| A certified financial advisor is a person who has a | | | | professional.Financial advisers have to register with |
| certification from a professional association or | | | | either the SEC or the state securities agency where |
| government registry. He must have a thorough | | | | they have their principal place of business, depending |
| knowledge of financial affairs, from personal finance to | | | | on their size. Investment advisers who manage $25 |
| market behavior.Most of them have credentials like the | | | | million or more in client assets must register with the |
| CFP certification or CFA (Chartered Financial Analyst). | | | | SEC. If they manage less than $25 million, they must |
| Verify with the organization that issued the credential | | | | register with the state securities agency in the state |
| that your CFA is in good standing with the organization. | | | | where they have their principal place of business. This |
| NSAD's Understanding Investment Professional | | | | is one form of certification or registration that makes |
| Designations can be very helpful in this regard.The | | | | the professional accountable.The investment advisers |
| other professional body that certifies these financial | | | | have to fill out a form called ""Form ADV" and file it |
| professionals is the CFP, or Certified Financial Planner | | | | with either the SEC or the state securities agency, |
| Board of Standards. The Board is an independent | | | | depending on the amount of assets they manage.The |
| regulatory organization that gives licenses to financial | | | | ADV includes two parts. Part I contains vital |
| planners. It's better that you check whether the | | | | information about the professional's education, business, |
| professional is certified as a CFP professional, and | | | | and whether they've had problems with regulators or |
| whether there are incidences in his professional career | | | | clients. Part II outlines the services, fees, and strategies. |
| that has lead his or her suspension of the certificate by | | | | Before you choose someone to be your investment |
| the Board. You can also call the Board at (888) | | | | adviser you should examine both parts of the ADV, |
| 237-6275 to obtain additional information about the | | | | which is also one form of certification. |