Find the Best Financial Advisors in Milwaukee, WI

Choosing a financial advisor in Milwaukee

Financial advisors in Milwaukee do more than offer advice and investment tips. Financial planners create detailed, custom financial strategies, including budgets and realistic goals to help clients secure their financial futures.

There are a number of reasons Milwaukee residents seek out financial advisory services:

• New employment
• Recent inheritance
• Change in marital status
• Retirement planning
• Educational planning
• Wanting to buy a new home
• Having a large amount of wealth

People of all income and savings levels benefit from professional financial planning and asset management. Some investment advisors require a minimum starting balance of around $100,000, but many financial advisors in Milwaukee accept clients with any level of wealth.

Types of financial advisors

There are many different types of financial advisors in Milwaukee. The first step to finding the right one is deciding whether to work with a human advisor or a robo-advisor.

Robo-advisors, also known as online advisors, are software programs that use algorithms to make asset management decisions. Clients answer questions about how much risk they’re willing to take and what their goals are, and the robo-advisor uses this information to make recommendations. Robo-advisors are also cheaper and more accessible than traditional advisors.

However, human financial advisors are much more capable of providing nuanced financial advice. While robo-advisors are great for clients looking for a little bit of guidance, human advisors have the education and experience to handle more complex, personalized financial advisory services.

Increasingly, some companies are offering a hybrid option that is a combination of robo-advisors and human financial planners. These hybrid firms aim to provide the best of both worlds by making human advisors more affordable and robo-advisors more detailed.

No matter what kind of advisor you choose, make that your advisor is a fiduciary. Fiduciary status means that the advisor must act in your best interest over their own. This eliminates conflicts of interest and ensures that your advisor is recommending optimal choices.

Advisors don’t have to be a fiduciary, so check before you hire a money advisor in Milwaukee. Non-fiduciary advisors aren’t necessarily working with bad intent, but their compensation structure and lack of oversight make them vulnerable to conflicts of interest that cost you money.

What is the cost of a financial advisor in Milwaukee?

The cost of asset management in Milwaukee depends on the services you need and how your advisor charges. An hourly rate of $150 - $300 is typical if you’re just looking for simple advice to implement on your own. Consumers also pay flat fees between $1,000 and $3,000 for services like creating a retirement plan.

For ongoing asset management, clients usually pay a percentage of their assets under management, ranging from 0.25 to 2 percent. This AUM percentage gets smaller for larger accounts.

Other advisors charge a commission between 3 - 6 percent of any investments or financial products they sell you. Advisors that charge both fees and a commission refer to themselves as fee-based, while advisors that exclusively make money by charging their clients fees are fee-only.

Choose a fiduciary advisor who works on a fee-only compensation structure, especially if you don’t have a large amount of wealth. Anyone working for commission may act in their own self-interest or give advice that is more beneficial to them than you. No matter what option you go with, always ask your financial advisor for a clear explanation of how they make a profit.

What qualifications should a financial advisor have?

At a minimum, financial advisors in Milwaukee should have a bachelor’s degree from an accredited college or university and experience in the field.

Most reputable financial planners also have licenses such as a:

• Series 7 license
• Series 63 license
• Series 65 license

Look for letter designations after an advisor’s name to determine what additional credentials they may have, such as being a:

• Certified Financial Planner
• Personal Financial Specialist
• Chartered Financial Analyst
• Chartered Financial Consultant
• Chartered Investment Management Consultant

The Financial Industry Regulatory Authority’s BrokerCheck is a free tool that allows you to research the background and qualifications of financial advisors, brokers and firms. The Wisconsin Department of Financial Institutions and the Financial Planning Association of Wisconsin are also available to help you search for a reputable financial advisor in Milwaukee.

Once you’ve checked your potential advisor’s credentials, set up a consultation and ask any other questions you have, such as:

• Are you a fiduciary?
• How do you make money?
• What is your investment philosophy?
• Have you ever been disciplined by the government or a professional organization?
• Do you have experience with cases like mine?

Use their answers to make an educated choice and select the right fiduciary financial advisor in Milwaukee for you.