Here are some of the reasons which underscore “Why do you need a Financial Advisor”:
Let me ask you one simple question,
“Do you need a Financial Advisor?”
Like most of the individuals, you might be thinking what kind of the absurd question is that?
How can a financial advisor help you when you already lead a perfect life?
You’ve got a decent job. You are leading a comfortable life. Your expenses are well within the budgets. You work hard, party harder. You have managed to save pretty good amount from your salary.
If I ask you what’s your investment strategy?
You may say “Who’s got the time to look into investments? Moreover, what’s need to invest?”
I would say “You need to revisit your opinion”.
You might be earning well right now. But have you got a plan for the turbulent times? I mean are you prepared for finance exigencies? Or are you financially flexible enough to afford mistakes and life changes?
If you happen to be living in the moment & all that doesn’t worry you much, still you need a Financial Advisor.
After all who would mind a few more bucks flowing in with extra portfolio returns.
What does a Financial Advisor actually do?
A qualified Financial Advisor helps you to face all kinds of financial emergencies without going bankrupt. He helps you stay afloat in turbulent times. He handholds you when you are facing critical life changes like marriage, childbirth, accidents, disabilities, etc. He acts as a guide in your financial planning journey. He facilitates to bridge the gap between where you are, where you want to be and where you can actually be.
Financial Advisor is a domain expert on Personal Finance. With the help of a scientific process, he can put your financial goals on a fast track. The process begins with the setting of personal financial goals. Your current financial health is analysed, and a comprehensive achievable plan is developed. The plan is implemented and monitored periodically. There’s scope for flexibility to adjust the plan according to changed circumstances.
The result is peace of mind and a financially empowered “You”.
Even I can do it on my own…..What’s the big deal?
Whenever the matter of Financial Advisor is put forth, this is an obvious question. I can assure that if I got one rupee each time I heard this, I would have booked a weekend trip to a beach resort in Kerala.
Let’s get back to the point.
You might say that you are the “Do-it-Yourself” type of investor. Every investment detail is accessible over the internet. So, you don’t feel the need of an advisor.
It’s fine if that’s what you want.
But, let me give you an example!
Every year individuals resolve to lose weight. They refrain from hiring a fitness expert. They try all the tricks available over the internet. Finally, they end up losing their patience and everything except body weight.
Why do they fail?
They are unsuccessful because they follow the tricks blindly. All the while, they forget one vital point that these tricks are general guidelines. To be sure-shot effective, these need to be customised as per their specific requirements.
Same applies to you as well. You might set goals and plan based on the information available over the internet. But, you may not know when to exit at the right time! When to rebalance the portfolio or if at all to rebalance! You may not be able to perceive investment from legal & taxation angle. You may miss out on lucrative investment opportunities.
Even if you succeed, then your cost might exceed your returns. So, the entire exercise turns futile.
Successful Financial Planning, apart from financial acumen, requires behavioural moderation. If you don’t procrastinate, engage in goal-oriented investing, are not affected by bandwagon effect, then you may Do-it-Yourself.
If that’s not your case, then you need a financial advisor.
How can an Advisor help me?
Financial Advisors have spent the major chunk of their lives managing portfolios. They have got the experience, skill, discipline and diligence in investing. They can give you comparable returns at much lower costs. In fact, Vanguard study has proved that hiring an advisor can escalate your portfolio returns by as much as 3% per year.
Advisors mainly work in the following areas so that you retain the smile on your face:
– Improve your overall investment results by managing risks & saving time
– Help you stay invested during volatile market conditions
– Ensure step-up of investments upon income escalation
– Facilitate in life goal achievement via prudent asset allocation
– Providing financial stability of loved ones by maintaining appropriate insurance portfolio
– Minimise your tax liability via meticulous tax planning.
So What Should I do now?
Hiring an advisor is the first step towards goal achievement & attaining financial liberation. A wrong advisor, however, may jeopardise your dreams. The rationale of Mymoneysage is to ensure that you get a competent, qualified, and reputed advisor who perceives problems from a legal standpoint as well. He will not only suit your needs but also take the onus of his advice.
Ultimately when it comes to personal finance, you need someone whom you can bank upon. Mymoneysage is one such platform for choosing reliable and trustworthy advisors. It will take you to an advisor who shall deliver sound advice based on the wealth of experience and in-depth research into the matter under consideration. Mymoneysage strives so that you don’t feel alienated in trying times.
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