What Questions Should I Ask My Financial Advisor?

If you work with a financial advisor, the real question is simple:

Is the value you are getting worth the fees you are paying?

Being pleasant in meetings does not protect your retirement or your family. You should be able to see, in plain language, what your advisor is doing with your money, why it makes sense, and how it all fits into your financial plan.

The 10 questions below will help you confirm whether your advisor is actually managing a strategy or just supervising a collection of investments. At Atlantic Edge Wealth, we believe the answers to these questions should always be transparent.

Use this list as a checklist for your next review meeting.

Two foundational questions to start with

Before you even get to portfolio details, you need clarity on structure and incentives. These two are non-negotiable.

1. Are you a fiduciary at all times?

Why it matters

“Fiduciary” means the advisor is legally required to put your interests first. Some advisors are fiduciaries at all times. Others only wear that hat part of the time.

You want a direct answer to this, not a vague one.

What a strong answer sounds like

• “Yes, we act as a fiduciary at all times.”

• “We are an independent Registered Investment Advisor and are legally required

• to put your interests first.”

Red flags

• “Sometimes” or “It depends on the account.”

• Evasive answers or a long sales script that never clearly says yes.

2. How are you paid, and what are all my costs?

Why it matters

Fees are not just an expense line. Over time, they are one of the biggest drivers of

whether you actually reach your goals. You should understand every way the advisor

gets paid and every layer of cost in your portfolio.

What a strong answer sounds like

• A clear advisory fee schedule.

• A breakdown of fund expenses and any third-party or platform fees.

• An estimate of your total annual cost in dollars: “Based on your current portfolio, you pay roughly $X per year.”

Red flags

• “The company pays me, not you.”

• Inability or unwillingness to quantify total cost.

Once those are clear, move into the portfolio and planning specifics.

The next eight questions are to bring to your review

Together with the two foundational questions, these bring you to the full set of 10.

3. What is my current mix of stocks and bonds? Why is this mix best for my current financial plan?

Why it matters

Your stock and bond mix (your asset allocation) is the primary driver of risk and long-

term return. If your advisor cannot explain why your allocation fits your age, goals,

income needs, and tolerance for volatility, the rest is noise.

What a strong answer sounds like

• A specific breakdown: “You are 65 percent in stocks, 30 percent in bonds, 5 percent in cash.”

• Tied to your real life: “Given your retirement timeline, spending needs, and other income sources, this mix targets roughly X percent long-term return while limiting expected declines to a level we think you can live with.”

• Recognition of change: How they would adjust this mix as you retire, sell a business, inherit money, or go through a major life event.

Red flags

• “This is our standard model for clients your age,” with no reference to your actual plan.

• Overreliance on generic rules of thumb without any real planning work behind them.

4. How has my portfolio performed recently and over longer periods? How does that compare to a benchmark?

Why it matters

Absolute returns matter, but they do not tell you whether your strategy is working. You

need results in context.

What a strong answer sounds like

• Time frames: Performance over at least 1, 3, 5, and (if available) 10 years.

• Benchmarks: Comparison to relevant indexes, for example:

  • A blended benchmark reflecting your stock and bond mix.

  • Clear explanation if your portfolio differs significantly from “the S&P 500” you see on the news.

• Attribution: Simple reasons for why you outperformed or lagged over certain periods, tied to the strategy you agreed on.

Red flags

• Only talking about recent returns.

• Cherry picking time periods to tell a flattering story.

• No benchmark, or only comparing to the S&P 500, regardless of your actual mix.

5. What areas of my portfolio are over or underweight relative to the index? What is your rationale for this?

Why it matters

Every deviation from an index is a bet. That can be a good thing if it is intentional and research-driven. It is a problem if it is random or driven by product sales.

What a strong answer sounds like

• Clear examples: “We are overweight large-cap growth and underweight small-cap value,” or “We have less international exposure than the global market.”

• Rationale: “Here is why we hold more of X and less of Y. Here are the risks we are accepting and how we are managing them.”

• Consistency: The explanation matches what they told you in the original investment plan.

Red flags

• “We just like these managers,” with no bigger framework.

• Overconcentration in one sector, theme, or country without a disciplined case.

• No answer beyond “Our research team likes these funds.”

6. Are there any financial planning strategies we should be considering in the near future?

Why it matters

If your advisor is only talking about investments, you are getting half the value. Planning is where tax savings, retirement readiness, and long-term security show up.

