Financial advisors help you to achieve your investment goals by quantifying your objectives and evaluating your income. They evaluate your expenditure by which he determines and decides about funds allocation in order to achieve your goals.

Once the advisor has determined your goals and has made a chart of your funds allocation, you can start investing.

Financial planning is a very important part and financial advisors are the best people who could help you achieve your financial goals.

Financial advisors are well informed and have the ability and capability to judge funds, as in which investment would suit you best, as products in the market are complex and varied.

He plays a vital role in helping you achieve your financial goals. Presence of a competent, experienced and honest financial Advisor can ensure that the entire process of Investment becomes an easy task.

The Benefits of Having a Certified Financial Advisor

A few people prefer taking care of their own finances but however, rarely succeed in making the most out of their investments. Using a finance advisor is a great option if you:

Finance Professional

When you invest money in any financial product, the main objective is to generate higher returns. Now in order to get higher returns while investing, one sure thing is you need to know and understand the market. If you do and are confident of taking the responsibility of your finances, well and good but if you don’t, we recommend you to hire a financial advisor who could help you achieve your financial goals.

Now the question is how do you select a financial advisor?  

Listed below are the steps to keep in mind before hiring a finance advisor.

  1. Meet and review different finance advisors – your finance advisor depends on where is it exactly that you are looking to invest, i.e. saving plans, tax saving plans equity, stocks etc. taking advice from your friends and colleagues could help you find one. Make sure your finance advisor assure you to update and implement periodic reviews.
  2. Education, Qualification and Certifications – people dealing with your finances should be in a position where you can trust them with your hard earned money. Do check the advisor’s education, his qualifications and his certifications.

 -IRDA certification for insurance business

– AMFI certification for mutual funds.

  1. Experience – Yes, experience matters when you choose a financial advisor. It’s your money at stake. Experiences like Dealing with recession. The past history of the advisor will make it easier for you to judge your advisor.
  1. Types of clients the advisor has dealt with – the more clients the advisor has dealt with makes it easier for you to trust your advisor with your money because that is the kind of experience advisor holds. However, you must also ask for references in order make sure whatever info the advisor gives are authentic.
  2. Awards and Achievements – check if the financial advisor has been awarded for his career. Also do check in the media, whether they categorize him as an expert or not.
  3. Track record of the financial advisor – the past performance of the advisor implicated to his present and future. His performance in the past shows his skills as a professional. Also believe what you read about the adviser and not just believe the adviser words.
  4.  Method of Compensation – what’s the compensation of your financial adviser. They could charge you on hourly basis, monthly basis or even ask for a percentage on the assets they manage for you. Look for a professional whose compensation suits you.

There are a number of financial advisors out there but not everyone would suit your needs. Mode of payment differ from individual to individual. The experience of the advisor you choose also makes you gain confidence on the professional.

Do keep in mind the above listed points when hiring a adviser to deal with your hard earned money.

Invest in Mutual Funds

We at prosper X wish you all the best.

Caution: be diligent and sincere when selecting a financial advisor. Do not hesitate to ask questions. 

ProsperX Editor

Happy Investing!     


Also Read:

A Quick Guide to Investment Options

Why is Periodic Portfolio Review Important


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ProsperX is a community driven marketplace where you can confidently invest through high quality advisors.

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