An investment discussion should begin with the job the money must do. Product names, rankings and recent returns come later.
Ask about purpose, date and access first. Then explore the underlying assets, expected behaviour, risks, costs, tax structure and alternatives. The advisor should be able to explain what could go wrong without relying only on a risk label.
Past performance can provide history, but it should not become the reason a future result is implied. Compare like with like: the same period, risk, benchmark and cost basis.
Take these questions
- What goal and time horizon is this investment meant to serve?
- What does it own, and where is it concentrated?
- How much could it fall, and what would we do then?
- When and at what cost can I access the money?
- What is the total expected cost?
- Which alternatives were considered, including a simpler one?
- How will we judge whether it is doing its job?
Try this now
Write the answers in your own words after the meeting. If you cannot explain the purpose, main risk and total cost to someone you trust, ask for another explanation before committing.
No investment question removes uncertainty. Good answers make the uncertainty understandable and connected to your circumstances.
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