How to Choose a Financial Advisor

Is a good financial advisor required for investors? In my opinion, yes, a financial advisor is an important person to plan your finance fail proof as informed in my earlier post and in the point 6. So, how to choose a financial advisor?

Selection of a financial advisor is a critical step to get right advice at right time to manage your money in a better and successful way.

While selecting a personal finance advisor, you need to focus on some important points as follows. This article definitely help you to find and select a best personal financial planner.

I consider to divide the most required qualities of a best financial planner as two: Professional and Personal.

Professional qualities to consider when choose a financial advisor

• A good financial advisor should be able to study and analyse the exact goals and requirements of the customers long with personal financial objectives and needs. He should be able to analyze the customer background, strong and weak points for taking right decisions to meet the goals of the customer.

• A good financial planner should understand the risk profile or risk taking capacity of his customers to advise the right investment options to create a right portfolio based on customers goal and time line.

• An advisor should take whole responsibility and vigilant on his investment advises made to the customers. He also capable to proactively provide necessary advises to churn the portfolio of customers by monitoring the same time to time.

• A right financial advisor should track the portfolio of all his customers in a structured way to avoid possible errors. He also should be able to balance the portfolio as per the requirement of customer and by considering the goals, time frame and risk taking capacity.

• A good financial advisor should track the overall performance of the customer portfolio in the changing market conditions and take necessary action accordingly.

Personal qualities to consider

Here are some must required personal qualities of a best financial advisor. You can measure a professional based on these qualities.

• A financial advisor should be a well qualified person in his area. Verify the said educational qualification details if required. Also, check the credentials with the association who provides certification or license to work as a professional financial advisor.

• A good financial advisor should have considerable experience, knowledge and a successful professional history. Check past and present performances of the financial advisor by taking feedback from existing and past customers.

• A good financial planner should be smart and energetic. He should have a passion towards his profession. He should be able to guide the customers with ultimate knowledge on all the products and services that customers want. More over this, he should always update self with all the changes happening in the market.

• A good financial advisor should be available to the customers at any time. He is expected to maintain healthy contact with customers.

• The most important personal quality required by a financial advisor is, he should not be greedy or a profit minded person.

• He should not work on behalf of any company to promote their products or services to the customers. Instead, must maintain professional ethics.

• He should be able to meet the financial goals of customers through right advise and actions time to time. Must capable to produce positive feedback from customers, if asked and have success stories in his profession.

Conclusion

Try to find/evaluate these qualities to any financial advisors you are approaching to. Any financial advisor who doesn’t have most of the above qualities, certainly he is NOT the right one for you. A good financial advisor always value the customer and his needs, as his own.

He should be confident and ready to take responsibility on his advises and enough capable to solve possible issues at the earliest to safeguard customers interest.

Any doubt or question? Connect to me or comment below.