How To Choose A Financial Adviser To Guide You Through Your Financial Market Trading Venture

How To Choose A Financial Adviser To Guide You Through Your Financial Market Trading Venture

Trading financial markets can be quite involving and, at times, very stressing, especially for novice traders. Sometimes you will be required to make complicated financial decisions and you may not be in a position to make the right ones. To bridge the gap between knowledge and advice, Jones Mutual’s top financial advisors confirm that a professional financial broker is the answer.

Who is a financial adviser, you may ask? A financial adviser is a person who is authorised by the law to give investment and financial trading advice. Financial advisers usually help with doing financial planning, especially when it comes to financial market trading. They help with making decisions on how to invest correctly. When choosing a financial adviser, you need to take the following into consideration:

Look for a qualified financial adviser

You should look for a financial adviser who is qualified. This should be a person who is a nominated representative of a qualified financial body. This way, you will be guaranteed of receiving quality financial advice and you can trust the adviser in giving you the right financial advice. A qualified financial adviser will always put the interest of the financial investor first.

Therefore, before giving a financial adviser the privilege of being your adviser, you will have to do a background check on the qualifications of the person you choose. You will also get to know which professional body he/she is a member of. An example would be the South African Independent Financial Advisors Association.

Look for an authorised financial adviser

All financial advisers are required to comply with the full requirements of the law depending on the country they are operating from. For example, in the European markets, the financial advisers must comply with Financial Advisers Act 2008 (FA Act), which obligates the adviser to disclose their services as laid out in the regulations.

There are two types of authorised financial advisers, namely Authorised financial advisers (AFAs) and Registered Financial Advisers (RFAs). The two may sound similar, but they have different obligations. The AFAs provide services for category 1 products while the RFAs provide services for category 2 products. The category 1 and category 2 products are described in the Financial Advisers Act.

You should choose a financial adviser who fits the kind of advice you want

Do you require general advice or do you require specific advice from the financial adviser? This question will help you choose the broker who is best for the advice you are looking for. Some financial advisors give advice depending on their organisation setting while there are others who are ready to provide any financial advice, even recommending financial products on the market.

Advisers with a wide variety of advice products give you a more extensive range of choices. For financial advisers who offer advice on limited products, you will have to limit yourself to the products they offer advice on or choose an adviser offering advice on the products you want to invest in. Most importantly, you should ensure that the financial adviser offers advice on the financial products you are willing to invest in.

The way of receiving information from the adviser

When choosing an adviser, you need to consider the available ways through which the financial adviser will pass their advice to you. The wider the range of options, the better for you.  There are a number of ways of getting the information, which include email, telephone calls as well as texts. The option that you choose should be the fastest and the most convenient for you. You should also consider how often you will be getting advice from him or her and whether it will be possible to get the advice at any time of the night or day.

How much it will cost you

The other most important factor is how much it will cost you to get the services of the financial adviser. You will have to choose a financial adviser who will not stretch your financial limits.  The adviser should be affordable to maintain over a long term. You don’t want the adviser to walk away with the majority of the money that you make out of his or her advice. You must also consider the payment methods. The adviser should have a payment option that is best for you.

With the above-mentioned pointers to choosing a financial advisor, you can choose confidently and improve the way your market trading venture is done.