When it comes to investing in the stock market, many people debate whether it’s worth doing the investing themselves or through a financial advisor. Let’s take a look at the pros and cons to these methods of investing to determine which one is best for you.
Before You Begin
Before you begin considering how you’ll invest, it’s essential to first reflect on why you’re wanting to do so. Discovering your purpose for wanting to invest will help you set clear goals and give you clarity on which method of investment will best serve your needs and financial situation.
Investing On Your Own
When you’re investing on your own, online services such as QTrade, will give you a wide selection of investment options and tools to make the process easier for you.
It’s important to remember that you’ll still pay fees for these services, with amounts varying depending on your investment type and amount. While these do-it-yourself services generally charge less in fees than a financial advisor, they require much more time and extensive research on your part, so it’s up to you to determine whether spending the additional time is worth it.
Investing in stocks can be done if you have the time to thoroughly research and evaluate your investments on an ongoing basis, otherwise, a more guided option might be better for you.
Investing with a Financial Advisor
When you invest with a financial advisor, you have a professional with a wealth of knowledge managing your portfolio with your goals in mind. They’ll be able to achieve targeted results to better suit your saving goals by researching which investment direction is best for you.
An advisor can also suggest certain stocks and bonds depending on how long you want your investment term to be. If you’re planning to use the funds sooner, your financial advisor can suggest stocks that will provide a quicker return on your investment for you.
When you choose to partner with a financial advisor for investment services, you know that you’ll receive the full benefits of their industry knowledge on trends, tax laws, and rates of return. The fees associated with a planner may be higher, but again depending on the time and effort you would spend doing your own research, this may be a worthwhile trade-off for you.
At Encompass Credit Union and PlanWright Financial we provide expert advice to help you invest in your future! Give us a call at (780) 842-3391 or visit us online and see how our exceptional staff can help you today.
