What are Kent's Standards for Approved Financial Advisors?

or go back to finding an advisor

Kent hand-selects financial advisors who meet the following specific requirements:


1. Advisor charges on a "fee only" basis, that is, not using any hidden commissions. (Note: Many so-called "fee based" advisors charge commissions. As a result, we only take "fee only.)

2. Consistent with the fee-only tradition, advisor serves a fiduciary to their clients (i.e., in their best interest), consistent with the 1940's Advisers Act. (Note: the term "fiduciary" is now being reinterpreted by the commission-based broker-dealer industry to mean something less than its original meaning, thereby allowing the industry to continue with hidden commissions. As a result, we only take advisors who refuse commissions.)

3. Advisor has a suitable level of education and experience that demonstrates their expertise.

4. Advisor offers comprehensive advice that starts with understanding a client's goals. Comprehensive advice includes looking at insurance needs, estate and medical directive planning, estimating the required level of saving needed to achieve goals, and, of course, investment advice.

5. Advisor agrees with an investment management style that generally recognizes that they are unable to "beat the market" through techniques such as "market timing" and "momentum trading." Instead, investments in diversified stock and bond funds are chosen consistent with a client's goals.

6. While an advisor is free to set a minimum threshold for asset management and services, Advisor agrees to treat all clients professionally, comprehensively and promptly, within the norms of the fee-only advisory industry.