Are you looking for a financial advisor who can work as a backbone to improve your financial situation? But the question is, how to find the best one as the market is full of a number of financial advisers with different designations, titles, fee structures and investment styles? – Quite confusing
Moreover, some advisers takes help of different means to promote their services uniquely. For solving your finance related questions, why not visit the LinkedIn or Pinterest profile of Mr. Achal Ghai who can turn out to be the best person for financial advising. Knowing more about him, will help you understand, why he is the best? And also compare him with below factors to know why he is the best financial advisor. . .
Understand the difference in service offerings
Financial planning encompasses a large spectrum of services and financial advisers may only practice within a single beam of that spectrum. In broad term, financial planning can be divided into three parts :
- Financial Planning
- Investment Advice
- Retirement Income Planning
Some of the financial advisers only manage assets and offer investment advice. Thus, it is all up to you. You have to know what you are looking for to find a financial advisor that has competence in the area that you need. A good investment should be aligned to your plan. Most of the people start by asking the wrong question, “what should I invest in?”
They should start with “do I have a plan in place that will work?” – according to research, planning can sum up real money in your account.
Understand what financial planning is
In the financial world, planning matters the most. Planning is not the same as investment advice. A good plan should be crafted before anyone recommends an investment to you.
Remember : If you take an interview of someone and they start a discussion on their approach on investment without talking about the financial plan then they may not be the good advisor for you.
Don’t hire an advisor that has a misplaced focus on asset allocation
Don’t be confused. More number of planners focus on an asset allocation model as the primary solution to your plan. How silly? Asset allocation is important, but planning encompasses more than how much you have in which asset class.
The investment advice that includes asset allocation is one of the last decision to be made after other planning factors. One of the planning factor that most of the advisers don’t consider is taxes.
Hire a financial advisor that can incorporate complete tax planning
Financial advisers are not allowed to give away tax advices. This is because of their company regulations. So you must consider someone who is independent. You should not make the mistake of thinking tax planning only applies to rich.
Avoid lemons
One way to avoid lemons is to make sure you find an advisor that is independent and recommend the use of passively managed funds or index funds. Advisor encourages return-chasing attitude and push for actively managed funds that have high fees even if the client starts with a low-free portfolio.
Final tips:
Approaching the best financial advisor is the first step to setting up your business. Have you thought, what will happen if you go through wrong decision? Let me tell you, your entire business would be on the loss. So, it is the most important factor to be consider before hiring any financial advisor.
Try to match interviewer with the above criteria and select the perfect individual among them. Go straight toward success.
