Misconceptions that will drive people towards Robo:
- A financial advisor just offers stock picks and executes transactions
- When surveyed, only 38% of millennials even know what a financial advisor does
- Stems from an excessive amount of choice – FINRA currently lists over 200 designations
- Advisors are only for the rich
- Many styles of fees
- Fee Only
- Plans
- Assets Managed
- Fee Based
- Commission only
- Fee Only
- You can find an advisor even if it’s just a one off planning session – some will provide you with an SOS if you already have an advisor relationship
- Many styles of fees
- Financial Advisors are only worried about making money and not my best interests
- Trust
- Find out if your financial advisor acts as fiduciary – legally binds them
- Financial Advisors take a lot of energy and time- what if I move states? What if I prefer out of office meetings?
- Technology
- Zoom- any location
- Planning software- ability to share updates on the fly
- Flexibility of schedule – most advisors have flexibility to match your situation
- Robo sticks to an algorithm and take human error out of the equation
- Advisory firms follow rules and provide a voice on the other end of the line
- Technology