Download App

Blog- Financial Advisor

Finansoo Re-Investing Financial Advice
Finansoo Re-Investing Financial Advice
Finansoo Re-Investing Financial Advice
Finansoo Re-Investing Financial Advice

Would you like expert assistance with your finances but don't have the money to hire a financial advisor? Financial advisors aren't just for the wealthy—they also help everyday people reach their financial goals. So, let’s get started to know what they do and how they can help you.

What is Financial Advisor?

Financial Advisors help individuals and businesses with their finances by providing consulting and advice. By guiding their clients through strategies and ways to create more wealth, reduce costs, or eliminate debt, financial advisors can help them reach their financial goals sooner.
A financial advisor provides financial advice or guidance to customers on many different services, such as investment management, tax planning, and estate planning. Increasingly, financial advisors are acting as a "one-stop-shop" by providing everything from portfolio management to insurance.

  • A financial advisor is a professional who provides expertise for clients' decisions around money matters, personal finances, and investments.
  • Unlike stockbrokers who simply execute orders in the market, financial advisors provide guidance and make informed decisions on behalf of their clients.

A financial advisor can help individuals save more and build their wealth by constructing an investment portfolio that is well suited to their risk attitude, and thus can provide insight into how to do so. When a greater reward is more compelling to a client than the prospect of potentially losing money, they are more inclined to take on risk. Conversely, there are also clients who are more risk-averse, and that would like a lower-risk portfolio, even if it means potentially lower returns.
It may be difficult to determine the risk attitude of an individual due to the fact that many factors determine an individual's risk attitude. To gather a solid understanding of their client, a financial advisor may ask questions about things such as their age, income, marital status, indebtedness, or savings.

What Do Financial Advisors Do?

From retirement planning to estate planning to savings and investing, financial advisors are tasked with managing all aspects of your financial life. The role of a financial advisor goes beyond simply suggesting investment choices and selling financial products. They analyze your financial situation, understand your financial goals, and create a tailored financial plan to help you reach those goals. In addition to lowering taxes, they can help you maximize the returns on your financial assets.

Services Offered by Financial Advisors

Each financial advisor will offer a different type of service. There is no one-size-fits-all model, so it is helpful to understand what common services many professionals offer. Ultimately, the best financial advisors will take an interest in your whole financial picture and will help you create a road map for your future financial health.

  • Investment advice: A financial advisor can help you identify the best investments based on your risk tolerance and goals. They can also help you stay the course and make strategic adjustments when life's unexpected events arise.
  • Saving for college: In today's high-cost education environment, an advisor can assist with identifying educational savings strategies that match your goals for funding your loved ones' education.
  • Debt management: Debts can stand in the way of a sound financial life, but a financial advisor can create strategies for paying down that debt and preventing you from going into debt in the future. Less debt means more money left in the bank.
  • Budgeting: Whether you're saving for your dream home or saving for a vacation, financial advisors can help craft savings strategies that will enable you to reach your financial goals.
  • Retirement planning: Whether you do or do not have a wealth of retirement savings, advisors can provide you with advice about boosting your savings, identifying shortfalls, and protecting your nest egg.
  • Estate planning: A wealth advisor can assist you with identifying ways to achieve your legacy objectives, such as transferring wealth to family members and making charitable donations.
  • Long-term care: You can work with your advisor to determine how to provide for your healthcare later in life, including long-term care insurance.
  • Tax planning: An advisor can help you identify opportunities to save on taxes. You can reduce your annual tax liability by making charitable contributions, using strategies such as tax-loss harvesting, and working with your tax professional to optimize your investment plan.

Top financial advisors will always be those who offer the breadth and depth of services you require and use most often. When comparing advisors, take the time to consider their offerings in light of your current needs and those you might have in the future.

Why Do We Need A Financial Advisor?

The internet offers ample information about investing - so why would one need a financial advisor? A financial advisor provides financial advice to customers based on his expertise and their needs. You might be aware of your needs and know how to invest for them, but you may not always have the time to do it all on your own. That's where a financial advisor steps in and handles the rest. Here are some benefits of engaging a financial advisor for your investment and financial planning needs:

