What is a financial adviser? What exactly do they do?

Question

I've been on a SERIOUS job search, and I keep getting solicitations for financial adviser positions. What turns me off to it is that it sounds like a sales job. When they start saying things like "You can make $100K your first year!" it makes me leery. Can anyone give me some insight on this career without sounding like a commercial?

Answer 1

Whether you actually need an advisor depends on your own comfort level with making investment decisions, and how much time and resources you’re willing to dedicate to maintaining your investment portfolio, keeping up with the market, and just plain doing your homework.

If you decide you would like to engage the advice of a professional, consider the following guidelines will help you in your selection process:

Broker: An individual--licensed to sell securities--who acts as an intermediary between you and the companies and agencies that sell securities on the open market.

Chartered Financial Analyst (CFA): An advisor who has passed a test--covering economics, accounting, security analysis, and money management--administered by the Institute of Chartered Financial Analysts.

Chartered Financial Consultant (ChFC): An advisor who has completed a program of economics, taxes, insurance, and investing.

Chartered Investment Council (CIC): An individual who has passed tests in economics, accounting, taxes, and money management and has at least five years of relevant work experience.

Chartered Life Underwriter (CLU): An advisor who has completed training in life insurance and personal insurance planning, is licensed by his or her state, and appointed to sell insurance products by one or more specific insurance companies.

Registered Investment Advisor: An investment advisor registered with the Securities and Exchange Commission. No standardized test for certification is required.

Registered Representative: An advisor who is licensed to sell securities and has the legal power of an agent, having passed the Series 7 and Series 63 exams; usually works for a brokerage licensed by the SEC, NYSE, and NASD.

Answer 2

These positions are most likely for investment houses like Smith Barney. You would be required to establish your own clientele and manage their portfolios.
A true financial advisor or financial planner will establish a clients financial game plan, from insurance and taxes to retirement accounts and estate planning. Most have a certification by a regulating body and need a number of years of experience.

Answer 3

actually, financial advisers have changed a lot.

now days, you are really just the adminstrator for someone's financial goals. You with keep track of your clients financial goals, investment performance and make recommendations on how they invest their money.

you would not actually iinvest the money as most brokerages have money managers that do the actual investment.

it's really about building relationships with people.

if you have no other financial experience, i do not recommend you do this until you work as an admin for a financial planner or some other experience that will lend you credibility.

Answer 4

In a way, it is a sales job. You get a commission each time you make a trade. Financial advisors show their clients how to invest their money, including stocks, bonds, accounts, real estate funds, etc. Since they are getting commissions, they have an incentive to continually trade stocks.

Answer 5

the two are professional in there very own field who're required to take tests and continuous training to teach their competence to the monetary centers Authority, in precisely the comparable way as the different professional. in case you needed your place rewired you will possibly probably no longer ask a plumber, or a police officer, you will possibly call in a qualified electricain. Presumptious is a qurious notice to apply, yet pherhaps in the event that they reported they have been the terrific adviser in the land you may nicely be precise !

Answer 6

The easiest way to explain a Financial Advisor is that they give advise to whoever they're working for on how to use their money and on what.

Answer 7

I have a financial advisor for my retirement plan. Most financial advisors have a bachelor's degree in finance. They help you choose the right stocks, bonds, retirement plans.....basically set up your financial future for you and give you advice on your finances.

Answer 8

they advise you on how and where to put your money for maximum gain