Finding a trustworthy financial advisor: Consumer Sundays
Hopefully the last time you saw your financial adviser, he wasn't in handcuffs, answering to federal investigators about Ponzi schemes he funded with your retirement money.
So how do you ensure that your broker or adviser isn't doing something shady with your cash? Personal finance columnist Eileen Ambrose offered some tips for making sure your financial advisor is no Madoff in her Sunday column.
The simplest way to protect your money stems from an old adage:
Don't put all your eggs in one basket. Don't have one adviser controlling all your cash, because if s/he got indicted ... what would you do?
And while the regulators didn't do a ton to prevent the Madoff fiasco from reaching calamitous proportions, you can check the Securities and Exchange Commission for complaints against him or her. You can also verify that he or she is licensed through either federal or state regulators.
Got more questions? Don't forget to tune in for Eileen's live chat on finding a trustworthy financial adviser at noon Tuesday.
Can't make it then, or have a complicated dilemma? Feel free to e-mail her ahead of time with your questions, at eileen.ambrose@baltsun.com.
