Selecting the Perfect Advisor
"Selecting the Perfect Advisor
A perfect financial advisor is ideally one who helps you make
the right investment decisions, manages your finances and who
imparts all the financial advices you may need from time to
time. Follow these simple guidelines to select your perfect
advisor:-
Credentials: Check for credentials, as there are too many
financial advisors out there. References are very important and
so are the educational qualifications. A Registered Financial
Consultant or a Certified Financial Planner among many other
designations are professionally qualified to deal with your
finances.
Experience: Although in some cases, a formal educational
background compensates for a lack of practical experience, it is
ideal to settle for an experienced advisor - someone who has
counseled clients and experienced market fluctuations. Also find
out about the advisors work history and investment approach.
Compensation: How does you financial advisor get compensated -
does he charge a fee for his services or does he earn
commissions on sales of investment products? Ensure that you
choose an advisor who is compensated on a fee-only basis.
Advisors who work on commissions are only trying to gain
financially, by recommending unnecessary investment and other
options to you.
Investment Philosophy: The potential financial advisors
investment philosophy and approach must match yours, as you are
looking for a long-term relationship. Have a clear picture of
your own risk taking ability, insurance needs, tax and
investment options, long term and short term goals, so that you
can explain these to your advisor.
Level of Comfort: Selecting a financial advisor is solely your
decision. Hence, select someone you can communicate freely with,
a person you can feel comfortable sharing confidential
information. Efficient communication builds trust and ensures a
long lasting relationship. Find out also, if the advisor has any
complaints or disciplinary actions on file.
Personal Attention: Select a not-too-busy advisor who can give
you personal attention. Ensure that your financial advisor has
the time to meet you frequently, perhaps once every three months
and explain everything you need to know. Your advisor should
also be able to provide you with a quarterly assessment and
advice you on any change in strategies.
When you are looking for a financial advisor, you are
essentially looking for a trustworthy person, who will build and
secure your financial future. Hence, the time invested in
finding the right advisor is never a waste; in fact, it is an
essential first step towards good financial management. Visit
www.paladinregistry.com for more details. "