You should consider an investment manager who has the experience, training and regulatory clearance that is needed to effectively make your financial goals a reality.
When you’re looking for an investment manager to oversee your investments, you want someone who will put your financial needs first and keep your overall goal near and dear to his or her heart. How do you do that if you’re not really sure how to go about finding such an investment manager?
It is an important decision and not one that should be taken lightly. You can make certain you’ve found the right financial advisor for you by working through the following checklist.
Get the type of investment professional you need
The type of investment manager you need is based on the type of key services they provide. A Certified Financial Planner (CFP) can help formulate a comprehensive plan to help map out their income versus your expected expenses. The stockbrokers of yesterday are the financial advisors (FA) of today. Most modern FAs in the business now work together as teams. Or you could find yourself better suited for the services offered by a portfolio manager (PM). These are the advisors who focus on the investment of securities.
Each investment professional type brings a specific skill set to the table. It can be convenient to have one investment manager who uses a “holistic” approach to managing your money, but make certain that he or she is not lacking in areas in which they do not specialize.
Look into regulatory qualifications
You will want your investment manager to have a clean regulatory history. This means he or she has no history of complaints placed with regulatory authorities. You can check with your state’s Securities Commissioner for records of any regulatory agency complaints.Your investment manager should have a clean regulatory history.Click To Tweet
Question how much accessibility you’ll have
It is vital that you have easy access to your investment managers. Without communication, you won’t know if they fully understand your goals or be able to voice your concerns promptly. In the ever-changing financial world, you need to be able to get the best advice you can get, and get it when you need it.
You’ll know you have a good investment manager if he or she is willing to spend the time with new clients. It takes time for managers to understand their clients, and will then work to implement an investment strategy that’s right for you.
Go over the investment manager’s fee structure
An investment manager is not going to work for free. You’ll need to evaluate the fees that the manager charges. When it comes to money manager fees, keep in mind that you will get what you pay for. The best, most experienced and talented managers will tend to have higher fees. Look at how the fees are charged, not just the final amount you’ll be asked to pay.
You should consider an investment manager who has the experience, training and regulatory clearance that is needed to effectively make your financial goals a reality. He or she should be willing to communicate with you about your financial needs and risk tolerance on a frequent basis.
Your investment manager should create for you a customized investment portfolio that is geared toward your individual needs. Services of the right investment manager should include a fee structure that is reasonable and matches incentives with the needs of the client.
Here’s How to Pick the Right Investment Manager first appeared on Mompreneur Media