Top Financial Advisor

Life is good. You’re enjoying the benefits of a substantial net worth, with income flowing in from multiple sources, and several vacations a year. But as a high-net-worth individual, you often find yourself asking: how can you manage your wealth most efficiently?

From diversifying your investment portfolio to increasing your income, purchasing additional properties, saving for retirement, and planning for generational wealth, these are questions that require expertise. A financial advisor can help you navigate these complex decisions and provide you with strategies to ensure your wealth is preserved and grows.

A financial advisor is an experienced professional who specializes in managing investment portfolios, minimizing tax liability, and developing effective wealth management strategies. This is particularly important for affluent individuals with investment portfolios of $10 million or more.

In this article, we will explore what a financial advisor does, why you should consider hiring one, and what qualities define a top financial advisor.

Top 10 Financial Advisor Firms

1. Fisher Investments

Fisher Investments primarily serves high-net-worth individuals, with a minimum of $500,000 in investable assets. It also works with institutions, corporations, and charitable organizations. Fisher Investments specializes in financial planning and portfolio management. The firm has earned recognition for its expertise, including awards from the Financial Times as one of the top retirement advisors and top RIAs.

2. CAPTRUST

Founded in 1997 with just $400 million in assets under advisement, CAPTRUST has grown to manage $630 billion across 83 locations. For individuals, CAPTRUST offers retirement planning, portfolio creation and management, risk management, tax consulting, and quarterly performance reporting. Institutional clients receive investment advisory and fiduciary services, including for retirement plans, foundations, endowments, and religious organizations. Clients pay a quarterly fee based on their investment account’s total value, with a minimum advisory fee applied.

3. Mercer Global Advisors, Inc.

Headquartered in Denver, Colorado, Mercer Global Advisors has over 90 offices across the U.S. The firm provides comprehensive financial services, including financial planning, investment management, estate planning, tax planning, and corporate trustee services. Clients are charged a monthly fixed fee ranging from 0.4% to 1.4% of the value of their investment account, including cash balances. Mercer advisors are compensated with a fixed salary, plus bonuses and commissions. Mercer employs investment strategies focused on multi-factor diversification and cost-efficiency.

4. Madison Investment Advisors, LLC

Based in Madison, Wisconsin, Madison Investment Advisors is a 100% employee-owned firm managing approximately $25 billion in assets. The firm provides investment advice to individuals, pension and profit-sharing trusts, insurance companies, foundations, charitable organizations, and mutual funds. The typical minimum account size for an individual is $1 million. Services include managing fixed-income, balanced, and equity portfolios, using ETFs, mutual funds, fixed-income securities, and equity. Madison’s asset allocation models are proprietary, providing tailored portfolio compositions.

5. Summit Rock Advisors, LP

Registered with the SEC, Summit Rock Advisors primarily serves high-net-worth individuals with a net worth of at least $100 million. The firm also works with pooled investment vehicles and charitable organizations. Summit Rock’s investment advisory fees are typically 0.50% of assets under management, with performance fees of 15% on returns exceeding the SRA benchmark. Additional fees may apply for third-party services.

6. Buckingham Strategic Wealth, LLC

Founded in 1994 and headquartered in St. Louis, Buckingham Strategic Wealth manages $20 billion in assets for more than 10,000 clients across all 50 states. In 2022, it was named one of the country’s leading fiduciaries by Forbes Top RIA Firms list. The firm offers a variety of services including net worth development, retirement planning, investment planning, business owner planning, education planning, charitable giving, and tax planning. Buckingham’s approach is evidence-based, focusing on research results accumulated over the last 50 years. Clients are charged a minimum fee of $3,000 for wealth management services.

7. Moneta Group Investment Advisors, LLC

Moneta Group, with its headquarters in St. Louis and additional offices in Denver, Kansas City, Chicago, and Boston, was founded in 1869 with a core philosophy of “problems to solve, not products to sell.” Moneta does not offer proprietary investment products and instead recommends ETFs, mutual funds, fixed-income securities, master limited partnerships (MLPs), REITs, hedge funds, separately managed accounts, and private equity funds. The firm has no account minimums, is fee-only, and charges fees based on a percentage of the client’s assets. Investment allocations are tailored to the client’s risk tolerance, performance expectations, and factors such as the economy and tax laws.

