6 Signs You've Outgrown Your Financial Advisor
Marketwatch's Alisa Wolfson sits down to explain why clients often "outgrow" their financial advisor-and how to tell when it's time to make a change. As people move through different life stages, their priorities, risk tolerance, and planning needs evolve. That means the advisor relationship that felt right early on (often during the wealth-building phase) may not match what you need later-especially as you approach retirement.
Jeffrey Snyder, Broadcast Retirement Network
Three, two, one. Alisa, it is so great to see you. Thanks for joining us in the program this morning.
Alisa Wolfson, Marketwatch
Thanks for having me.
Jeffrey Snyder, Broadcast Retirement Network
A big fan of your work, and I had reached out because, or we had reached out, because you recently did a piece about outgrowing or the potential of outgrowing your financial advisor. And I guess my first high-level question is, do you think this happens more often than not, more frequently?
Alisa Wolfson, Marketwatch
I think that it does happen more often than people realize. As we grow and evolve, and as our lives become more complex, it's inevitable that maybe the person you started out with initially isn't gonna be the right person for you to end up with as you approach different stages of life, including retirement.
Jeffrey Snyder, Broadcast Retirement Network
So do you think it's more personality-driven? You might outgrow the person's personality, or is it a sense of competency? Like maybe where you're going as an individual may not be in alignment with the skill sets and the capabilities that these individuals have.
Alisa Wolfson, Marketwatch
I think both are actually true. I think it's not uncommon for someone to have differences in personality as they mature, as life changes happen, but also in terms of competency and specialization. And a lot of people begin working with a financial advisor in the accumulation stage.
And so a lot of pros specialize in that arena. And as you grow older and approach retirement, say, and you begin the decumulation phase, your needs are inevitably different. And so you need someone who can really work around that exact area.
Jeffrey Snyder, Broadcast Retirement Network
Let me ask you, I wanna get to the signs in a second, but let me ask you about that decumulation phase. This is something in our industry, the retirement industry, financial services industry, that's being talked about a lot. It seems like there's an area, this is an area for growth among advisors.
Is that your sense?
Alisa Wolfson, Marketwatch
Absolutely.
Jeffrey Snyder, Broadcast Retirement Network
And I'm sorry to interrupt. I was gonna say growth in the sense that both an opportunity, but also in knowledge. So sorry, I didn't ask the question.
No, absolutely.
Alisa Wolfson, Marketwatch
And I think from both sides, one, and it also depends on what kind of advisor you're working with. And a lot of my readers write in and have questions about the decumulation phase because a lot more emphasis is put on the accumulation portion of building your wealth. And I think advisors, depending on how they're paid, if you're working with someone assets under management model might they be less inclined to have you spend down in a way that then impacts their bottom line?
It's possible. Should you approach a new relationship using a different fee model perhaps? There's no black and white answer.
And I think that's what sort of makes the industry a little more complicated and causes people to sort of question if they're making the right choice or not, because nothing is absolutely certain. A lot of it does have to do with personality and what feels right and individual circumstances.
Jeffrey Snyder, Broadcast Retirement Network
Yeah, certainly well said. Let me ask you about some of the signs and we can go in any direction you'd like. This one I think really kind of stuck with me because not everyone has a big account balance.
Am I, Jeffrey Snyder, too small in terms of my account balance for the firm that I'm currently working with?
Alisa Wolfson, Marketwatch
Right, and so that's definitely something to look at. A lot of firms are upfront with their asset minimums and I have plenty of readers writing in asking me, I can't find someone, I only have X amount of dollars and it seems like most of these people only will work with someone who have at least half a million or a million dollars. And there are plenty of Americans who want financial assistance from an advisor who just don't have that significant amount of money.
So absolutely, you wanna find someone who works with people like you, who's familiar with people in situations like yours and that means finding someone that you can work with who's used to working with people that have your asset level.
