What is a financial advisor?
Question:
Answer:
They invest peoples money for a fee.
I see the need for them but I am not too fond of them since I have seen a lot of my client's money being wasted since they really don't pay attention to an individuals money unless it is their biggest client.
One who advises your finances.
It is helping people make financial plans with their money.
A person who gives advises to others how to invest their money.
A financial advisor is a professional who renders investment advice and financial planning services to individuals and businesses. Ideally, the financial adviser helps the client maximize their net worth by proper asset allocation. Financial advisers use stocks, bonds, mutual funds and insurance products to meet the needs of their clients. Many financial advisers receive a commision payment for the various financial products that they broker, although "fee-based" planning is becoming increasingly popular in the industry.
Financial advisors may help their clients invest for both long and short term goals. It is the financial advisers duty to determine the clients goals and risk tolerance and then to recommend appropriate investments. Traditionally, the longer the time horizon to the goal, the more the adviser would recommend more volatile investments with greater long term potential, such as stocks and stock mutual funds. If the client has shorter term goals, the adviser may recommend less volatile investments such as cash, Certificates of Deposit, and bonds. Although these instruments have historically had lower long term results, they are less prone to a large short term loss
One of the major services that financial advisers offer is retirement planning. The financial adviser will typically have great knowledge in the areas of budgeting, forecasting, taxation, asset allocation and financial tools and products in order to establish realistic goals and the strategy by which to reach them. In the United States, this will include the use of several investment tools such as 401(k)/401(k) Roth account(s), Individual Retirement Accounts/Roth IRAs, mutual funds, stocks, bonds and CDs.
The financial advisor will determine what percentage of the available income is necessary--when taking into account the tax liabilities, expected inflation and projected return on investment--in order to meet a minimum balance by the client's target age of retirement. This is a fairly straightforward calculation, and there exist many automated tools that do this. The financial adviser's greatest contribution will be that of asset allocation: determining how to maximize the return on investment while satisfying the client's risk tolerance.
providing financial and investment advice,tax implications ,retirement investing etc etc.
you may just start out answering phones and doing customer sevice.
wing it man,good for you.
Just a fancy title for salesman.So called financial advisers are more concerned with making a commision for themselves.they are not that concerned about your money.Most advisers are not very rich. Educate yourself and invest your own money you do not need advice from some poor person who says they know about money.
People need them when they have money and they don't know how to invest it wisely.
Happy New Year
NYC Lady Bye <<//>>
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