  • Understanding your investment needs and chalking out a financial plan: One of the very first steps while chalking out a financial plan is to understand the need and purpose. Your financial advisor understands from you, your needs and future goals and accordingly draws a long-term plan to fulfill it.
  • Financial expertise: A financial advisor brings with him/her, expertise about the financial markets. They undergo several trainings and carry certifications to secure the title of a financial advisor or an investment advisor. And thus, engaging a financial advisor to help with building a portfolio, chalk out your goals and help track it, could be a good idea.
  • Laying down SMART goals: Goals need to be SMART - Specific, Measurable, Achievable, Realistic and Time-bound. Even in your financial plan, you have to chalk out goals that are achievable keeping in mind factors such as your income, expectation of return and goals. And a financial advisor would help you do this.
  • Helping you choose the ideal path to being financially fit: Once you decide what your goals are, your financial advisor would help you choose specific investment options to achieve it. Your advisor would help you choose the appropriate financial instrument basis your risk-return requirement and match it with the appropriate financial instrument.
  • Regularly monitoring your portfolio: A financial advisor helps you monitor and reassess the investment performance as you may not always have the time to do it. Regular monitoring of your investment portfolio is necessary to ensure alignment of your investments with your financial goal.
  • Revising portfolio from time to time: An investment portfolio needs review and reallocations depending on the market situation and changing needs. In such situations, an advisor would suggest revisions on the basis of his expertise and market situations.

    • The role of a fitness coach is similar to the role of a financial advisor – both carry expertise, both ensure a sound fitness plan – whether physical of financial and both help in monitoring and ensuring the effective progress of the plan during the long term.

10 reasons to use a Financial Adviser

Financial advice is not only required by the very rich, everyone can benefit from it. It can help you protect and build your assets and assist you in making the most of your investments and securing the long-term future of you and your family.

  • To protect your family

    2. To help plan your spending and saving In order to secure your long-term future, you must build some assets - initially to cover rainy days, and then to pay for holidays and luxuries. .

  • Helps in Growing Assets

    3. To help you plan for retirement Once your short term saving needs are covered, you can start thinking about the long term. Most people these days realize that they cannot rely on the state for more than the absolute basics. Planning for retirement is a complex business, and there are many different options available. A financial adviser will not only help sift through the many rules and product options and help construct a portfolio to maximize your long term prospects.

  • To secure your house

    The mortgage market has always been complicated, even more so in the aftermath of the credit crunch, with mortgages now even more complex and lenders’ requirements more stringent. Buying a house is one of the most expensive decisions we make and the vast majority of us need a mortgage. A financial adviser could save you thousands, particularly at times like this. Not only can they seek out the best rates, they can help you assess sensible levels of borrowing, make the most of your deposit, and might also find lenders who would otherwise not be available to you.

  • To help you meet your investment goals

    As you progress through life and your assets and income begin to increase, you can start considering how to enhance your position rather than simply consolidate it. This could mean anything from looking to retire early to paying private school fees. Whatever your goal, a financial adviser can help assess what is realistically possible and plan with you to help you achieve it.

  • To find the right combination of assets

    Investment is as much about protecting against potential downsides as it is about targeting maximum growth. High returns are often associated with high risk and not everyone likes the idea that their investment might fall by a third or more overnight! A financial adviser will make a detailed assessment of your attitude to risk before making recommendations. They will also ensure you don’t put all your eggs in one basket by helping you diversify not only across asset classes but also across accounts, individual funds and product providers.

  • To obtain an objective assessment
    Every new investment opportunity or product is likely to be accompanied by a certain amount of hype but that doesn’t necessarily mean it is right for you. Investors will continue to be caught out by market ‘bubbles’ or high charges because they rush headlong in. A financial adviser knows how products work in different markets and will identify possible downsides for you as well as the potential benefits, so that you can then make an informed decision about where to invest.
  • To save money
    Once your risk and investment assessments are complete, the next step is to look at tax; even the most basic overview of your position could help. It may simply mean using Individual Savings Accounts (ISAs) or a pension plan to benefit from government incentives or choosing growth focused assets over income to maximize capital gains allowances versus paying income tax. For more complicated arrangements, it could mean moving assets to your spouse or children to maximize their personal allowances instead. A financial adviser will always have your tax position in mind when making recommendations and point you in the right direction even in complicated situations.
  • To keep you on track
    Even when your investments have been put in place and are running to plan, they should be monitored in case market developments or abnormal events push them off course. You can ask a financial adviser to keep a watchful eye on your investments. They can assess their performance against their peers, ensure that your asset allocation does not become distorted as markets fluctuate and help you consolidate gains as the deadlines for your ultimate goals move closer.
  • For peace of mind
    Money is a complicated subject and there is lots to consider to protect it and make the most of it. Markets are volatile and the media are prone to exaggerate the risks and rewards. Employing a good financial adviser can cut through the hype to steer you in the right direction. Whether you need general, practical advice or a specialist with dedicated expertise, you could find that in the long term the money you invest in expert advice will be paid back many times over.

We provide services throughout India

×

App Launching Soon..

=====================================PRODUCT/KEYWORD PAGE SCHEMA=============================================== =====================================FAQ PAGE SCHEMA===============================================