If you’re considering investing your hard-earned money, it’s important to have a knowledgeable and trustworthy investment consultant by your side. But with so many options out there, how do you know which one is the best fit for you?
In this blog post, we’ll dive into our top 5 things to look for when searching for an investment consultant. From qualifications to values, we’ll help you find the perfect match for your investment needs.
1. Experience and Qualifications
The first thing we believe should be considered when looking for an investment consultant is their experience and qualifications. It can be crucial for you to work with someone who has the right educational credentials and a proven track record of success in the financial industry to back it up. (Past performance does not guarantee results.)
We believe you should look for consultants who have relevant degrees, certifications, and licenses. Keep in mind that different types of investments may require different qualifications, so make sure to do your research and find out what is necessary for your specific investment goals.
Many consultants have bachelor’s or graduate degrees in subjects like economics, finance, and business administration, as these offer a suitable knowledge foundation for investment theories and practices, financial markets, and an understanding of different business models.
It’s also worth noting that some investment consultants have achieved professional licenses that grant them special status and expertise, including Certified Financial Planners (CFPs) and Chartered Financial Analysts (CFAs), through a combination of exams administered by the Financial Industry Regulatory Authority (FINRA). This kind of certification differentiates them from other investment consultants (Certifications & Licenses do not guarantee future results.).
As an example, you can check Iron Point Financial’s investment credentials by clicking on “Broker Check” icon at the bottom-right hand side of your screen.
2. Specialization
Looking at an investment consultant’s education at the college level can only get you so far, especially when you consider that investing is a huge field that covers a wide range of areas including stocks, bonds, real estate, and more. That’s why you need to find a consultant who specializes in the type of investment you’re interested in.
Specialization means that the consultant has in-depth knowledge and experience in a particular field, making them better equipped to guide you towards successful investments or particular ways of investing. Look for consultants who have a track record of success in your desired area of investment. This could include complementary areas like tax planning, risk tolerance & management, retirement planning, and estate planning (Specialization & Past results do not guarantee future results.).
3. Personalized Approach
Investing is not a one-size-fits-all approach. Each individual has different financial goals and risk tolerance levels. That’s why it’s crucial to find an investment consultant who takes a personalized approach and is able to problem-solve in your specific financial situation.
A good consultant will take the time to understand your specific needs and goals, and then tailor their recommendations accordingly. They should also be able to explain their strategies in simple terms and answer any questions you may have, time and time again. We say “time and time again” because the best investment consultants will stick with you for the long term, helping you to manage your investment and financial goals at whatever stage of life you find yourself.
On the flip side, certain types of investment consultants — you may find those at larger institutions like banks and stock brokerages — may try to sell you standard-issue products or boilerplate strategies that they will receive a commission for. This may be acceptable for some, but we suggest that the best investment consultants go beyond this and adopt a more personal, fine-tuned approach.
4. Transparent Communication
When it comes to safeguarding, managing, and growing your hard-earned resources, transparency is key. Look for investment consultants who have a clear and open communication style: those you can sit down with and talk to, face-to-face. As we said earlier, the best investment consultants will partner with you in a long-term relationship, as they actively work alongside you to meet your financial goals.
It’s worth mentioning that any investment consultants worth their title will disclose all fees and potential conflicts of interest upfront, and keep you updated on any changes or updates regarding your investments throughout your business relationship. The most effective investment consultants will also be able to explain complex investment ideas and strategies to you in a way you can easily understand, and with a high level of objectivity (for example when explaining different levels of risk between possible investment strategies).
This kind of communication will help build trust between you and your consultant, facilitating a successful and long-lasting partnership.
5. Shared Values
Last, but definitely not least, it’s important to find an investment consultant whose values align with yours. These values may include ethical considerations such as social responsibility, environmental sustainability, and charitable and faith-based interests. They may even be able to work with you to ensure that your investments are targeted to bring positive impact in areas that matter most to you, or equally to deliberately avoid investments that go against your principles.
When your and your investment consultant’s values are aligned, you can rest assured that your investments will not only be financially sound but also in line with your personal beliefs and principles. And when you consider that investment is all about stewarding what you have now to try to maximize the future, your choice to work with the right investment consultant could even help to make the world a better place.
This article is designed to provide accurate and authoritative information on the subjects covered. It is not, however, intended to provide specific legal, tax, or other professional advice. For specific professional assistance, the services of an appropriate professional should be sought.
Summary
Remember, finding the right investment consultant may take some time and research, but it’s well worth the effort and the wait. By considering these five factors during your search, you’ll be on your way to a successful and fulfilling investment journey. So don’t rush into any decisions, and take your time to find the perfect fit for you and your financial goals. All the best on finding an investment professional who will work well for you!
The Iron Point Difference
If you happen to live in one of the Greater Pittsburgh, Grove City, Greenville, Erie, Cranberry Township and Boardman, OH areas, and you are actively looking for an investment consultant that fits all five markers above, why not reach out to Iron Point Financial today?
Our focus is on providing comprehensive financial care to you and your family by aligning our wealth of investment planning services with your specific life goals and values. We will work with you to help you make informed decisions and navigate whatever is standing between you and your financial aims.
Here’s what you can expect if you work with us:
- A rigorous evaluation process, where we develop a deep understanding of your needs not just as an investor, but as a human being.
- An analysis of your investment objectives so that we can co-create a comprehensive strategy for achieving your financial targets.
- A tailored investment portfolio that will help you pursue both your short- and long-term objectives.
- Constant monitoring and adjustment of your portfolio: we gauge performance based on progress towards your unique goals, not a market index.
Clients who work with us are more than just clients: they become our friends. If you choose us for your investment consulting needs, that’s how we will treat you: as a friend. And if you ask our other clients what they think of us, they will tell you about the way we care for their financial and whole-life needs, and recommend solutions with those needs first and foremost in mind.
Indeed, many of the friends who have worked with us as their investment consultants do so not just as individuals but across family generations. We believe this kind of trust is a direct result of us putting relationships on a par with professional excellence.
