Checking In with Your Financial Advisor
Posted on July 13, 2015
Changes in your life are likely to trigger re-evaluation of your investment objectives. The job of a financial advisor is to work with you to reassess your objectives and help direct investment selections based on changing circumstances.
What Changes Are Affecting Your Portfolio
By taking stock of your current situation, you may discover you need to modify your financial goals or the time horizon necessary to meet them. Here are some questions to discuss with your financial advisor.
What has changed since your last meeting? Have you recently started a family? Switched jobs? Are you providing financial support to an adult, child or elderly parent? Any significant life event – such as marriage, the birth of a child (or grandchild), loss of a job, divorce, remarriage or retirement – is reason to set new investment objectives.
Does your time horizon need resizing? Has the recession wreaked havoc with your portfolio’s performance? For example, if you’re close to retirement and your portfolio could use some more rebound time, delaying retirement by a few years may be advantageous. However, if you have a long time horizon, you may be able to be more aggressive in your investment selections.
Has your tolerance for risk changed? During the recent down market, you may have shifted from being an aggressive investor to being more cautious or conservative.
Restore Balance with Rebalancing
Once new objectives are set, it may also be time to reallocate the assets in your portfolio. Asset allocation – a mix of stocks, bonds and cash equivalents – can shift over time due to market fluctuations. As one asset class outperforms another, your asset allocation will drift from your goals. A financial advisor can help you rebalance your portfolio to restore the mix to its original targets.
Now is a good time to meet with your financial advisor to get back on track for meeting your long-term financial goals. If you have concerns about your investments or believe it’s time to re-evaluate your objectives, an investment professional at Chemical Bank can meet with you.
A Little Preparation Goes a Long Way
To give your financial advisor a complete picture of your financial situation and to make the most of your meeting, be prepared with the following information.
- Bring your quarterly and/or annual investment statements for individual retirement accounts (IRAs); 401(k), 403(b) and 457 retirement plans; and savings accounts
- Include earnings information, such as your annual salary, bonuses, pensions, Social Security benefits and inheritance funds, if applicable
- If you have invested in college savings plans for your children, such as Coverdell accounts and 529 plans, bring that account information with you
- To review or update beneficiary designations, you’ll need to know each beneficiary’s full name, birth date and Social Security number
The experienced professionals at Chemical Financial Advisors would be happy to help you develop a retirement savings plan or financial plan, review your long-term health care insurance options or just help you figure out where to get started. For more information, please visit www.ChemicalFinancialAdvisors.com or call (800) 808-5404.
Securities and insurance products are offered through Cetera Investment Services LLC, member FINRA/SIPC. Advisory services are offered through Cetera Investment Advisers LLC. Neither firm is affiliated with Chemical Bank and its related companies. Investments are: • Not FDIC insured • May lose value • Not financial institution guaranteed • Not a deposit • Not insured by any federal government agency. Advisory services may only be offered by Investment Adviser Representatives.