How to choose a financial planner

QUALIFICATION

A certified financial planner affiliated with an estab- lished organisation is best equipped to give you advice on how to m anage your finances. Check his certification before signing the agreement. However, the certification is only an indicator of credibility, not a g uarantee.

REPUTATION

There are enough quacks in this field. If a planner is knowledgeable and good at his work, he will have an impeccable reputation. Find out by asking him for references and speaking to his clients. You should have this feedback before you sign the contract.

STRATEGY OVER PRODUCT

Financial planning is 95% strategy and 5% product choice. The planner should work out the investment and saving strategy and leave choice of products to individual. If he starts by offering products, stay away from him.

MULTI-FACETED APPROACH

The advice should not be confined to only a particular aspect of your finances. The planner should look at all the facets, including goals, risk appetite and long-term requirements, as well as tax implications.

INDEPENDENT FUNCTIONING

An adviser working for a financial services company might not be able to give you objective advice. Go for an independent adviser who does not have a v ested inter- est in pushing products of a certain company.
RESEARCH AND SUPPORT SERVICES

The right advice is backed by adequate research. Your financial adviser should have such capabilities and should have access to the best technology and financial tools to select the appropriate product for you.