Fiduciary
Currently most of my investments are with a financial company as AUM. If one moves investments to fiduciary fee based planner, what kind of financial impact is there on moving investments in stocks and bonds? Thinking capital gains, etc. if those need to be sold in order to move them. Breakdown is about 25% managed trust, 25% my stock selections with planner, 25% in combo of IRA, Roth and an IRRA, 25% in CDs/Treasury notes.
Thanks! (enjoyed the program via the library this evening)
Terry Says
Thanks for joining us. First of all, the meeting with a fee-only fiduciary planner might reveal that you have a great stock allocation, and advice to leave it where it is! The planner might, however, uncover some areas in which your planning is flawed — lack of an estate plan, need for long-term care insurance, social security claiming strategies, etc.
Second, if you do decide to let your new planner manage your money, you don’t have to sell stocks or funds and take gains. And if they are at a place like Fidelity, you can just change authorizations to manage your account, or do it yourself with the advice of your planner and dismiss your current advisor’s access to decision making.
So no capital gains issues, or tax issues — unless you decide to sell some stuff that is outside your retirement accounts. The first meeting is just an overview. You may decide that between your own knowledge and the advice of your current advisor/broker you are doing just fine!
