If you feel that the fiscal deficit, the country risk or the decision of the Central Bank to raise or lower interest rates will not affect your pocket, you need a financial advisor. Can not forget that individuals, like companies, are engaged in an economic system whose changes can affect your finances.
That’s why it’s worth to devote time and resources to do proper financial planning.
Remember, people are always making financial decisions (which sometimes can be quite complex) and approach a bank, buying a new home, saving for retirement or education of children, but only in very few cases planned to find the most efficient way to manage our money.
In Venezuela, just consult a financial advisor in other countries is a registered and regulated profession. However, this has begun to change. The growing interest in the behavior of financial markets and their impact on personal finances has generated an increased need for professional preparation of financial advice. But what is a financial advisor? How to choose and recognize a good financial adviser?
A financial adviser should be like a doctor, that is, the professional who is personally committed and long-term health of the patient and his family. The first time a doctor treats a patient, before making a diagnosis and recommend treatment, makes an initial interview to understand their history, chronic conditions, habits and customs problems. You can also tell analysis and studies.
Once you have all the information you can make a diagnosis, send medication or suggest you change your habits. You may also recommend surgery and follow its evolution before and after intervention. After a while, there will be further consultation to find out how its operation and how is your health. The function of a financial advisor can be an individual or a specialized institution, is to follow all these steps but to maintain the health of your finances. A true financial advisor will focus on the objectives, financial situation and needs before the recommendations. If someone comes offering big profits and profitability, be careful, it is a seller, says Dinero.
Many people believe that an adviser should recommend where to invest to make money quickly, like a miracle. The financial advice is not that.
It is a long-term plan intended, primarily evaluating the client’s objectives, resources, time and the risks you are willing to assume. Therefore, in the initial interview, the counselor will evaluate what you want against what you currently have and how they are driving. (For this, the consultant will investigate how they are managing their savings and investments, projects and future goals, what goods you wish to purchase, at what age and how he wants to retire, do you think your family in case of death, inheritance, what economic future you want for their children, etc..).
For best results in financial planning adviser must disclose relevant financial and personal information. Therefore, trust should be the basis of the relationship. We must speak the truth, that the consultant very familiar with their situation and needs and can make a proper diagnosis. For this, you must rely on the honesty, professionalism and skills of financial advisor to help you achieve your goals objectively. Hence the importance of good selection and know what he wants.