Traits of a Trustworthy Financial Advisor
What’s the most important trait in a financial advisor? In our opinion, it’s trustworthiness. If you know you can depend on your financial advisor, all the other pieces of your working relationship fall into place.
How do you spot a trustworthy financial advisor? Regardless of personality, good financial advisors often share a similar set of traits:
- They are properly trained and registered. This is a key point. If a financial advisor is not properly registered, they don’t have to adhere to the same standards. In the end, that could compromise the security of your finances and deprive you of insurance coverage on your investments. Good financial advisors start with getting their education and certification and keep up with the changes as they happen.
- They are transparent. You can’t build real trust without transparency. A good financial advisor will be honest and clear about your portfolio’s situation, as well as their suggestions. They also won’t hide fees or anything else for that matter from you, because they value your confidence above all else.
- They are creative. Not creative in a traditional sense, but creative in a financial sense. A reliable financial advisor can find solutions that fit your lifestyle and your current financial situation.
- They are flexible. This trait goes hand in hand with creativity. If the plan needs to change, they’re willing to do so, and they’ll know how and when to do it.
- They are responsive. Ultimately, nothing says success to a financial advisor to a happy client. So, if you have any questions or concerns, they should be responsive. This doesn’t mean answering your phone calls at 3 am, but it does mean providing you with feedback and advice in a timely fashion.
Finding these five traits in a financial advisor will prove invaluable to you as you move forward. Not only will you have an expert for guidance, but you’ll also be able to rely on their feedback and suggestions. With that confidence, you’ll be able to create the financial security that works for you.