In this unpredictable financial climate, knowing how to invest our money and handle our assets can be complicated. Some of us turn to the internet, and others to friends, family, and respected colleagues. But, to make the right decisions at the right time, the best person to speak with is a professional financial advisor. We interviewed Short Hill’s Jeffrey Feinstein, a principal and wealth advisor with KBK Wealth Management, LLC. for his professional insights. Here is what Jeff shared with us.
Q: Are there any minimum asset requirements or financial thresholds that individuals should consider before seeking the services of a financial advisor? “It’s a bit less about minimum assets, but more about complexity and needs. Some advisors can charge a flat fee for financial planning, and assets aren’t required. This may make sense for a young couple with significant student debt, but in need of important guidance. May firms, however, have significant minimum asset requirement. We don’t have minimum requirements but do limit the number of clients, so we ensure the most personalized service and a relationship to grow-into.”
Q: What are some challenges and opportunities that individuals should be aware of when managing their finances, and how can you help navigate these? “The biggest have been how to mentally and financially navigate the market volatility and emotional financial decisions. Over the past three years families have been through Covid, and a major market correction in 2022. There are also young families that have or are looking to purchase a new home in these difficult market conditions. A trusted advisor can be extremely helpful in navigating these decisions.”
Q: Can you explain the potential advantages and disadvantages of various retirement planning options, such as traditional IRAs, Roth IRAs, and employer-sponsored retirement plans? “One should always take advantage of employer sponsored plans, as most offer a dollar-for-dollar match and higher limits than IRAs. For those self-employed there are various retirement strategies to take advantage of to limit your tax liability now or in the future. What’s also important is to consider the diversification or pre-and-post tax to provide optionality during retirement. During years of high taxes, you can pull from tax-free accounts, and vice versa.”
Q: In terms of risk management, what measures should individuals take to protect their financial assets and secure their future against unforeseen circumstances like medical emergencies or job loss? “There are two types of insurance (fancy word for risk management) products – property and casualty and personal insurance. With property and casualty, it’s important to work with an advisor to cover your liability and personal belongings. With personal insurance, work with a financial advisor to access, review and secure your disability and life insurance. Not fun topics to think about but important for yourself fand your family.”
Q: Lastly, what are the key qualities or criteria that individuals should look for when selecting a financial advisor to ensure they receive reliable and personalized financial guidance? “First and foremost, there has to be trust and rapport, as a client has to be comfortable with the relationship. It is also important to look at the firm the advisor is with, the team and experience that surrounds them, and whether you want to be with a firm that is independent and boutique or part of a larger entity, referred to as a wirehouse. When interviewing financial advisors, it’s also important to meet with more than one and rely on referrals as well. Lastly, look out for the term “fiduciary”, which means the advisors goals are aligned in your best interests.”
“Everyone has different goals, objectives and different trajectories in their careers,” says Jeffrey. “So, we typically do a full intake session, called a discovery meeting. We ask a lot of questions in order to get to know more about them. We then follow up with what we need for an analysis and to create a recommendation, a financial plan.”
When not helping people improve their financial health and wealth, Jeffrey, from Short Hills, loves spending time with his wife, Alexandra, their two children, 8-year-old Gemma and 5-year-old Case, and the family dog, Hank.
He adds, “I work with a lot of families with young kids and I'm fortunate to also work with a lot of my clients' parents. Some of the same decisions I'm making for my family, I’m also making for my clients, and parents. So that's really nice.”
To learn more, visit https://www.kbkwealth.com. KBK Wealth Management, LLC is located at 28 West 44th Street, Suite 1200, New York, NY 10036 and can be reached at (212) 944-8501.
Jeff Feinstein, of Short Hills, is a principal/wealth advisor with KBK Wealth Management, LLC. He holds FINRA Series 7 and 63 securities registrations, and is licensed in life and health insurance and securities transactions.
The Financial Professionals of KBK Wealth Management are Registered Representatives and Investment Advisor Representatives with/and offer Securities and Advisory Services through Commonwealth Financial Network®, member FINRA/SIPC, a Registered Investment Adviser.
“Everyone has different goals, and trajectories in their careers.”