Jeffrey Snyder, Broadcast Retirement Network
And I guess along with that is another sign which is, are you getting the attention you deserve? And oftentimes, it's those of us with smaller balances that need more attention, right? I mean, we need that fostering that, if I don't know the questions or the right information, I'm gonna come to you, Alisa and say, how do I do this?
Alisa Wolfson, Marketwatch
You definitely don't wanna be in a position where you have the smallest amount of assets at the firm because inevitably the advisor is probably gonna be putting their time and energy into those that they might make more money from. And so you absolutely wanna make sure that you are surrounded by other individuals like-minded who fit your profile and that your advisor really does specialize and have an expertise in people with portfolios like yours.
Jeffrey Snyder, Broadcast Retirement Network
So let's talk about the breakup or the, I don't wanna make, I don't think it has to be, let me start there, does it have to, if I can no longer work with my advisor because we're just not aligned for the aforementioned reasons, I mean, it doesn't have to be acrimonious, right? I mean, how do you broach that conversation to say, look, it's just not working? I mean, is it just best to be upfront?
Alisa Wolfson, Marketwatch
Absolutely, I think communication goes both ways and for a lot of people, the reason they decide to pursue a new advisor is some sort of breakdown in communication or lack of communication. The cadence of the communication isn't what the client is looking for. So I think you can absolutely, there are multiple ways to do it.
You can send an email, you can pick up the phone and just say, look, when we started, I was here, this felt right. I feel like I've matured and grown and I'm now looking for this. And I think any good advisor isn't gonna take it personally and they want what's best for you.
And if they know that you're unhappy, that can be an icky feeling for them. So of course they would want you to go explore other opportunities and really land somewhere that you feel is the right spot.
Jeffrey Snyder, Broadcast Retirement Network
So let's talk about finding that the next person that's gonna be your financial advisor. What's the best way to do that? I've heard a lot of different rules of thumb.
I'm not sure that talking to people that I know, family members or friends is the best way, but how do you broach that? How do you figure out who's next to work with?
Alisa Wolfson, Marketwatch
Well, I would say, I suppose it depends on who your family and friends are.
Jeffrey Snyder, Broadcast Retirement Network
Well, that's true, that's a good point.
Alisa Wolfson, Marketwatch
Some people do like having that personal reference in someone they know, whether it be a coworker who they've seen had a successful relationship with their advisor. And so people will look to people they know for those references, but there are plenty of online resources as well. And depending on the type of advisor you're looking for, if you're looking for someone who works on an hourly basis or someone that will work on a project based engagement, or you want someone even more hands-on to handle your portfolio with an asset center management arrangement, there are multiple sites, the National Association for Personal Financial Advisors, NAPFA offers one, the CFP board offers a site, XY Planning Network can link you up with people depending on your location and the fee service that you're looking for. So there's plenty of opportunities to find professionals.
Jeffrey Snyder, Broadcast Retirement Network
And I have to think, sorry, my calendar is going off, but there have to be, some people may, there may be some rust to do the due diligence. I mean, what things in today's environment, what things should you be looking at in addition to the fees? Because you want to make sure you don't get stuck in the same predicament that you were in.
So how do you go about kind of vetting the advisor candidates that you're gonna talk to?
Alisa Wolfson, Marketwatch
So we actually list, I've done a story where we talk about the nine important questions that you should ask any potential advisor. And a lot of that I think is, also has to do with personality. And you kind of know initially if you gel with someone when you pick up the phone or when you get on a Zoom, you know, that you get a feeling for how the conversation is going.
And if you think you're gonna sort of jive with that person. Absolutely looking at credentials is important. You know, the term financial advisor is very loosely used by many people.
And some lack the proper training and designation of labels, such as a certified financial planner, a chartered financial, you know. So it's important to make sure that the person you're working with absolutely does have those credentials. And then asking them what types of people they typically work with.
And to, you know, provide some examples and ask them what their communication preference is. How often should you expect to hear from them? Do they conduct annual, biannual, monthly?
