The role and responsibilities of a Financial Advisor – P4
A financial advisor is a professional trained in financial planning their role is to construct a comprehensive view of your financial status. There are several types of financial advisors, Independent Financial Advisors (IFA’s) help individuals or businesses, providing them with expert advice and using their knowledge to give their clients recommendations. Financial advisors can also give guidance on savings, creating a budget and dealing with debt to ensure you reach your financial goals. To do this they must get to know their clients which includes going through all your personal details, your credit history, how much income you take into the home and what you spend it on, they need to know if you have children and the age of those children and they would also have to know your Marital status. People hire them to receive specialist advice, such as Inheritance Tax and mortgage advice but the main reason is to help with retirement planning. In this case a financial advisor can give suggestions on future economic trends, tax liabilities and determine how and where their clients could invest.
A successful financial advisor must take an industry recognized qualification that meets Financial Services Authority standards such as: * Chartered Insurance Institute (CII)
* Certificate in Mortgage advice and practice (CEMAP)
Financial advisors receive in house training through working in an organisation on Data Protection, lending and general insurance. Training Records must be retained for 3 years after the advisor has left a company or indefinitely for Pension transfers. Once an IFA has a benchmark qualification, they can go into further study if they want to.
There are many different types of financial products and services on the market choosing the right one for you can be difficult and we may need to seek some advice from an Independent Financial Advisor. IFA’s are like general practitioners...
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