Net Worth Advisory Group

A client requested my opinion of an annuity he was considering. The week-long exchange between myself, the annuity salesman, and the client turned out to be an illustration of what people should beware of when evaluating a financial advisor.

A client asked my opinion of an annuity offering an 8% guaranteed return and a 5.5% bonus just for investing. Essentially, he could invest $439k today and get $56k every year for the rest of his life starting in ten years. Was this a good investment?

Along with eliminating consumer debt, the best financial action young individuals can take is to save early and save often. But exactly how much saving is necessary to enjoy a basic retirement? The answer will likely surprise you.

Low interest rates have been devastating for people who have a low tolerance for risk. Investors are turning toward alternatives that pay higher returns but carry more risk. Among these alternatives are stocks that pay reliable dividends.

Proper asset allocation ensures the portfolio represents the investor's risk tolerance. The method allows participation in market growth but ensures funds will be available when they are needed.

An investor's ability to adequately pass this "chalkboard test" is crucial to their long-term success. How can an investor be confident they are taking appropriate actions if they aren't sure how they chose their investments?

Investors will receive their year-end statements for 2011 and analyze their returns for a volatile year. When comparing their returns to popular indexes, such as the S&P 500, many investors may see that their portfolio produced a lower return.

Prior to the end of the year there are three things that should be addressed: capital gains, required distributions, and Roth IRA conversions. If your advisor hasn’t reached out to you to address these issues it may be time to hire another advisor.

Next year, 401(k) plan participants will see the true cost of their retirement accounts for the first time – and many will not be pleased. In April 2012, long-awaite rules designed to improve fee transparency in 401(k) plans will go into effect.

Net Worth Advisory Group announced today that they have been recognized as a Premier Advisor in Salt Lake City, Utah, by the National Association of Board Certified Advisory Practices.