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Research

The Added Value of
Financial Advisors

Vanguard research on how advisors add value through portfolio construction, planning, and behavioral coaching.

The value of advice

The Value Of An Advisor

A study by Vanguard showed that hiring an advisor can help you achieve up to 3% better returns over time compared to investing on your own.

$1,693,177

No Advisor

vs

$0

With An Advisor*

*View Source: Assuming 5% annualized growth of $500k portfolio vs 8% annualized growth of advisor managed portfolio over 25 years.

The Added Value of Financial Advisors

Vanguard Research · Investor note

Source: Vanguard Research · Investor note

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Key takeaways

  • Vanguard research estimates advisors may add about 3% in net portfolio value over time.
  • Value comes from portfolio construction, wealth management, and behavioral coaching.
  • The right guidance can help investors stay disciplined through market volatility.
  • Advisor value varies by individual circumstances, goals, and financial complexity.

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