What are the 5 Things to look for when choosing a Financial Advisor?

Financial advisor deals with your money, so you have to be very watchful before selecting the one. The financial advisor role is to look into your financial matters and to provide the best solutions for it. You want it for business purposes, for retirement planning, borrowing a fund, or any other purpose look for certain parameters before hiring the right advisor.

A financial advisor is also an instructor. Part of the advisor’s job is to assist you understand what is involved in meeting your future objectives. The education process may include detailed help with financial topics, says Amy Fontinelle, a financial journalist and personal finance expert.

The right approach can help you to find the right financial advisor according to your purpose. Check these things before hiring an expert:

Look for License:

The first and foremost step is to ask for the qualifications and the previous experience. Many claim themselves as the financial advisor having no proper license, qualification, and expertise in the same.

Usually, the financial advisors are license holders that are issued by the State’s regulatory agency. Accepting a paper document is not enough, you can verify with the issuing authority to check whether credentials are genuine or not.

Know your Financial Needs:

Scrutinize why you want the advisor? Is it investment purpose, retirement plan, planning to start the business, want to find the right market and the amount to be invested in the market, going to get married, and many?

Find out the reason and check your budget. Tell clearly to the advisor the amount you are willing to spend and how much savings you are expecting?

Based on these parameters, you can find the right advisor based on their capabilities, knowledge, and expertise.

Experience and Referrals:

Upfront ask the experience. The expert may have the experience but not the relevant. Check whether the person holds the experience in the same domain or not. They may have worked with numerous organizations but with a different designation.

Many opt for financial advisors as to the second career option. So apart from asking the relevant experience, ask for the two to three referrals.

The clients who are served in the past can give you better insights into the expertise level and personality traits about the expert.

Many Experienced financial planners like Ed Rempel a certified financial planner who helped many Canadians to grow financially by creating real and professional financial plans that bring results. Ed Rempel Brampton is the certified fee-for-service financial planner and tax accountant with more than two decades of financial planning experience and more than three decades of experience as an accountant and is well-versed in all things financial planning-related.


Some professionals work on the fee structure; some prefer commissions while others go for flat fees. Look at the option that is suitable for you as well as for the service provider.

Transparency matters a lot. The real professional will discuss this part before engaging in any transaction, to avoid the conflicts at a later stage.

Do not forget to consider the net result after deducting the fees, commissions, and cost. For example, you have decided to pay the commission of 4% and your portfolio is upto 10%, then the rate of return is 6%.


Risk is all yours. After all, an advisor is human and tends to make a decision. Bad advice can make you suffer. But before hiring an expert make sure they are honest and do not follow any unethical practices.