Financial Consultant
“Financial consultant” is a somewhat antiquated term that’s largely been replaced by the term “financial advisor.” Financial consultants may work for a firm or as a self-employed contractor, and their clients may be companies or individuals.
In short, financial consultants offer personalized advice to help investors build wealth. They may offer financial planning, identify well-suited investments and guide insurance decisions. They often direct the buying and selling of investments, like stocks and bonds, on their clients’ behalf. Some may also sell financial products.
A financial consultant usually meets with clients to assess their financial situation before they make any recommendations. Any time a client experiences a major life change, they’ll likely request another meeting.
Consultants also spend time marketing their businesses. They often travel and work outside normal business hours to accommodate their clients’ schedules.
In short, financial consultants offer personalized advice to help investors build wealth. They may offer financial planning, identify well-suited investments and guide insurance decisions. They often direct the buying and selling of investments, like stocks and bonds, on their clients’ behalf. Some may also sell financial products.
A financial consultant usually meets with clients to assess their financial situation before they make any recommendations. Any time a client experiences a major life change, they’ll likely request another meeting.
Consultants also spend time marketing their businesses. They often travel and work outside normal business hours to accommodate their clients’ schedules.
TIPS FOR CHOOSING A FINANCIAL ADVISOR
When searching for a financial advisor to work with, try to stick with advisors bound by fiduciary duty. When an advisor is a fiduciary, they legally must act in their clients’ best interests at all times. To find a fiduciary financial advisor in your area, try SmartAsset’s free financial advisor matching tool. The tool will connect you with up to three local advisors. Get started now.
Make sure you fully understand a financial advisor’s fee schedule before you agree to work with them. For instance, fee-only financial advisors solely earn money from the fees that their clients pay to them. Fee-based advisors, on the other hand, may also make money from commissions earned from selling insurance or trading securities. This could create potential conflicts of interest.
You should always look at a firm’s Form ADV, which is the SEC paperwork that all RIAs must fill out. In this two-part report, you can learn everything from how the firm will allocate your investable assets to whether it has an in-house expert on retirement planning.
When searching for a financial advisor to work with, try to stick with advisors bound by fiduciary duty. When an advisor is a fiduciary, they legally must act in their clients’ best interests at all times. To find a fiduciary financial advisor in your area, try SmartAsset’s free financial advisor matching tool. The tool will connect you with up to three local advisors. Get started now.
Make sure you fully understand a financial advisor’s fee schedule before you agree to work with them. For instance, fee-only financial advisors solely earn money from the fees that their clients pay to them. Fee-based advisors, on the other hand, may also make money from commissions earned from selling insurance or trading securities. This could create potential conflicts of interest.
You should always look at a firm’s Form ADV, which is the SEC paperwork that all RIAs must fill out. In this two-part report, you can learn everything from how the firm will allocate your investable assets to whether it has an in-house expert on retirement planning.
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