Contrary to popular belief, financial advisors are not just stressed-out people with a penchant for stocks and shares, glued to their telephones or computers in order to earn large profits for their clients and to place buy and sell orders. These days, a good financial advisor is much more.
Even though a large percentage of advisors still fit that extreme description, at least to some degree, a handful of them are extending the range of services offered by not only analysing investments, but also providing advice on estate planning, educational funding, retirement, taxes, budgeting and insurance. If anyone is in need of such services, it is preferable to employ an FSA registered investment advisor, to act as their representative. The FSA regulate the financial industry, so always ensure your financial adviser carries the mark of the FSA on their paperwork, along with details of their registered office and number.
You have to be careful when dealing with stockbrokers, because these people may be wolves in sheep’s clothing, “over-glorified salesmen” who are employed by huge companies for the purpose of selling stocks that carry the promise of an investment bank to investors and proprietary mutual funds.
Of course, you must be sure to investigate the background of any individual or company before seeking their advice, especially where your finances are concerned. If your only problem concerns taxes, you do not need a financial advisor, but a good accountant.
