A financial adviser or financial planner is a professional who offers financial advisory services to customers according to their financial condition. In most countries, financial advisers are required to complete certain training and obtain registration with a regulatory body to give advice to customers. However, not everyone who wishes to become an adviser has the knowledge, skills and experience to become a successful financial adviser. This article looks at a few simple steps to financial independence for a common man.
You must begin by taking a look at your wish list of investment options and determine what your personal investment objectives are. You should develop a plan with your financial adviser to set aside a set amount of money to work towards achieving your investment goals. Most financial advisers offer a range of investment options, but most recommend only those products that offer significant long-term potential. Your long term investment objectives are important because they can guide your financial advice from the start. For instance, if you wish to set aside money for retirement in the future, you should only consider products that will allow you to achieve that retirement goal in the future. Your long term investment objectives should be well defined, because this will guide all the financial advice that you receive from your adviser.
You should also set aside a time frame for completing your long term investment plans. You should choose an investment product that you can commit to using towards achieving your long term investment goals. This will ensure that you never get ahead of your planners as your financial advice and you can always afford to review your plans.
There are some common financial advisory investment advisors that many individuals prefer to work with. These advisors include robo-advisors, asset managers, life insurance sales agents and mortgage brokers. Robo-advisors are commonly used by senior citizens and retired persons. These advisors are experienced with setting up and organizing estates. These advisors are often associated with larger firms, which allow them to have access to larger amounts of capital for investments.
Life insurance representatives often represent holders of life insurance policies. Life insurance policies are usually structured to pay out a regular payment that is guaranteed to continue for a pre-determined number of years. Receiving financial advice from a life insurance representative constitutes financial advice according to this guideline when these representatives recommend that you invest in life insurance policies.
Mortgage brokers, on the other hand, deal with individuals and businesses who are looking to buy or sell property. The mortgage broker is experienced in brokering deals for a variety of borrowers and investors. When seeking advice from a mortgage broker, it is important to ensure that the broker has the knowledge and experience required to help you obtain the best deal possible. Receiving financial advice from mortgage brokers constitutes financial advice according to this guideline when these brokers recommend that you obtain mortgage loans for major projects such as home improvements or business ventures.