8. Fort Washington Investment Advisors, Inc.

Founded in 1990 and headquartered in Cincinnati, Ohio, Fort Washington is the primary investment arm of Western and Southern Investment Holdings. It caters to a broad clientele, including individuals, families, institutions, endowments, foundations, and insurance companies. The firm focuses on achieving clients’ financial goals using strategies that include public equity, fixed income, and private equity. The minimum account size for an individual account is $500,000, with fees ranging from 0.50% to 1.00% of the account’s value. Financial planning services are charged either at a flat fee or hourly rate.

9. Beacon Pointe Advisors, LLC

Beacon Pointe Advisors, headquartered in Newport Beach, CA, is the largest female-led RIA in the U.S. Founded in 2002, the firm provides financial advisory services to individuals, businesses, trusts, estates, charitable organizations, pension and profit-sharing plans, governments, and private funds. Beacon Pointe places an emphasis on risk control and diversification across asset classes and investment managers, with a preference for active management, although passive management may be used for asset classes with no active manager. The firm integrates alternative investments into its portfolios.

10. NFP Retirement, Inc.

Headquartered in Aliso Viejo, CA, with offices across the U.S., Canada, Europe, and Puerto Rico, NFP Retirement offers financial advisory services, including asset management and retirement planning. The firm charges fees based on the value of the client’s account, ranging from 0.50% to 1.25% of retirement plan assets. It also offers flat fees ranging from $2,000 to $500,000 depending on the service’s scope and duration, with hourly fees from $250 to $350. Advisors are commission-based. NFP uses modern portfolio theory for asset allocation, incorporating third-party research and proprietary analysis.

Skills of a Top Financial Advisor

A financial advisor is a professional who helps individuals and businesses manage, protect, and grow their financial assets. To perform these roles effectively, a financial advisor must be highly skilled in various financial disciplines. The skill set required for success has evolved considerably over time.

In the past, financial advisors were primarily compensated through the sale of financial products. They might have sold insurance policies in the 1960s and 1970s, tax shelters in the 1970s and 1980s, and stocks and mutual funds in the 1980s and 1990s. As a result, the core skill required for financial advisors back then was the ability to sell.

If a financial advisor couldn’t sell these products, they would quickly lose their position. Over the years, however, financial advising has become more complex and personalized, requiring advisors to expand their skills beyond just sales. Today’s financial advisors need to possess a deep understanding of a range of financial topics, such as investment strategies, tax planning, estate planning, retirement planning, and risk management.

While financial advisors are still expected to offer insightful product recommendations, they must also be capable of understanding and addressing their clients’ unique financial situations, providing tailored advice that aligns with their long-term financial goals.

Let’s take a closer look at some of the essential skills required to become a top financial advisor in today’s world.

Financial Planning

One of the most important skills for a top financial advisor is the ability to create effective financial plans. Clients’ needs can vary significantly, and the needs of high-net-worth or ultra-high-net-worth individuals are typically more complex than those of the average person.

A top financial advisor excels at developing comprehensive wealth management plans tailored to each client’s specific needs. To do so, they assess their clients’ lifestyle, expenses, and financial goals. This process often starts with a questionnaire or a detailed conversation to ensure that the advisor understands the full scope of the client’s financial situation and investment ambitions.

Additionally, a crucial part of the planning process is understanding the client’s risk profile — how much risk the client is willing to take on to achieve their financial goals. This information helps the advisor design a customized plan.

Once the advisor has gathered all the relevant data, they develop a plan that outlines the client’s goals and the most effective strategies for achieving them. This plan will typically specify which types of investments are suitable, how assets should be diversified to mitigate risk, and the time frames within which the goals should be achieved. The plan will also determine how long each asset class should be held.

Creating a successful financial plan requires careful consideration of all of the client’s objectives and a realistic assessment of what is achievable. Not every goal may be feasible, as some will be easier to achieve than others. A skilled financial advisor will prioritize these goals, taking into account what is practical and what might be more challenging. It’s their responsibility to communicate these priorities clearly to the client.

Investment Portfolio Management

Having a financial plan is not enough on its own. To achieve your financial goals, your plan must be supported by action. A key skill for top financial advisors is effective portfolio management. They need to understand financial assets and securities to recommend the best investments that will help you reach your goals.

