Month: June 2022

financial advisor is an advisor who provides advice to users so that they can plan their finances carefully.

In general, a financial advisor provides various services, such as investment management, tax planning, financial matters, and so on.

Financial advisors or financial advisors can run independently and some work under the auspices of a financial company.

They can work in an office or they can go to many places to meet clients.

It is possible that financial advisors also provide seminars on financial planning in various places and teach online classes.

Apart from all that, a financial advisor must have a professional license to conduct business to clients or customers.

The reason is, not just anyone can become a financial advisor.

In Indonesia, there are already many professional financial advisors that you can contact if you need them one day.

If you’ve ever heard terms such as stock brokers, investment managers, insurance agents, and tax preparers, they all belong to financial advisors.

Reporting from Career Explorer, in general the task of a financial advisor is to review a person’s financial needs and help them to overcome their financial problems.

Financial advisors will help clients to be able to plan finances with short and long term goals.

Usually, financial advisors will provide several recommendations in the form of investments to suit the client’s goals.

For example, you want to invest with the aim of paying for education and retirement.

Financial advisors will provide the right advice for you in making investments so that they are in line with your goals.

Not only that, sometimes financial advisors also provide other advice such as tax or insurance advice, depending on the problems faced by the client.

In general, the things that financial advisors do are as follows:

meet clients personally to help with their financial problems
explain the types of financial services
educating clients and providing advice on investment options and their risks
recommend suitable investments for clients
researching investment opportunities
help clients make certain plans in order to achieve the desired goals
monitor the progress of the client’s investment account

1. Make sure again, do you really need it?

Make sure again whether you really need to choose a financial advisor. Of course, before choosing, make sure first whether you need the services of a financial advisor.

By having a financial advisor, you can have an expert consultant. However, there are costs that you have to pay.

Remember, you can still manage your finances and reach your financial goals through self-study and practice.

2. Avoid advisors with conflicts of interest

avoid advisors with conflicts of interest choosing a financial advisor Are you sure you choose financial arrangements with the help of a financial advisor? If so, there is something you should keep in mind.

You must avoid financial advisors with conflicts of interest. Ask if he works independently, or under a specific company.

Avoid financial advisors who actually encourage you to buy products from the company where you work at random, instead of other objective advice.

3. Check the certification it has

check the certifications it has choosing a financial advisor Actually, choosing a financial advisor is not a difficult thing, especially if you make sure the various certificates it has.

In general, a CFP (certified financial planner) degree is usually considered the best. Those who hold it must have experience, training, and be bound by a certain code of ethics.

Of course, there are various other certificate schemes such as CFA, CIMA, CPA, and others.

Regardless of the name, the most important thing is, you understand that your financial advisor should not carelessly admit his work.

4. Check out his track record

look at their track record Apart from certificates, you can also consider the various things that your prospective financial advisor has done in his career.

How many years of experience do you have? With whom has he worked? Has his statement been quoted by a media?

You can ask people who have become clients, or enter their names into search engines like Google.

5. Adjust according to service scheme preferences

adjust to the service scheme preferences choosing a financial advisor
Before choosing a financial advisor, of course you already have a basic knowledge of finance, right?

Well, financial advisors themselves have various service schemes that you can adjust according to how deep your knowledge is.

Generally, there are three types of services offered, namely:

hourly consultation, suitable for specific issues such as buying a house, setting up an education fund, etc.
comprehensive consultation, for those of you who want to evaluate your financial situation and seek advice on next steps
asset management, help you manage your finances and assets in the long term, financial advice will follow your life changes

6. If necessary, meet in person

if you need to meet in person Do you have trouble finding information about it on the internet or friends? The solution is to meet him face to face.

Through meetings and chats, you can also ask and confirm various things to him directly.

7. Make sure he doesn’t make investment transactions

make sure he does not make transactions choosing a financial advisor In Indonesia, only certain individuals and companies are allowed to make stock transactions.

This was conveyed by Aidil Akbar from the International Association of Register Financial Consultants to CNN Indonesia.

Therefore, when choosing a financial advisor, make sure in the process and contract agreement that he is not allowed to make transactions directly.