Why would any one pay for advice?

I added this page to provide a few insights into the Quantitative Value of Advice.   Keep in mind, I am an advisor so, I already believe in the value of paying for advice.  You need to make your own decision.  

Here is a scenario I experience often and I want to share with readers:

Many of my clients come to me from referrals (#love_referrals).  Those folks already know they want to pay for the service of advice.  However, more than a few times in my travels I receive the question, 

"Why would I hire an advisor?"  

The most common follow up to that questions is the individual's own answer, "I can research everything I need online."  

My reply is something along the lines of:

"That is true, everything you need to know is researchable online.  But ... is that time spent going to be a good use of your day/ money/ kid's day off/ mind bending sales pitch watching video moments time/ etc.?"  

Everyone must determine for themselves if paying for advice is a better use of their resources than hiring help.  Here are a few links to check out if you have pondered this question:

Kiplinger article - Your Advisor Charges What? Understand the Value of Advice

Vanguard white paper - Advisors add "about 3%"

The Balance article - Is it Worth the Money to Hire a Financial Advisor?

The Telegraph - The value of expert advice from a financial adviser

Russell Investments white paper - Your advisor ... worth nearly 3%

Fidelity article - The Value of Advice

Morningstar white paper - Alpha, Beta and Now ... Gamma

Michael Kitces - Impact of Fees And Investment Costs on Safe Withdrawal Rates

There are definitely contra articles to the above.  For example from:

The White Coat Investor - Value of an Advisor

Ninjacapitalist - Do Financial Advisors Add Value?

Ping me with your thoughts?  I would love to hear what you think about paying for advice. 

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