Adopt the Right Mindset to Succeed as a Financial Advisor

By Dummies Press

Part of Success as a Financial Advisor For Dummies Cheat Sheet

The first step to achieving success as a financial advisor is to adopt the right mindset, which requires understanding what all being a true financial advisor entails. A true financial advisor must practice according to the following guidelines:

  • Uphold the fiduciary standard. Recommendations and advice must always be in the best interest of the client, not swayed by commissions or pressure from the firm.
  • Provide holistic financial advice. Advice must cover all aspects of a client’s financial health and wellbeing, including budgeting, savings, investments, taxes, insurance, and estate planning, although some areas can and probably should be outsourced.
  • Embrace transparency. Fully disclose conflicts of interest and compensation — fees and commissions.
  • Perform due diligence. Identify the client’s unique financial goals, research products and solutions to meet those goals, plug any gaps, and adjust as needed.
  • Be a team player. Be willing and able to bring in other financial and legal expertise to meet the client’s needs.
  • Be accountable. Take responsibility for the advice and recommendations given. The buck stops here.
  • Appreciate the gravity of the situation. Financial advice can have a huge positive or negative impact on the lives of clients and their families.