Do you know why most of us are hard hit by the recession? Obviously, without a second thought we might blame the external economy for that, but if you analyze carefully, you’ll find that external conditions are not to blame completely. The recession is just like a disease that causes maximum damage to the constitutionally weak and the unprepared. If we’d have learnt to save up for the rainy day beforehand we’d not have suffered so much. But surprisingly, the majority of Americans including children and youth are not up to the mark with their money management skills. Not only that, they lack in financial literacy too. No wonder the government and private financial institutions are putting such a lot of effort towards enhancing financial literacy levels of the common American so that they recover very fast from the damage done by the economy.
Apart from financial literacy education, taking the advice of good professional financial planners is very important. But you need to be pretty careful in choosing a good financial advisor. You should be able to distinguish between a broker and an advisor. Don’t make the mistake of confusing the former with the latter. A broker will just push you into taking securities based on some superficial security standards whereas a certified consultant will offer you quality advice after taking the prevailing financial laws into account. So how do you select genuine and quality financial planners? Here are some ways for you to do that.
Depend on Certifications
You might have heard a lot about certifications adding to the only bookish knowledge of a professional, but it’s not so. Professionals possessing certifications from premier certifying bodies like Certified Financial Board of Standards are seen to be really worthy in their fields. Certified Financial Planner certificate holders are a class apart from the rest as they have the correct knowledge to pull you through the tough economic times and make you prosper. You can depend on them. They have a deep understanding of the financial markets, of financial processing and management of wealth in general. The CFBS has a website that will guide you in finding certified financial consultants.
Apart from qualifications, go for those consultants who have about 10 years of relevant experience. Such professionals financiall literacy higher education will be well conversant with market trends and will give you valuable advice. You can bank on advice given out ofthe long experience because they are formulated after analyzing realistic pros and cons of a given financial strategy in the practical financial world.
Your financial planner should be able to patiently answer your queries and give time to explain things to you. He should not be in a hurry to sell you things. You should be able to distinguish between a salesperson and a genuine advisor, who’s going to advice you impartially without any sales motives.
Should Take Fiduciary Responsibility
The salesperson should be able to take good fiduciary responsibility of your finances and see to it that you prosper in life.