Four Factors to Consider Before Choosing a Financial Advisor in Sydney

According to the age structure forecasts, Sydney will experience an increase in the retirement population by 45.9 per cent. And to make the most out of retirement, one must have thorough financial planning. With the right financial advisor in Sydney, you can get help with wealth management, savings planning, portfolio administration, superannuation, and retirement planning.

The importance of financial planning is not only vital for older adults. You, too, can build up your wealth through the right investment choices and savings behaviour that could help you in different stages of life. However, the selection of a financial advisor needs consideration of various factors, which are elaborated below:

Assess your needs

The average yearly income of an employed individual in Sydney is approximately $108,000. And with multiple investments and savings choices, one could be overwhelmed about making the right financial decisions. Inappropriate management of finances leads to increased financial stress and affects the overall quality of living. What you need or want from your financial advisor depends on the stage of your life and the goals you want to achieve. So, before meeting your financial advisor, you must assess your needs. You may opt for advice like budgeting, investment, estate, taxation, insurance, or retirement planning. 

Choice of advice

The choice of getting personal or general advice depends on your needs. While personal financial advice is tailored to your unique needs and keeps your best interests in mind, general financial advice does not offer similar benefits. Some personal financial advice may include:

Once off advice: Once off advice involves recommendations on a particular issue. This kind of advice caters to your immediate needs and is cost-effective. For example, you may need to consult an advisor regarding your contribution to super or decide on the most effective ways of using a capital asset. 

Ongoing advice: It includes regularly reviewing and monitoring your financial affairs and investments. The cost of ongoing recommendation is usually higher than once-off advice. 

Comprehensive financial advice: It includes developing a finance plan to accomplish specific financial goals to secure your future; it may cover insurance, investments, retirement, and super planning and savings.

Check registration and licences.

When you have assessed your needs, it is time to find the right financial advisor. While looking for a financial advisor in Sydney, make sure you consider the company is registered with ASIC. ASIC is a regulatory body that ensures that the financial service-providing companies conduct business honestly and fairly. ASIC registration will make you feel comfortable regarding the protection and regulation of your money. You may also check the qualifications and certifications of the professionals on the Financial Adviser Registrar to be sure. 

You can also go through the Financial Service Guide to check the services offered, their charges, ownership of the practice, links to product providers, and their AFS licence number. 

Meet in person

When you meet your financial adviser, you better understand various processes and make an informed decision. An in-person meeting can be an excellent opportunity to find out whether the advisor can be trusted for the long term. Hence, don’t be haste with your decision and select an advisor with whom you can rely on and make a long-term relationship. 

They help clients all over Australia and can offer meetings via Zoom if you live outside of Sydney, or it simply makes life easier.

An efficient financial advisor will discuss risk factors, keep you informed and help you achieve your financial goals. So, to safeguard your future and prevent financial negligence, consider all the above factors and choose the right financial advisor. 

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