There are plenty of public horror stories about financial advisers in the media. A problem which can quickly turn people off from seeking financial advice in the first place.
But great advisers are out there and can be beneficial for women. The below simple tips can help in selecting the right person and getting advice that’s right for you.
- Get a referral
Ask your family, friends and colleagues if they have a financial adviser they are happy with and comfortable recommending to you. This is a great way to build trust quickly with an adviser, if they are already trusted by those close to you.
- Track Record
You want to make sure your potential adviser has a track record of experience and success; things to look for are education, awards, industry presence, client testimonials/referrals. If an adviser is not forthcoming with this sort of information when you ask, they may not be the right one for you!
- Easy flow of conversation
Your relationship with a financial adviser is not like that of an accountant, where all the numbers are considered and a tax return submitted. You need to feel comfortable with your adviser almost straight away. You need to want to share more than just the numbers. The best advice outcomes occur when your adviser understands who you are, where you have come from and where you want to go. This will enable them to provide advice you understand and are motivated to stick to.
It can be a good idea to meet with a few different advisers until you find the right fit for you.
- Education
The best way to ensure advice is right for you is to understand it. An adviser should seek to explain their advice to you in a way you can understand. You don’t need to know all the ins and outs, that is what you are paying for, but you should have the advice clearly explained to you and you shouldn’t have to ask this, it should form part of the service.
- Fee Structure
Advisers used to get paid solely by commission and trail by the providers they wrote the business with, this has now come to an end, replaced by a more transparent structure. The main thing to remember is that an adviser is providing a service to you and they need to be paid for it, in turn you need to be comfortable with those fees. The fees charged need to be clear to you from the start, you need to know in $$ what you will be paying upfront and what will be due ongoing.
In the absence of a referral from a friend or trusted adviser, try googling for financial advisers in a location easily accessible to you. Shortlist a couple that suit you (make sure their target market is you. You don’t want to be seeing a retirement adviser when you are 33). Call, find out some info about what they do, their education etc., arrange an initial meeting, where you can address all of the above points.
Remember women make good financial decisions, go with your gut and start enjoying the benefits of getting great financial advice!
Disclaimer: Please note this article is of a general nature and should be used for informational and educational interest purposes only. Please seek professional advice before making any decisions in relation to your own personal circumstances.