Is good to have personal finance consultant?
Nov 26, 2009
in
Personal Finance
tamale asked:
I wonder how other people feel about having a personal finance consultant to manage their wealth. How many have the service? How long they stay with the same consultant? Are people satisified with their consultant? Thank you.
I wonder how other people feel about having a personal finance consultant to manage their wealth. How many have the service? How long they stay with the same consultant? Are people satisified with their consultant? Thank you.
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4 comments
rehman2w on November 29, 2009 at 4:02 pm
do not much believe and trust upon consultants or people of that type regarding finance , but if your business or wealth is big, have a finance secretary and manage yourself,
if you are to utilize your wealth for further business , it is not the consultant , it is you who shall find where the wealth shall be utilized, the money you spent on consultant shall be enogh for you to get some experience in developing business,
wishing you good luck
Sunshine on December 1, 2009 at 6:46 pm
Yes, it is good to have a certified financial consultant. They will give you a financial needs analysis to determine your needs and to assess your goals and future financial direction.
www.promoneytalk.com on December 3, 2009 at 10:24 am
To start, I’ll need to disclose the fact that I’m a wealth manager, so I’m biased. But I think it’s very important to have someone you can trust to help you manage your finances.
The key term here is “trust”. Most so called planners are nothing more than salespeople. The big brokerages such as Ameriprise, Morgan Stanley, UBS, etc. all pay their “planners” on commission and provide very little real training. To avoid this problem you may want to try to find a fee-only financial planner.
A really good place to start is. All NAPFA members are Certified Financial Planners. Now, there are probably a hundred different certifications out there. The only ones that really matter are the CFP, ChFC, and CFA. CFA’s are usually stock researches for mutual funds or trust funds. ChFC is a good designation but it’s given to life insurance agents and, as you know, insurance is a very commission driven field. The CFP is a worldwide designation sposored in the US by the Financial Planning Association.
The second part of “trust” is finding a planner that you feel comfortable with. Even if you find 3 people who truely have your best interests at heart, if you can’t share openly because you feel intimidated or uncomfortable, then the relationship won’t be as successful as it could be. I would suggest you inteview several local planners before making your decision.
To get an idea of what it’s like to work with a planner, and to learn more about personal finance, I welcome you to listen to my podcast. It’s the #1 rated personal finance podcast in the world with over 1million impressions and listeners in over 60 countries. You can call or write in with questions.
Best,
Jason
teehee on December 6, 2009 at 8:15 am
Nobody cares more about your money than you. It’s a fact, always remember it.
Most financial consultants and money managers will recommend (make you buy) services provided by their company. They skim off the top a percentage of your wealth on an annual basis. If you need financial advice, you should find a flat fee-based consultant who won’t try selling you services of his employer. Make sure to agree on the fee before any discussions take place.
I think you should only hire them when you run into things only a certified financial professional would know about.
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