What a strong answer sounds like

They should be proactive, with examples tailored to you, such as:

• Tax planning

  • Tax-loss harvesting in weak markets.

  • Roth conversions in lower-income years.

  • Charitable strategies using appreciated stock or donor-advised funds.

• Retirement and cash flow

  • Updating retirement income projections after market moves or life changes.

  • Planning around Social Security and pension elections.

• Risk and estate

  • Reviewing life, disability, liability, and long-term care coverage.

  • Coordinating estate documents with account titling and beneficiaries.

Red flags

• “Nothing really comes to mind,” year after year.

• Planning only happens when you bring up the subject first.

7. What is my current portfolio’s expense? Are we holding any funds that are not worth their expense ratio?

Why it matters

Fund costs quietly eat into returns every year. For active strategies to be worth it, they need to clear a higher bar than low-cost index funds.

What a strong answer sounds like

• A summary: “Your weighted average expense ratio is about X percent.”

• A breakdown: Which holdings are inexpensive core building blocks and which are higher-cost active or specialized funds.

• A defense: Clear reasons for any higher-cost positions, supported by process and evidence, not just “they have done well lately.”

Red flags

• They do not know your average expense ratio.

• Heavy use of high-fee mutual funds or annuities without a clear explanation.

• Dismissive comments about cost, such as “it does not really matter.”

8. How much is my current advisory fee, and do you think it is appropriate for the service I am receiving?

Why it matters

You should be able to connect your fee to concrete value: planning, analysis, behavioral coaching, coordination with other professionals, and a thoughtful investment process.

What a strong answer sounds like

• Specificity: “You are currently paying X percent, which is roughly $Y per year based on your current balance.”

• Framing: A concise explanation of what that fee includes, such as:

  • Comprehensive planning.

  • Ongoing portfolio management and monitoring.

  • Tax-aware strategies.

  • Direct access to your advisor and support team.

• Self-awareness: Willingness to discuss whether your current fee schedule still fits as your assets and needs evolve.

Red flags

• “Our fee is standard for the industry,” with no connection to your experience.

• Dodging the question or pivoting back to performance alone.

9. Have you consulted with my CPA or estate planning attorney recently to ensure you are all aligned on my strategy?

Why it matters

Real value for higher net worth families often shows up at the intersections: investments, tax, legal, business interests, and family dynamics. If your professionals work in silos, opportunities get missed.

What a strong answer sounds like

• Recent coordination: Specific examples of calls or emails with your CPA or attorney in the last 12 to 24 months.

• Substance: “We shared your projected Roth conversion plan,” “We confirmed how your trust is titled,” or “We coordinated the sale of your business with your CPA to model tax impact.”

• Process: How and when they bring your other professionals into the conversation, with your permission.

Red flags

• “We are happy to talk to them if they reach out,” but no proactive coordination.

• They have never spoken with your CPA or estate attorney despite working together for years.

10. What should I expect from you over the next 12 months?

Why it matters

You are not just paying for what happened last year. You are paying for what will happen next.

What a strong answer sounds like

• A simple planning calendar: key reviews, tax windows, and decision points.

• A list of focus items for your situation, for example:

  • “We will revisit your withdrawal strategy in Q1.”

  • “We will look at Roth conversions once we see your final tax picture.”

  • “We will refresh your estate plan summary after your attorney finalizes updates.”

• Clarity on communication: How often you will meet, what those meetings cover, and how they handle ad hoc questions in between.

Red flags

• Vague promises instead of a clear, forward-looking plan.

• No written follow-up after meetings, summarizing decisions and next steps.

How a firm like Atlantic Edge would approach these questions

If your advisor cannot answer these 10 questions clearly and confidently, that is useful

information.

A planning-first, high-touch firm should be able to:

• Show your exact allocation and tie it directly to a written financial plan.

• Report performance net of fees against appropriate benchmarks.

• Explain any overweights and underweights to the indexes in plain language.

• Identify concrete planning strategies that fit your situation this year.

• Quantify your portfolio expenses and defend any higher-cost holdings.

• State your advisory fee in dollars and justify it with real work and access.

• Demonstrate recent, practical coordination with your CPA and attorney.

• Lay out what they will be working on for you over the next 12 months.

If you want a second opinion, you can use this exact checklist in a meeting. Whether you stay with your current advisor or seek a new one, you should have clear answers.