Choosing the Right Financial Advisor

Your financial advisor is a partner through a life journey and this is why you need to choose one carefully. Your financial advisor needs to thoroughly understand your investment requirements as well as your current financial situation so that they are best able to assist you in terms of navigating your way to your goals.

 

When considering an advisor, you should insist on seeing their training credentials, FAIS accreditation, the products, solutions and services that they are able to provide. Quite importantly, your advisor needs to be clear on whether or not they are independent or tied to a specific company.

 

To make things clearer for yourself, you will need to understand the difference between a Tied and an Independent Financial Advisor:

 

Independent Financial Advisor (IFA): These are advisors who work independently for their clients. They are able to go into the market and source the solutions which would best suit your needs without a bias towards any specific product or solution provider.

 

Tied Financial Advisor: This is an advisor who works for a specific insurance company, banking institution or brokerage service. They are able to provide products and solutions which may meet your needs but this is often limited to the products and solutions offered by the institutions for which they are working.

 

A few key points to consider when looking for a financial advisor are as follows:

 

  1. Qualifications – Your advisor should be fully FAIS approved and considered to be fit and proper to be working in the industry as an advisor.
     
  2. Trust & Integrity
     
  3. Commitment to Service and Support – Once they have provided you with a product or service, they commit to take care of you through your journey, ensuring that your portfolio is sufficiently reviewed so that it stays in line with your financial goals.
     
  4. Quality Advice, Financial Analysis and Products – Your advisor has a duty to, alongside you, analyse your personal circumstances so as to determine your financial goals. Thereafter to recommend the solutions which are in your best interest to assist you in achieving your goals.
     
  5. Committed and Passionate
     
  6. Objective – You are a unique individual with a unique circumstance, there should not be a one size fits all approach to finding the best solution for you. Your financial advisor should provide guidance and support to meet the needs of your circumstances

 

Most importantly when considering a financial advisor is that they are someone who takes the time to understand your personal circumstances and priorities. This is the solid foundation, coupled with a commitment to building a relationship, needed in order to achieve your financial goals.