The act of assisting one in making a plan is known as advising. A person who will provide you with information about something is known as an advisor. Therefore, a professional who will assist you in planning for the available finances is known as a financial advisor. He/she will advise a company, business, organization, institution or individual on the best activities to carry out depending on the current financial condition. A financial advisor mainly offers his/her services on a flat fee, commission or an hourly fee. The main benefits of hiring a financial advisor are; setting financial goals, advice on the better ways of saving, assisting you in planning for the retirement and enable you to pay your debts even if you are in a tough financial situation. Below are features of a good financial advisor.
The best financial advisors have quality communication skills. Provision of financial advice involves both oral and written communication, therefore the financial advisor should possess outstanding oral and written communication skills. In order to advise a business or an individual on finances effectively, the advisor is supposed to have improved speaking, listening and turn-taking skills. On the other hand, quality writing and reading skill are also important.
A good financial advisor is supposed to be qualified. In order to become a financial advisor, you need to have a minimum of a bachelor’s degree in a finance or a business course. In order to get the right skills, a financial advisor should have gone for an internship after graduating. In financial advice services, the experience is also needed. A good financial advisor should have passion in order to be conversant with the latest trends in finance and investment.
A competent financial advisor should be licensed. It would be against the law to offer financial advisory services without this document. The license issuing bodies have some set standards which a financial advisor should attain in order to get a license. A license is considered valid if it possesses the relevant security features and a future expiry date. It is illegal to hire an unlicensed financial advisor.
A good financial advisor should possess better analytical skills. Better analytical skills will facilitate the provision of quality advice in the following important fields; cash flow, real estate, insurance, retirement, and tax. Good analytical skills also enable the financial advisor to determine the most profitable areas to invest in.
A good financial advisor should have cheaper prices. Despite the fact that financial advice services can prevent a business from collapsing, a financial advisor should not have high prices. He/she should also introduce some plans and packages in order to cater for all the businesses.