Going to Vegas and betting everything on one blackjack hand isn’t a good idea, but choosing the wrong Financial Advisor can be just as big of a gamble. When selecting an advisor, clients should learn more about their experience, their areas of expertise, their fees, and how they’ll make financial goals a reality. Keep the below tips in mind as the search begins.
Avoid Credential Confusion
Customers should start learning about advisors’ various licenses and titles to learn who’s qualified to do the job. For instance, a registered representative is a stockbroker, and they can legally sell insurance and investment products. Advisors are held to very high standards, and they work for two types of firms: RIAs (registered investment advisors) and IARs (investment advisor representatives). Planners do not need a licensee, but those who do must complete college courses, examinations, and training to earn industry certifications.
Determine What’s Needed
If a client needs money management help, they should find an RIA. If they’re in need of tax planning assistance, a certified public accountant (CPA) may be a better option. Hiring will vary according to the client’s needs, but those in doubt should choose a CFP or certified financial planner. CFPs go through a multi-year certification process, and continuing education keeps them up-to-date on the industry’s latest practices.
Check Their Record
Like any other professional, financial planners have varying levels of expertise. The planner chosen should have at least a few years’ experience in accounting, law, trading, or financial planning. Clients should learn which licenses their planner holds, how long they’ve been practicing, and what types of clients they help.
Meet Face-to-Face
One should not hire a financial advisor in Colusa without a face-to-face meeting. The experts suggest narrowing the list to three candidates and scheduling an interview with each. The interview will tell the client how the advisor does business, and it will give valuable insight into office culture. Clients should be honest about their financial needs, and they should expect the same level of honesty from their planner. A potential client should ask for information such as:
- Quarterly financial reports
- Fee schedules
- Communication style
- References
Choosing a Financial Advisor in Colusa doesn’t have to be a gamble. By following the tips above, and by learning about each advisor on the short list, clients can get the help they need to plan for their future.
For more information, Contact Ryan Wealth Management.
