9 Questions Physicians Should Ask a Financial Advisor

By Jared Andreoli, CFP®, CSLP®

For physicians, sorting out finances can seem as complex as diagnosing a complicated medical case. Balancing high incomes, repaying medical school student loans, and making wise investment moves require a specialized approach to financial planning. So, having a financial advisor goes beyond seeking guidance on money matters; it’s also about gaining a partner who understands your goals—both in your career and personal life.

From your investment strategy and retirement planning to the fees you pay, your choice of financial advisor goes a long way in determining your investment success and financial future. Before selecting a financial advisor, you should understand their services and how they work to determine if they’re the most suitable for you. Physicians, here are 9 key questions to ask your prospective advisors.

1. What Is Your Experience Working With Physicians?

First, find out about your potential advisor’s credentials and experience, especially working with physicians. While certifications like CFP® or CFA® indicate rigorous and professional training, experience with medical professionals shows an understanding of your unique financial demands. Consider asking for testimonials or case studies from other physicians, which can provide valuable insights into the advisor’s skills in handling financial situations similar to yours. 

2. What Types of Services Do You Offer?

Physicians often have unique financial needs, such as managing medical school loans or planning for private practice. So you need to understand the range of services they offer to determine if their services align with your specific financial needs. A good financial advisor should provide a comprehensive suite of services tailored to your professional journey.

3. Are You a Fiduciary?

When a financial advisor is a fiduciary, it means they prioritize their clients’ interests above their own and provide advice solely aimed at benefiting the client. Being a fiduciary involves a higher standard of care compared to a non-fiduciary relationship; the advisor must act with utmost integrity, loyalty, diligence, and no conflict of interest when making financial recommendations for you.

4. What Is Your Investment Philosophy?

Your advisor’s investment philosophy should correspond with your risk tolerance and financial goals. Ask about their approach to investing and how they customize strategies to individual clients, especially for physicians. Find out their perspectives on different investment strategies, such as long-term and short-term investment, preferences on assets, capital management, etc. It’s also an opportunity to assess their proficiency in handling market fluctuations and investment risks.

5. How Do You Get Paid for Your Services?

Understanding the advisor’s fee structure is crucial for accurately budgeting for these services and verifying that the advisor’s incentives align with your best interests as a physician. You don’t want to be caught unaware or thrown off budget by hidden fees or excessive charges. Confirm that the potential advisor is transparent in both their compensation and the method for it—whether through fees, commissions, or a combination. Clarify any potential conflicts of interest.

6. How Often Do You Communicate With Clients?

Effective communication is the bedrock of any advisory relationship. Find out how often and through what means or platforms you’ll receive updates and reports. Will there be regular meetings, or will communication be mainly digital? Also, consider your schedule as a physician; clear communication preferences enable you to stay informed and involved in your financial journey.

7. What Is Their Expertise In Tax Planning?

As a Physician and high-income earner, controlling and minimizing taxes is extremely important. Ask your financial advisor how they integrate tax mitigation strategies with financial planning and investment management.

8. How Do You Assess and Manage Risk?

As a physician, managing risks might be an integral part of your profession, but it’s also crucial in your financial management. Ask about the advisor’s strategies for risk assessment and mitigation in your portfolio. The answer to this question will give you an idea of how your advisor plans to safeguard your investments, especially in volatile markets.

9. What Are Your Strategies for Retirement Planning?

Given the high-income potential of physicians, your retirement should be smooth and comfortable if you have the right financial advisor. Discuss how they approach retirement planning, specifically for those in the medical field. Check out the various retirement savings strategies and plans suitable for your career stage and goals.

Make the Right Choice

Working with a competent financial advisor allows you to pay full attention to your healthcare duties as a physician without endangering your finances. Thankfully, you don’t need to break a sweat over getting the right advisor; that’s exactly why Simplicity Financial is here for you.

We provide financial advice and planning catered to medical physicians looking to settle student loans, manage their taxes, optimize their investments, and develop a comprehensive financial plan. Get started by scheduling a free consultation, or reach out to us by emailing jared.andreoli@simplicityfinancialllc.com or calling 414-207-6473.

About Jared

Jared Andreoli, CFP®, CSLP®, is president and financial planner at Simplicity Financial, a fee-only RIA dedicated to helping early-career physicians conceptualize their financial picture and achieve their financial goals. Jared specializes in devising individualized financial road maps for clients, and he loves nothing more than a full-day meeting with clients who value his partnership to solve problems—big and small. 

After college, Jared spent six years working as a mutual fund administrator for a large company. While he learned an immense amount about the financial world, he was missing the personal connection of working with individual clients. Combining his passion for finance and personal connection, he established Simplicity Financial in 2017.

Jared has a degree in finance with a concentration in financial planning from Western Kentucky University, along with the CERTIFIED FINANCIAL PLANNER™ (CFP®) and a Certified Student Loan Planner (CSLP®) certifications. Outside of work Jared enjoys cooking and traveling. He played baseball in college and still coaches occasionally. He and his wife recently welcomed a daughter, who occupies most of their time. To learn more about Jared, connect with him on LinkedIn.