basis. We typically require a $5000 yearly minimum fee. A client may be charged on a commission basis if they choose this method of payment. This is often the case for facilitating a transaction, such as the buying or selling of securities, or through management of funds.
The accommodative business structure of Traditions Wealth Advisors is possible because of our independent status. Traditions Wealth does not sell financial products or is subjected to outside, third party influence. We receive all revenue directly from our clients.
The best way to drive a client-centered business is through strictly “fee-based” charging. Why this is a myth?
A “fee-based” payment method alone does not work because too much emphasis is placed on the perceived value of the performance of a client’s portfolio. An advisor may be objective, but it is more difficult to track the value-added to justify a fee over time. Clients expect an advisor to respond to short-term performance.
What is my responsibility as a client?
Review your investment objectives. As we help you to define your investment objectives, we will need your assistance in the process. Begin thinking about your objectives before our meeting. Your participation and feedback will greatly assist your advisor in formulating your optimal investment strategy.
Ask questions. Your questions will enable you to become an informed investor who fully understands the characteristics of different investment opportunities. If you are unsure of your understanding of your investments or planning strategies, it is your responsibility to bring these questions and concerns to our attention. We will gladly discuss this with you.
Meet to review your portfolio. This is a good time to inform us of significant changes in your life requiring an adjustment in your investment policy. Use these meetings to you full advantage- it is to your benefit to come prepared. Our semiannual reviews are also an opportunity to discuss any major changes in the economy or new tax laws that have the potential to affect you.
Maintain up-to-date records. Try to be consistent in reviewing your confirmations and account statements, and store them in a safe place. When you come across something you do not understand, feel free to ask for our assistance. Keeping good records will help you to be an informed investor and it is especially useful for tax preparation.