Factors to Consider When Choosing a Financial Advisor

Every person should meet with a financial advisor at least once. Even a person who owns nothing more than the clothes on his or her back should consult with a professional of this type. Doing so helps to ensure the client's belongings are handled properly at all times. Following are some things to consider as the choice of financial advisor is made.


Be sure to ask about the credentials of Financial Advisors Cumming. An advisor may have multiple certifications and licenses, such as CFA, CPA, and CFP. Try to find someone who has achieved the level of CFP Cumming, as this is the highest level a person may attain in the industry. In order to be called a CFP, the person must complete extensive schooling, have several years of experience in the industry and pass an exam that takes six hours to complete. Continuing education is mandated for these individuals and they must adhere to strict ethical standards.


Investigate the background of the financial advisor. Thanks to sites such as BrokerCheck doing so has become much easier. A person can learn if the advisor has any legal or ethical marks against them, which may include bankruptcies or criminal charges. Furthermore, anyone in this field is required to share information about conflicts of interest or disciplinary actions on a form known as their ADV. The advisor can share this ADV with clients or it may be obtained through the SEC's Investment Adviser Search site.


An individual must share personal information with his or her financial advisor, information this individual may not feel comfortable sharing with family or friends. The relationship is extremely intimate, thus both parties must feel completely comfortable with each other. Most professionals in this field will initially meet with a potential client at no charge, so take advantage of this. Learn about their philosophy and style during this meeting to see if your personalities mesh. If they don't, continue looking.

Don't make this decision lightly. Take the time to meet with multiple advisors. Individuals who do so find they are more satisfied in the long run with the relationship and their financial situation overall.