| Competent financial advisors don't have a | | | | The second avenue of enquiry relates to |
| particular look about them, even if they | | | | payment for services. This question is |
| claim to have proof of their ability. To | | | | important as financial planners can bill |
| protect yourself, it is important to ask the | | | | hourly, work for retainer and some work on a |
| kind of questions that will indicate whether | | | | commission basis. Each of these payment |
| the potential advisor has the requisite level | | | | channels attract differing fee levels, and |
| of skill to handle your financial affairs, or | | | | this information will influence your choice |
| whether you should look elsewhere. The | | | | of financial advisor. It pays to know up |
| following simple questions will help you | | | | front. |
| determine if the advisor under scrutiny can | | | | |
| really help with your financial affairs. | | | | Another excellent gauge of success and |
| | | | ability is testimonials, and in particular |
| The first enquiry you should make relates to | | | | referrals. If the financial planner you are |
| education. Competence and quality with | | | | considering cannot provide referrals you |
| advisors comes in the form of a relevant | | | | should be sceptical about any claims about |
| tertiary education, professional memberships | | | | past success they may make. The opinions of |
| of financial advisory groups, and | | | | previous clients are excellent indicators of |
| certificates or further qualifications that | | | | the ability of a financial planner. |
| show ongoing professional development. It is | | | | |
| also important to enquire about length of | | | | Finally, ask for a plan. Any financial |
| experience in the financial industry, and in | | | | advisor worth their fee will happily outline |
| particular how long the individual has been | | | | the scope of their services, tell you what |
| working as an advisor. This should be | | | | information you need to provide them, and |
| considered the first step in your financial | | | | work with you across all relevant areas to |
| advisor selection process. | | | | develop a plan for you to reach your |
| | | | financial goals. |