Dear D.C. lawyer: Your financial adviser may be earning more than you are. According to Financial Advisor Magazine, a survey of around 3,000 financial advisers found that investment generalists had an average annual salary of $279,000. And "wealth managers," who reportedly are better able to appeal to affluent clients -- presumably including big firm partners -- earned an average of $881,000.
That's a lot of money, particularly for a subject that frequently can be less complex than many sophisticated D.C. legal practices. If you have a financial adviser, make sure he or she isn't a bad one, and consider ways to reduce your advisory costs.
It might be time for a career change! Seriously though, this brings to light the fact that it's very important to find a competent advisor who practices what they preach, if indeed you will be paying that much for one.
Posted by: Josh Neumann | August 20, 2008 at 10:47 AM
Wow! This is kind of eye opening.
With all the turmoil going on in the markets and investors losing money, are such high salaries for wealth managers and financial advisors justified?
One keeps wondering!
Posted by: Financial Planning Demystified | July 02, 2008 at 07:03 PM