Chandik says working with a skilled advisor can go a long way toward curbing these bad habits, but that in and of itself isn’t a cure.
“It’s essential that both the client and the advisor have clear expectations from the start,” he says. “Many people, for example, are under the impression that it’s the financial advisor’s job to beat the market. Not so. No advisor –- at least no ethical one –- can promise market-beating returns.”
Instead, Chandik says, the advisor’s role includes understanding a client’s life goals, assessing risk factors and putting together a blueprint that addresses the client’s needs.