For a long time I've thought about how to share the contents of this book with anyone who searches for a strategy to build wealth. I’ve recommended it again and again but sometimes it's hard to find, sometimes expensive, and as someone who has an embarrassing track record finishing books, it can be very convenient to read the Cliff Notes.
These theories are not my own and a red flag had I, or anyone else, claimed them as such. Instead, they are drawn from facts which are easily found in the public domain. The author says much the same thing by highlighting the fact that he has not discovered anything groundbreaking. Rather, he has distilled the information that is available to the public in an enjoyably readable format.
Why summarize and add color to an already very short and accessible book? I consider it a worthy cause if I can help someone save tens of thousands of dollars over their working lifetime by making good financial decisions.
Part 1 Do you need a financial advisor?
This question, more than any other, is one I find myself answering for my clients who are entirely physicians. I’ve spent many hours thinking about this question and what’s best for my family not to mention the many clients and friends who each have their own unique situation. As well, I've completed the CERTIFIED FINANCIAL PLANNER™ coursework and passed the board exam.
After all this self-reflection and formal study my answer to the question ‘do you need a financial planner?' is, alas, it depends.
To find the answer, which can only be discovered by you, requires introspection. I've done a lot of it. The author of this book wholeheartedly believes that financial planners are necessary to build wealth and are well worth what you pay them. The argument he lays out is very strong. And as much as I want to agree with him on all points, I still find myself urging you to do the self reflecting necessary to be certain.
Put another way, for many people he is correct and the value of a comprehensive financial planner is well worth the cost. But for some it may not be so simple. To demonstrate here is what I've concluded about what's best for me and my family...
Given that I've had formal education in financial planning you may think that I would do my own investing. You are partly correct. Although I invest in low-cost index funds for my retirement and do not use an advisor for that, I fully intend to engage a planner as I near retirement and beyond. I, undoubtedly, will have issues arise between now and then which are complex and I won’t hesitate to hire a planner on a per project or hourly basis. I look forward to the day I can offload the work required to a caring planner and have all the time to myself that I would otherwise spend completing these tasks.
Can you see how introspection has led to my own custom-made solution?
My financial education showed me something else you may find surprising. Many financial planners themselves have hired financial planners. Why? because they see value both in their services and in the free time they gain by hiring out these tasks. So as our journey begins my best advice is you need to decide for yourself and my goal is to give you all the information for you to do that successfully.
Up next, start your introspection.