A skilled financial advisor should also have the ability to buy and sell securities on your behalf, similar to an investment broker. This skill is critical, particularly for managing the investment portfolios of high-net-worth and ultra-high-net-worth clients, where portfolio sizes can exceed $10 million.

Moreover, it is the financial advisor’s responsibility to keep you informed about your investment performance. Regular review sessions are essential to ensure your investments align with your goals. These sessions should be held frequently, but at least annually, to provide an opportunity to assess any necessary changes to your investment strategy and make adjustments to keep your financial goals on track.

Review sessions can be conducted in person, over the phone, or through video conferencing, providing flexibility and convenience. If you’re looking for more information on how to enhance your portfolio’s performance, consider exploring resources and strategies that show how multi-millionaire investors improve their investment strategies.

Legal Management

An essential skill for a top financial advisor is the ability to manage the legal aspects of your finances. As a high-net-worth individual, you are likely to encounter complex legal matters that impact your financial situation, including regulations and laws that govern investments, taxation, and estate planning. It is crucial that your financial advisor is well-versed in these areas.

Your advisor should be knowledgeable about what is legally permissible with your investment portfolio and provide guidance on staying compliant with relevant laws. This expertise extends to areas such as taxation, estate planning, insurance, and inheritances. For example, your advisor should help ensure that your tax filings are accurate and timely, while also providing strategic guidance on minimizing taxes and structuring your estate in a way that benefits you and your beneficiaries.

Ultimately, your financial advisor should be equipped to handle all legal matters that directly affect your financial interests, ensuring that you are protected and your wealth is managed efficiently and legally.

Financial Reporting Soft Skills

In addition to the technical expertise that top financial advisors must possess, they must also have essential soft skills to excel in their roles. One of the most important soft skills is empathy. A successful financial advisor must be able to empathize with clients, ensuring they feel heard, understood, and supported. This is particularly crucial because trust is the foundation of any effective advisor-client relationship.

Emotional intelligence is another key trait. Financial matters can be highly emotional, especially during times of market volatility or personal financial stress. A top financial advisor must be adept at managing these emotions, providing reassurance and stability to clients who may be facing uncertain times.

Additionally, strong communication skills are vital. A skilled financial advisor can effectively create detailed, well-written reports that communicate the current state of the market and provide clarity on investment decisions. Clear communication ensures that clients understand not only the decisions made about their portfolios but also the rationale behind those decisions. This transparency is essential in building trust, which is crucial for any successful financial relationship.

These soft skills become even more critical when managing the portfolios of high-net-worth clients, where the stakes are higher and the complexities greater. A financial advisor’s ability to balance emotional intelligence with clear, transparent communication is key to providing exceptional service.

Best Financial Planners in the USA

There is no shortage of financial planners in the United States. A simple search for “Financial planners near me” will reveal many options. But how can you select the best financial planner from the rest? While certification is important, experience often plays a more significant role in ensuring the planner can meet your needs.

Certification alone does not guarantee the level of expertise needed to handle the unique financial challenges faced by high-net-worth individuals. The certification process is standardized, meaning every certified financial planner or advisor has the same foundational knowledge, which may be more suited to handling the needs of the middle class. Simply choosing a financial planner based on certification may not always serve your best interests.

The distinguishing factor among top financial planners is their experience. The best advisors have extensive experience working with clients in specific wealth brackets. To ensure your financial security in the long term, it’s important to work with a financial planner who has proven experience managing the investment portfolios of affluent clients.

While your financial needs are unique to you, a planner with expertise in creating complex financial plans for high-net-worth and ultra-high-net-worth individuals is better equipped to guide you toward achieving your financial goals.

How to Find the Best Financial Advisor

Many financial advisors claim to be the best at giving financial advice, making it difficult to determine which one truly stands out. However, the concept of the “best” financial advisor is subjective. Rather than focusing on who is the best overall, you should ask yourself, “Who is the best financial advisor for me?”

Most financial advisors have specialized areas of expertise where they excel, and the key is to find an advisor whose strengths align with your needs.

For instance, if an advisor is highly skilled at creating financial plans but lacks experience in handling investments, they may not be the best fit for a high-net-worth client seeking comprehensive wealth management.

If you’re looking for advice on how to better manage your wealth, ensure that you choose an advisor who understands your unique needs and can provide tailored solutions.