On the day we say, “I do”, we look lovingly into our partners eyes and think our love will last forever. We secure each other’s wedding ring into place and together embark on a new journey, one that’s filled with hopes and dreams for what’s to come. Unfortunately, not every story has a happy ending and divorce is a real chapter for many. In fact, it can be one of the most challenging experiences a person can go through, both emotionally and financially. You feel alone, scared, lost, or unsure about your next steps. As you transition into this new chapter of your life, ensuring financial stability and security becomes paramount. One of the best steps you can take is to enlist the help of a wealth advisor, an experienced guide to shine light on the path and lead you forward. But how do you choose the right wealth advisor for you? Below are five essential things to consider when selecting a wealth advisor post-divorce.
1. Experience in Divorce Financial Planning
The financial complexities of divorce are unique. Your wealth advisor should have experience in dealing with situations like property division, alimony, child support, and potential tax implications. A wealth advisor who understands the nuances of post-divorce finances can guide you through the intricate maze of post-divorce wealth planning and help you lay a strong foundation for your financial future.
2. Personalized Wealth Plan
Your financial situation and goals are unique, especially after a major life change like divorce. An experienced wealth advisor will take the time to get to know you and thoroughly understand your individual needs, concerns, and aspirations. They’ll customize a wealth plan tailored to your specific situation, ensuring that you’re on the right path to achieving your financial objectives.
3. Transparent Communication
Trust is the bedrock of any financial advisory relationship. Post-divorce, you’re not just looking for a service provider; you’re looking for a partner. You want an advisor who communicates openly, honestly, and transparently, explaining the rationale behind their recommendations and keeping you informed at every step. Regular check-ins, clear explanations, and openness to questions are signs that a wealth advisor is committed to building a special relationship with you and helping to provide you with financial peace of mind.
4. Reputable Credentials and References
In the financial world, credentials matter. Look for wealth advisors with recognized certifications, such as Certified Financial Planner (CFP®) or Chartered Financial Analyst (CFA®). These certifications indicate a level of expertise and adherence to strict ethical standards. Importantly, consider wealth advisors who are fiduciaries, which means that are legally and ethically bound to put your interests first. And with most decisions in life, ask for references or testimonials from other clients, especially those who have also navigated post-divorce wealth planning.
5. Holistic Approach
Your financial well-being isn’t just about numbers. A holistic wealth advisor will consider all aspects of your life, including your emotional well-being and long-term life goals. Importantly, they’ll focus on all aspects of your financial life, including college savings, debt repayment, insurance needs, retirement savings, estate planning, and generational wealth transfers (to name a few), because sound financial planning includes more than just your investments. By looking at the bigger picture, they can align your wealth plan with your life’s vision, ensuring that you’re thriving post-divorce, not just surviving.
Divorce marks the end of one chapter and the beginning of another. Whether you’re redefining yourself or simply finding yourself, this new chapter can be written with confidence and comfort. As you navigate this transition, remember that you don’t have to do it alone. An experienced and caring wealth advisor will help you write your new story and guide you towards peace of mind at a time when life feels anything but peaceful. They will help bring clarity to confusion, change restless nights into restful ones, and empower and help you take your first steps towards an incredible future.
Data Source: This blog was written with the assistance of Artificial Intelligence, specifically Chat GPT and Jasper. Photo courtesy of Adobe Stock.
LS Investment Advisors, LLC (dba LSIA) is a registered investment adviser. The information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investments involve risk and unless otherwise stated, are not guaranteed. Be sure to first consult with a qualified financial adviser and/or tax professional before implementing any strategy discussed herein. Past performance is not indicative of future performance.