Choosing An Investment Advisor

Choosing an investment advisor is a different kettle of fish from choosing a financial planner. A planer will have experience handling every aspect of your financial life - your children's' college funds, your retirement plan and estate planning, besides investment planning of course. An investment advisor on the other hand, is supremely qualified to handle a specialized part of your financial life -- your financial investments. This includes stocks, bonds and mutual funds. Take care to tell the difference between a regular investment broker who sells products, and a full fledged investment advisor who has experience handling a variety of investment related services.

Now that you know what to look for, consider what qualities you will look for in an investment advisor. Your independent investment advisor should be educated, and should have attended a reputed college. He should possess licenses from the SEC, the state or should be a member of the National Association of Securities Dealers (NASD). Some have credentials, from the CFA - Chartered Financial Analyst, but these are not required by law, so don't discount a candidate if he doesn't have these credentials. He should have plenty of experience in his field. Generally, at least 5 years of experience is considered adequate to be able to make crucial financial decisions. Rather than greater experience, choose an investment advisor representative who has experience making financial decisions for people who are in the same profession or business as you are, or in the same income status as you are. This makes him more of an expert with people of your demographic, which gives him an edge when it comes to making quick decisions.

He should have no disciplinary action taken against him, for ethical and legal violations, nor should he have any complaints filed against him by clients. He should have an impeccable professional record. This is the man who makes the same life and death decisions, for you that your doctor does. Approach his selection with the same care. If he mentions that he is "certified," ask him the name of the certification, go online and check if his name features on the website. You should also be satisfied with the kind of compensation system he prefers. Most registered investment advisors prefer a fee system to a commission based system. Whatever the fee structure, they should be something that you can afford, if the value of the service seems too low for the fees, look for another investment advisor. Lastly, if anything strikes you as remotely "funny" about your investment advisor (he does not have the kind of certification that he boasts of, he tries to impress you with too many certifications which may actually not mean a whole lot) give him a miss and move on to the next name on your list. To find highly qualified investment advisor in Portland who meet all the above criteria, simply fill out the form, and we'll match you with registered investment advisors I Portland.