Financial advisor can provide guidance on entire portfolio for comprehensive financial planning

From Yahoo Finance: 2025-04-06 08:30:00

Is it possible to have someone advise me on only part of my portfolio and does that make sense? It really depends on what you’re trying to achieve and what your financial advisor is willing to accommodate. In most cases, having advice on your entire portfolio is best. But there are exceptions. Your investment portfolio is crucial for reaching financial goals, so it’s important to ensure all parts work together effectively. Your 401(k), IRA, and brokerage accounts may be separate, but they’re all interconnected in your financial plan. Strategies like asset location can boost returns and require a full view of your portfolio. Giving your advisor a complete picture helps make the best recommendations for your financial success. In some cases, clients keep parts of their portfolio separate for various reasons, such as cryptocurrency assets or concentrated stock positions. Advisors can offer guidance within specified boundaries to meet client needs. Different advisors have different approaches, so finding one that aligns with your goals is key. It’s generally recommended to have your financial advisor provide advice on your entire portfolio to ensure comprehensive financial planning. However, if you have specific reasons for keeping parts separate, advisors can work within those parameters to provide tailored guidance. Tips for finding a financial advisor include using SmartAsset’s free tool to match with potential advisors and asking specific questions to ensure you find the right fit. Keep an emergency fund in a liquid account for unexpected expenses, and consider high-interest accounts for potential growth. Matt Becker, CFP®, answers reader questions on personal finance and tax topics. Email [email protected] with your questions. Please note that Matt is not a participant in the SmartAsset AMP platform and has been compensated for this article.

Read more: Should I Share My Full Portfolio With a Financial Advisor?