Guide to Hiring a Personal Financial Advisor
If you want help to manage your own wealth, then it would be beneficial for you to hire a personal financial advisor. There are two types of financial advisors according to how they charge fees; one charge fees by commission, and the other charges fees upfront for his services and between the two your should choose the one that charges fees upfront. If you want to be sure that only your interests are in his mind, then don’t choose the commission based advisor but the one who charges your with his service fees upfront.
If a financial advisor charges you upfront, then the way he is making money is by billing his clients directly. Financial advisors should not violate this standard. This will ensure ethical decision making among personal financial advisors. A financial advisor that bills upfront is prevented from making poor investment choices. If you financial advisor is only after commission, then he can be offering you poor investment choices. And sometimes, these investments backfire and you can get really confused.
If the personal financial advisor is associated with an industry research firm, then he will be a good one to work with. The financial advisor should analyze industry information regularly. Better opportunities will then be given to his clients. Listening to the needs of the client will better help financial advisors to know what opportunities will work best for them.
Consider a financial adviser who is a member of a known association and someone who has a good reputation. His ethics and personality will be shown by his affiliations. If your financial advisor is a member of the National Association of Personal Financial Advisors (NAPFA) then this only shows that he is affiliated with an association with the highest level of professionalism for fee-only providers.
If you are someone who has specific financial objectives or your are approaching retirement, making financial decisions for yourself can be complex. It is only in doing proper research can you really make an informed decision. To make things easier for you, you can have your financial situation managed by a reputable personal financial advisory firm. One such firm is Financial Fiduciaries LLC. Being a member of the NAPFA, this firm is a fee-only investment advisory firm. You can benefit from their planning and investment services. If you hire such a firm, then they will be the ones to do the research and checking out alternatives for you so that they can help you achieve solutions to your financial challenges.
The founder of this firm is Thomas Batterman who is also one of the financial advisors who helps his clients with their financial interests. If you don’t have the time or expertise to handle your financial concerns, then he can provide you with fee-only financial management services.