- What experience do you have? Ask for a brief description of financial professionals’ work experience and how it relates to their current practice.
- Is there an oversight body requiring ongoing education and ethics? Ask about the credentials that a professional holds and how he or she stays up to date with changes in the personal finance field.
- What services do you provide? Asks about credentials, licenses, and areas of expertise that determine the services a financial professional can offer.
- What is your approach? Make sure a professional's philosophy and approach aligns with your needs. Also consider a financial professional’s personality, communication style, and personal compatibility.
- What types of clients do you typically work with? Some financial professionals prefer to work with clients whose assets fall within a particular range or are of a certain age (e.g., young adults).
- How much do you charge? A financial advisor should provide an estimate of possible costs based on the work to be performed and the compensation method that is used.
- How will I pay for your services? Financial professionals can be paid in several ways (e.g., salary, flat fees, assets under management fees, commissions). Details should be included in a written agreement.
- Do others stand to gain from the financial advice you give me? Ask the professional to provide you with a description of any conflicts of interest in writing.
Friday, March 23, 2018
How to Select a Financial Advisor
Are you looking for a financial advisor (e.g., financial planner, counselor, or coach)? Here are some questions to ask according to the Association for Financial Counseling and Planning Education (AFCPE):
More information about hiring financial advisors and questions to ask can be found in Unit 10 of the Cooperative Extension Investing For Your Future course.
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