You know, how often should you expect to hear from them? And sort of set guidelines so that you feel comfortable moving forward with them. And that would be the basic.
Jeffrey Snyder, Broadcast Retirement Network
Yeah, and what about product? Should you get into the questions about, you know, do you prefer mutual funds versus collective? Well, maybe not CITs, but ETFs.
Or is that too detailed or not? You know, maybe you should be a little bit more superficial from there.
Alisa Wolfson, Marketwatch
No, you know, in fact, I think when I talk to advisors and when I talk to readers who write in with inquiries, advisors always prefer more information. So they want to know what you want to really see if they're the right person for the job and if they can help you the way that you want to be helped. So I think asking those specifics and seeing if they're able to answer and give you the response that you're looking for.
And maybe you don't even know the response you're looking for, but to see if they are, you know, able to provide you with an explanation and educate you along the way. I think that's also really important rather than just giving you an explanation and, you know, not checking in to see whether or not you fully absorb what they're saying.
Jeffrey Snyder, Broadcast Retirement Network
Let me ask you two questions, remaining questions. I could talk to you all day, but I know you're busy. So I don't want to take too much of your time.
Two F questions. The first one is fiduciary. I wasn't going to go where the audience thought I was going to go.
I'm talking about fiduciary. How about that? How important, is that a question you should ask when you're trying to find a new financial advisor?
Are they a fiduciary?
Alisa Wolfson, Marketwatch
Yes, the F word. It is very important in this instance. And for those who don't know, although you should, fiduciary is someone who puts the client's best interests ahead of their own at all times.
And so what that means is that they're not taking a cut or receiving a third party commission for recommending a product if it's not actually what is the best product for you as the client. So it's 100%, absolutely, without a doubt, have I made that clear enough, imperative that you care about their fiduciary status. And it should also be displayed on their company website as well.
Jeffrey Snyder, Broadcast Retirement Network
Okay, and then, I'm sorry, the second F word that I wanted to ask you about, which is fees. Yes. There are a lot of different fee structures.
How do you broach that? And how do you figure out which fee structure, Alisa, is best for you? Because you may have been under one fee structure, but maybe now there's a different approach that might work for you.
Alisa Wolfson, Marketwatch
So it depends what you're looking to have your advisor help you with. And if you need active portfolio management, that's typically gonna fall under the AUM model. And there's an industry standard of 1% assets under management there.
And with that, that is not set in stone, it can vary, but the 1% should give you a sort of starting point. And depending on the number of assets, you'll see that there can be a sliding scale, but the 1% should give you a general guideline. As far as hourly fees, those tend to range between about 200 and 600 per hour, depending on where you're located.
And that's really more for someone maybe with more specific pointed questions who doesn't necessarily need an ongoing relationship with an advisor, but needs help with a specific issue. And project-based advisors can range in cost from let's say 1500 to $8,500 per project. And like hourly, typically works best for those who have a specific project that they're looking to complete.
They don't need ongoing asset management, they want a comprehensive financial plan that they can then implement on their own and an advisor can do that all for a nice, tidy, neat little packaged product.
Jeffrey Snyder, Broadcast Retirement Network
And with a nice bow.
Alisa Wolfson, Marketwatch
A little bow on top, yes.
Jeffrey Snyder, Broadcast Retirement Network
Alisa, it's a great piece and folks who may not be aware and I think Alisa talked about it, she's got a great column. How frequently do you do the column? Every week, every couple of times a day, a couple of times a week?
Alisa Wolfson, Marketwatch
Pretty much daily, we take the weekends off.
Jeffrey Snyder, Broadcast Retirement Network
What? Alisa, you are great. Thanks so much for joining us and we look forward to having you back on the program again very soon.
Alisa Wolfson, Marketwatch
Thank you so much for having me.
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This story was originally published July 3, 2026 at 4:30 AM.