3 Things you Must ask your Financial Advisor in Canada

in Finance

 

You have to trust that your mechanic will be honest with you when he performs your car’s routine maintenance. You have faith that your plumber knows how to fix your home’s pipes. But when it comes to your money, you tend to be a little less trusting, and a lot pickier—and why not? It is your money, after all.

Investing is no small matter. The stock market can be a confusing place to someone who is not an experienced professional. Many people chose to invest with the help of a financial advisor Canada. A wealth manager can definitely help you receive the greatest results by helping you make the right investment decisions for your financial circumstances. However, you should never simply hand your funds over to your financial advisor, no questions asked. Before you trust anybody with your funds, you need to know a bit about them. Here are the top three questions that you should ask your financial advisor Canada:

  1. How much experience do you have? —You are going to be more likely to see your money bring in a good return if you hire a professional with a lot of experience. You want someone who has been around the block a few times to manage your funds. Your financial manger should have enough years under his or her belt to know what to do and how to act in both a good, healthy market, and a down one. Enquire about your potential financial advisor’s educational qualifications, as well. While it is of course important to hire someone with the right certifications for the job, you also want to ensure that your financial advisor has a mind for investing successfully.
  2. How many clients do you cater to? –You are probably not going to be the only person whose portfolio your financial advisor will service. You will want to hire a professional who is managing some funds, but not too many. If you opt to hire a financial advisor with too many clients, you will probably end up feeling neglected because he or she may not have the time to answer all of your investment questions. It is also very important that you ask your advisor about the success of the portfolios that he or she does manage.
  3. How much do you charge? –The whole point of investing is to grow your money, so paying an investor to invest for you can seem counterproductive. A broker will cost you. But you, as a novice individual investor have to decide if it will be worth it for you to pay someone to manage your money. Ask your advisor what their pay rate is. Do they charge by the trade, or are they commission-based? More to the point, what additional services do they offer that may make them worth the extra money? Will you be able to contact them with any questions that you might have? Will they be willing to explain their investment decisions?

A financial expert can greatly increase your chances of investment success.  Don’t be afraid to ask a financial advisor about their qualifications—you are the client, and you have a right to know.

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Jennifer Nobles has 8 articles online

This article was written by Jennifer Nobles. Jen is a promoter of good business and solid financial advisor Canada. She believe that strong finances, possibly with the help of a financial advisor, can help people tremendously and smart investing is the real path to securing a fruitful and stable future.

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3 Things you Must ask your Financial Advisor in Canada

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This article was published on 2013/08/21