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Does Your Financial Planner Pass The Test?

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What is rate of return?

Surprisingly, many financial consultants find themselves unable to explain this question in a simple and clear way.

This encourages many people to not view financial planning as an important job, rather as someone to help settle claims when the need arises.

But is that all there is to your financial planner?

Is a financial planner only there to take orders and settle insurance claims?

Or should a financial planner be someone who guides you in making important decisions that helps you achieve your life goals?

Perhaps the first thing we need to do here is backtrack a little and identify the qualities that makes up a good financial planner…

Qualities that helps you to entrust this person with managing your money.

At GEN, we believe that any good planner should have these 5 qualities or what we call the 5Ps.

Run a quick check to see if your planner has them as well.

 

1.  Philosophy

Nothing as complex as the philosophies of famous Greek philosophers like Plato or Aristotle.

But every financial planner should have a personal belief or understanding of how financial planning helps their clients.

At GEN, we believe strongly in the value we bring that we’ve developed our own in-house philosophy which we termed as “Building Transferable Wealth.”

We believe in building financial plans that helps our clients and ourselves create changes that impacts future generations.

 

2.  People

Financial planning is difficult. Period.

The field of financial planning is a big topic and it takes a specialist to understand a single area thoroughly.

But finance is more than one single topic and you’ll need specialists in each area to work together and prepare a plan.

Which is why you know your agent is up to the task when there is a strong team behind to provide resources, research, recommendations, industry updates and much more.

No man is indispensable and neither is your agent.

 

3.  Principal Platform

Over and above the fact that every financial planning consultant needs to be appointed by a licensed financial advisory company to operate, the platform provided is important as well.

Uncover a little bit more about the platform your planner is operating under and how much support they provide to your planner.

After all, the better resourced your planner is, the better the quality of service you should receive isn’t it?

 

4.  Process

“If you fail to plan, you plan to fail.”

The same can be said about a systematic process.

Does your planner use a completely different approach for every single appointment or is there a system to follow?

Financial planning has a six step planning process to ensure you receive quality service and advice every single time.

You want advice on your finances, not an order taker.

 

5.  Products

Naturally implementing your financial plan is as important as the planning.

Whether you’re upgrading or reviewing your existing portfolio, it is paramount that you understand what you have.

But it is just as important that your planner has access to a wide and comprehensive range of financial products and services to solve your needs.

How well does your planner understand the products available to recommend those that can help you and your family?

And conversely, can your financial plan be executed or is it only going to look good on paper?

 

In a nutshell, these are the 5Ps we believe every financial planner should have to provide you with the service you deserve.

Take a moment to conduct this simple review and ask yourself honestly if your financial planner pass the test.