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Financial advisors: What they are and how to find the right one for you

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Financial advisors

Last Updated on November 27, 2022 by admin

When it comes to financial planning and investment advice, many people turn to financial advisors. But what are financial advisors, exactly? And how do you go about finding the right one for you? In this blog post, we will discuss what financial advisors are and what to look for when hiring one. 

What is a financial advisor?

A financial advisor is a professional who provides financial planning and investment advice to individuals and businesses. 

What do financial advisors do?

Financial advisors provide financial planning and investment advice to individuals and businesses. They help their clients make financial decisions by providing guidance on topics such as retirement planning, estate planning, tax planning, and investment strategies. Financial advisors also offer services such as asset management, insurance sales, and financial analysis. 

What should you look for when choosing a financial advisor?

There are several things to consider when choosing a financial advisor, such as:

1. Credentials and experience

The financial advisor should be a Certified Financial Planner or have a similar designation. The financial advisor should also have experience working with clients who have similar financial goals to yours.

You can check the financial advisor’s credentials by asking for his or her biography or résumé, or by searching for him or her on the Financial Industry Regulatory Authority (FINRA) BrokerCheck website.

2. Fee structure

Some financial advisors charge fees based on a percentage of the assets they manage for you, while others charge hourly or flat fees. 

You’ll want to ask the financial advisor how they charge for services, and get an estimate of what those fees will be. You should also ask about any other fees that the financial advisor charges, such as fees for financial planning services or investment management services.

3. Services offered

When you’re looking for a financial advisor, you’ll want to choose someone who offers the services that you need. If you’re looking for help with retirement planning, for example, you’ll want to choose a financial advisor who offers retirement planning services. Or if you’re looking for help with investing, you’ll want to choose a financial advisor who offers investment management services. 

4. Communication style

It’s important to choose a financial advisor whose communication style is a good fit for you. Some financial advisors are more hands-on, and will provide frequent updates on your financial situation. Others are more passive, and will only provide updates when you request them. 

You’ll want to ask the financial advisor how often they will communicate with you, and what type of communication you can expect. You should also ask about the financial advisor’s policy on returning phone calls and emails.

5. References

When you’re looking for a financial advisor, be sure to ask for references. A good financial advisor should be able to provide you with the names and contact information of some of his or her past clients. 

You can use these references to get an idea of what it’s like to work with the financial advisor. Be sure to ask the references about their experience with the financial advisor, and whether they would recommend him or her.
These are just a few of the things to consider when choosing a financial advisor. If you want to partner with a financial advisor in New Jersey, talk to us at Van Leeuwen & Company. We will help you find the financial advisor who is right for you.

Read More: How to Save for College and Retirement at the Same Time