The Benefits of Fiduciary Financial Planning for Surgeons

Navigating the complexities of the medical field, as a surgeon, you have your plate full of a host of responsibilities. To add to that, managing personal wealth can often become an overwhelming task. This is where fiduciary financial planning comes into play. 

Fiduciary financial planning is not just about managing your investments; it’s about understanding your financial goals, creating a comprehensive strategy to reach them, and continuously reviewing and adjusting your portfolio to ensure it remains aligned with your objectives. This approach, rooted in the highest ethical standards in the financial service industry, is designed to act in your best interest, providing you with transparency for information that impacts you directly.

This blog will delve into what a fiduciary financial planner is and the services they provide to surgeons. Let’s dive in.

  • What is a fiduciary financial planner?
  • Transparency of information that impacts you 
  • Highest ethical standards in the financial services industry
  • Personalized financial plans that are updated yearly
  • Ongoing portfolio management and rebalancing
  • Professional investment management and oversight

Download our newest eBook, “Why Surgeons Need to Consider Asset Location Before Asset Allocation

What is a fiduciary financial planner?

In basic terms, a fiduciary is a person who occupies a position of trust.  

Who are financial fiduciaries? Registered financial professionals who provide financial advice for fees. These advisors and planners are required to put their client’s financial interests ahead of their own 

What is the Fiduciary standard? The highest ethical standard in the financial service industry.

Why select a fiduciary financial advisor? As high-income earners, surgeons, in particular, should seek the services of a highly experienced team of fiduciary financial planners to help oversee their wealth. You’ve worked so hard to get where you are, you should want a fiduciary professional who will look out for your best interests-always. 

How Surgeons Capital Can Help: As a leading financial advisory firm for surgeons, we often witness the unique challenges that surgical professionals face when dealing with their financial affairs. The complexity of your career path, substantial earning potential, current circumstances, and limited time to manage personal finances create a need for specialized services that cater to your unique needs. This is where the team at Surgeons Capital Management, a team of fiduciary financial advisors, becomes an ideal solution when surgeons require sophisticated financial planning, investment management, and risk management services.

Transparency for Information That Impacts You

One of the defining characteristics of fiduciary financial advisors is their commitment to transparency. The financial world can often seem like an intricate maze, filled with cryptic jargon and complex investment strategies. Not to mention the execution of these strategies. For surgeons with demanding schedules, understanding the nuances of financial planning can be overwhelming and time-consuming.

As an integral part of their service, fiduciary financial advisors should serve as financial translators. Ideally, they will provide clear, comprehensible information on how different financial decisions may impact your wealth and future financial security. 

How Surgeons Capital Can Help: We apply a fully transparent approach when managing your wealth.  We will never tell you what to do, but we will suggest the most prudent solutions based on your short and long-term goals. This transparent approach enables you to make informed decisions and take control of your financial well-being, even if you lack the time or interest to dive deeper into managing your financial assets.

Highest Ethical Standards in The Financial Service Industry

The fiduciary duty, a legal obligation to act in the client’s best interest, sets fiduciary financial advisors apart from other financial professionals who are not fiduciaries. This is akin to the Hippocratic Oath for financial advisors, requiring them to uphold the highest ethical standards in the financial service industry.

For surgical professionals like you, who follow a strict code of ethics, partnering with a fiduciary should align with your professional principles. With so many financial advice options, working with a fiduciary assures you that your guidance is unbiased, objective, and tailored to your needs and goals. 

How Surgeons Capital Can Help: As fiduciaries, our focus is always to maximize your results vs. maximizing our income 

Personalized Financial Plans That Are Updated Annually

Every surgeon needs a plan that acts as their financial roadmap. It documents where you want to go (financially) and how you will get there. 

This is as simple as the purpose of a roadmap. In modern times you load your destination in your navigation system and let it calculate the best route to reach your destination.  However, in the case of financial planning, you have to expect the unexpected. Examples of when you may need to adjust your financial plan include:

  1. Change in Income
  2. Major Life Events: Getting married, having a child, getting divorced, or experiencing the death of a spouse can have significant financial implications.
  3. Retirement Planning
  4. Purchasing or Selling a Home
  5. Changes in Tax Laws

How Surgeons Capital Can Help: Remember, a good financial plan is dynamic and should be regularly reviewed and updated as your circumstances and financial goals evolve. 

Ongoing Portfolio Management, Monitoring, and Rebalancing

The dynamic nature of the financial markets necessitates ongoing portfolio management. Successful, high-income surgeons should not have “set-it-and-forget” wealth advice. 

Experienced fiduciary financial planners offer comprehensive portfolio management services, continually monitoring your investments and rebalancing (resetting the asset allocation based on tolerance for risk) the portfolio as required. This ensures that the portfolio remains aligned with the surgeon’s financial goals and risk tolerance, even amidst market fluctuations.

Why is rebalancing important? Suppose your original asset allocation was 60%-40% (stocks/bonds). Then, over the ensuing years, stocks outperform bonds, and your latest allocation is 75%-25%. You now have greater exposure to risk because stocks are more volatile than bonds. You are rebalancing your portfolio’s asset mix to the original 60%/40% allocation. 

High-income earning, high-net-worth individuals like surgeons often require sophisticated investment strategies to optimize their wealth. A fiduciary financial advisor, equipped with a deep understanding of planning and the securities markets, can provide this insight and knowledge that benefits surgeons and their families.  By leveraging a broad array of investment vehicles, they construct diversified portfolios that aim to maximize returns while minimizing risk. 

How Surgeons Capital Can Help: Communication is a key contributor to the success of your wealth management journey. We strive to meet with you regularly to discuss your financial goals and understand if changes are needed to your current portfolio allocations. Whether it’s advising on real estate investments, evaluating retirement plans, or planning for a child’s education, we can provide tailored advice to help you  make informed decisions.

About Surgeons Capital Management

Our commitment to the surgeons we collaborate with is paramount. We typically attend more than 15 surgical conferences and meetings across the US annually. 

Our motivation? To understand your practice, address your worries, and anticipate upcoming challenges. These congregations provide us with a unique opportunity to engage with surgical experts from various fields. Simultaneously, they enable us to stay current with the latest surgical procedures, technological advancements, and research—critical aspects that enrich our advisory role. 
We firmly believe our dedication to aiding surgeons differentiates us from other financial institutions nationwide. Connect with us today to learn more about our highly specialized services for surgical professionals nationwide.

Surgeons Capital Management

More about the author: Surgeons Capital Management

Surgeons Capital Management is a private wealth management firm that works solely with surgeons and surgical practices.