The Value of an Advisor
The value of working with a professional team extends well beyond the returns you earn on your investments. According to a Vanguard study, professional support across implementation, rebalancing, behavioral coaching, tax management and spending strategies has the potential to add about 3% in total net returns each year!
Why is there a difference? Investors often buy into a fund after a winning streak (at high prices) and sell when they get nervous (at lower prices). Buying high and selling low is not an optimal strategy, but that is what so many investors do when they let their emotions drive decision-making.