Financial Advisor Interview Tips

When meeting potential financial advisors, approach the first discussion like an interview. Ask questions that help you assess their ability to manage your finances appropriately.

A good advisor will ask you about your goals, your current financial situation, future plans, and comfort with risk so they can begin shaping an investment strategy aligned with your needs.

Steps to prepare before interviewing an advisor

1. Define your personal financial goals

You work hard each day to support your family and your lifestyle, so it is important that you know what you want your life to look like down the road. Your goals can be broad, such as traveling in retirement, or specific, such as buying a car in the next few years.

Write down your goals and keep them handy for the interview. Ask yourself:

A. What am I saving for?
Examples: a new car, a down payment on a home, vacations, sending your kids to college, paying off credit card debt, or retirement.

B. How much progress have I made?
Make a note of how much you have saved, where your money is held, and how much money you owe.

C. When do I want to achieve each goal?
Break each goal into:

• Short-term: 1 year or less
• Medium-term: 1 to 3 years
• Long-term: 5+ years

Knowing your priorities and communicating them clearly helps your advisor recommend a strategy that suits your needs.

2. Prepare your questions for the advisor

Go into the interview with a clear list of questions. Be prepared and write down the answers so you can compare advisors objectively later.

Ask the financial advisor the following:

• What services do you provide?
• What licenses or qualifications do you hold?
• How would you prepare my financial plan?
• What ongoing support will I receive after the plan is created?
• Who are your typical clients, and how have their portfolios performed?
• How many clients do you manage, and what is the average portfolio size?
• How have portfolios similar to mine performed over time?
• How did those portfolios perform over 1, 5, and 10 years, after fees?

Ask about compensation and fees:

By now, you should have a sense of the value the advisor provides. Next, confirm whether their fees make sense for you.

• How is your compensation calculated?
• Do you offer a free initial consultation?
• Can you provide a written estimate of total fees?

Once you have these answers, you’ll have a good idea of whether the advisor is the right fit.

Click here for more questions to ask a financial advisor.

3. Verify the credentials of the advisor

Advisors may list several licenses and designations, so take time to understand what each one actually means. To learn more about what each license and designation means, visit our designation page.

Always obtain a copy of the advisor’s registration form, Form ADV.

Part 1 discloses information about the advisor’s education, business, and any regulatory or client issues.

Part 2 explains services offered, fees, conflicts of interest, and investment strategies.

You can obtain Form ADV directly from the advisor, the SEC, or the state securities regulator, depending on the size of the advisor’s firm.

Use BrokerCheck to research the advisor.

Also, use FINRA’s BrokerCheck to run a thorough background check. Any investor can use this to research a financial professional or firm. This free tool lets you look up brokers, brokerage firms, financial advisors, and investment advisory firms to see their registrations, employment history, and any disciplinary actions.

Click here to read how to use the BrokerCheck Tool

4. Evaluate your advisor post interview

After each meeting, step back and objectively review what you learned about the advisor. Compare the advisor’s qualifications, fees, and approach side by side. Make a note of anything that makes you feel either uneasy or confident. Trust your instincts!

Ask yourself:

• Did the advisor truly listen to your goals, risk tolerance, and questions?
• Did they explain concepts clearly, without pressure or using financial jargon?
• Were the fees transparent and easy to understand?

If the advisor shared client references, look for long-term, satisfied clients, as they’re often a strong indicator of consistent service and trustworthiness.

5. Decide which advisor you wish to hire

If you have gotten this far, you should have most of the information you need to make a confident choice. Take your time. Don’t settle for an advisor you’re unsure about. There are many professionals available, and you should be able to find someone with a strong track record, the services you’re looking for, and reasonable fees.

Most importantly, choose an advisor you feel comfortable with and trust. You should have full confidence in the person guiding you, since you’ll be sharing personal financial details and they will be making decisions that affect your future. No matter what his or her title is, your advisor should seem like the right choice to you.