Working with a financial advisor is like working with a contractor - the more YOU know, the more specific and informative questions you can ask. Almost every major brokerage and advisor websites have many free info articles that are well worth the reading time.
Financial knowledge, because every person's situation is different, is a complex and difficult subject to delve into. But if you don't start to educate yourself on the generalities, at a minimum - you can be at the mercy of the incompetent (if you're lucky) or the unscrupulous (if you're not).
When the Bernie Maddox scandal broke, remember that there were a number of very well-off, even wealthy, clients who got scammed. Reasonably intelligent people, doubtless with college degrees.
The moment I read that every single person he scammed had written an investment check to him in his name, I knew he was a fraud. Why? Because no advisor actually HOLDS your funds; only a licensed brokerage/insurer or regulated bank can do that. Period. No exceptions!
We use our advisory firm for a number of good reasons. I did our investments for many decades, very successfully. But I have better things to do in retirement than deal with the "nuts and bolts", and especially the finicky details of tax-advantaged distributions.
Good for you, JonSR, for trying to help your friend and others. Knowledge is the best protection anyone can have!
