What to check, what to ask, and how different types of advisors compare, before you choose.
1. Fiduciary 2. Compensation 3. Experience 4. Credentials 5. Fit 6. Services 7. Firm type Questions to ask How BKM measures up
Finding the right financial advisor is one of the most important financial decisions you can make. Your choice of advisor can impact your financial future, security, and ability to live the life you see for yourself. Such an important decision deserves careful consideration, and these criteria can help you in your evaluation process.
Your 7-point checklist
Plus: the key questions to ask in your first meeting, and how BKM measures up.
STEP 1 OF 7
12%
Only about 12% of registered financial professionals are registered solely as investment adviser representatives.1
Ask directly: “Are you a fiduciary at all times?”
A fiduciary is legally required to act in your best interest throughout your relationship, putting your interests ahead of their own. Brokers follow a narrower rule, Regulation Best Interest, which applies when they make a recommendation and generally doesn’t require them to monitor your account afterward. Most advisors are not fiduciaries, or only fiduciaries part of the time. Non-fiduciary advisors may earn commissions or operate within structures that create conflicts of interest.
STEP 2 OF 7
88%
About 88% of the people registered to sell or advise on securities are registered with a broker-dealer, which allows them to earn commissions.2
Fee structures vary significantly. Know what you’re paying and why:
Fee-only
Charges a flat fee, hourly rate, or percentage of assets under management (AUM). No commissions.
Fee-based
Charges fees but may also earn commissions on products sold.
Commission-only
Compensated solely through product sales — be aware of potential bias.
Understand the differences between fee-only fiduciaries, fee-based advisors, and commission-only brokers — before you choose.
Green shading = generally considered to be favorable to the consumer/client.
Orange shading = generally considered less favorable for some consumers/clients; potential conflict or limitation.
Titles like “financial advisor” aren’t reserved for any one model, and CFP® professionals work in all three. Ask how the person is registered and how they’re paid.
STEP 3 OF 7
38%
More than a third of advisors (about 38%) plan to retire within the next 10 years.3
72%
The failure rate for new advisors hovers around 72%.4
Successful financial planning requires a level of expertise and experience that isn’t learned overnight. It also does not end at retirement, but continues as long as you have goals to meet. Look for an advisor who has built up the experience and expertise, but also isn’t going to be retiring long before your financial journey is complete.
STEP 4 OF 7
30%
Only about 30% of financial advisors are CFP® professionals.5
Look for recognized certifications such as CFP® (CERTIFIED FINANCIAL PLANNER®), CFA® (Chartered Financial Analyst®), or CPA (Certified Public Accountant). Verify their record at FINRA BrokerCheck or the SEC’s Investment Adviser Public Disclosure database for any disciplinary history.
STEP 5 OF 7
The best advisor for you has experience with clients in similar situations — whether you’re planning for retirement, navigating a divorce, running a business, or building early-stage wealth.
Ask: “Who is your typical client?” and “What situations do you specialize in?”
STEP 6 OF 7
Proper financial planning does not end with investment management. Financial advisors range from investment-only managers to comprehensive planners covering tax strategy, estate planning, insurance, and budgeting. Make sure their service scope matches your needs. Also ask how often you’ll meet, how they communicate, and whether you’ll always work with them directly or be handed off to junior staff.
STEP 7 OF 7
Ask about their firm. Do they work for a large broker-dealer, wirehouse, or bank, or are they a small independent or RIA firm? Large firms may have deeper resources, offer broader services, and have credibility. But their advisors may be limited in the services they offer and the options available to them, may be incentivized to use certain products or services by the firm’s compensation structure, are less often fiduciaries, and may have higher minimums or fee schedules.
RIA firms are fiduciaries at all times and free to recommend any product, investment, or course of action. They may offer more personalized service and lower minimums, but may not have resources as deep or services as broad, and lack institutional backing.
Large wirehouse firm vs. small RIA / independent advisor — key pros, cons, and factors at a glance.
At a glance
Curious how BKM answers these? See below.
Here’s how BKM Wealth Management compares on the same factors.
ADVANTAGES
✓Small firm, big resources
BKM retains access to institutional research and third-party analysis through one of our custodians, Wells Fargo Clearing Services, LLC, and other relationships. BKM is not affiliated with Wells Fargo.
✓Fiduciary at all times
No firm products to push, obligated to eliminate or fully and fairly disclose conflicts of interest.
✓More personalized
We serve a select group of individuals, families, and business owners, so we can get to know your full situation.
BKM can recommend from a broad range of products and funds, not a proprietary lineup.
✓Advisor continuity
You will have a direct relationship with one of the partners.
✓Availability
BKM strives to maximize the accessibility of our advisors and associates during normal business hours via phone, email or text.
✓Specialists
BKM has a CPA on staff, and close relationships with estate/trust attorneys, and retirement plan administrators.
✓Insurance Reviews
We review your insurance as part of your financial plan. BKM doesn’t sell insurance or earn anything from policies or referrals. When you need coverage, we’ll coordinate with an agent you choose or introduce you to specialists who charge fees, not commissions.
✓Technology & Tools
BKM has the autonomy to acquire and access any technology and tools it finds beneficial, from any provider it chooses, rather than a single firm-mandated platform.
✓Banking Services
Through relationships with custodians, BKM’s clients retain access to banking and lending services.
✓Continuity
BKM was formed in 2020 by advisors whose practices date back to 1978. The firm has continuity and succession plans in place.
LIMITATIONS
BKM at a glance
| Fiduciary standard | Always |
| Product access | Open architecture — a broad range of products and funds, not a proprietary lineup |
| Typical minimums | $250k |
| Personalization | High |
| Support resources | Local, often supplemented by external specialists |
| Advisor stability | Strong continuity |
| Conflict of interest | Low — no commissions, proprietary products or sales quotas. The conflicts we do have, such as asset-based fees, are disclosed in our Form CRS and Form ADV. |
| Best suited for | Contact us to see if we are a fit for you |
This page is for informational purposes only and does not constitute financial advice. Always conduct your own due diligence before engaging any financial professional.
BKM Wealth Management, LLC (“BKM”) is a Registered Investment Adviser. BKM provides individual client services only in states in which it is filed or where an exemption or exclusion from such filing exists. Registration with the SEC does not imply a certain level of skill or training. Please consult BKM Wealth Management, LLC’s Form CRS and Form ADV Brochures available at www.bkmwm.com and www.adviserinfo.sec.gov
We are a family-owned business serving a select group of individuals, families and business owners in all areas of financial planning.