HOW CLOSELY WILL THE ADVISER monitor your plan? Through the Internet, 401(k) investors can keep an eye on their account daily if they so choose. Your adviser should be watching regularly, too, and sending you alerts if you need to rebalance or make other changes. The adviser can best stay informed if you hand over the password to your account or, at the very least, forward your monthly statements. In most cases, advisers do not actually make the trades, but rather notify you, then follow up to be sure you've pulled the trigger.Nice. I've got a better recommendation. If your financial adviser needs your passwords to advise, advise them to take a hike. Because somehow I doubt that anybody has advised them to use something safer than a sticky note to store your credentials. In fact, they probably keep that stuff on a spreadsheet. And if they're a really good adviser, they put it on their mobile phone, too.
It doesn't matter how much you trust your financial adviser not to steal your money. It matters how much you trust everybody who your financial adviser comes into contact with.
No wonder it feels like an uphill battle.