THEY HAVE A FINANCIAL INCENT TO SELL YOU WHATEVER PAYS THE HIGHEST COMMISSION! If their income is dependent on transactions and the sale of insurance and investment products. That’s not to say that there are not some honest and ethical advisers based on commissions, but this clearly defines a conflict of interest. Fee Based Financial Advisor – Wall Street does not want you to know about the real “dirty little secret” here.Learn more by visiting Financial Advisor Glasgow – Independent Financial Advisor Glasgow
Wall Street has sufficiently blurred the lines between the three ways in which your financial advisor can be compensated, meaning the companies and organisations involved in buying, selling, or managing assets, insurance and investments, that 99 percent of the investing public believes that hiring a Fee-Based Financial Advisor is directly associated with “honest, ethical and unbiased” financial advice. The securities industry is set up to make it appear as if all financial advisors are super successful in selling investment products, finance majors, vice presidents, etc. All of these things are done deliberately to make you trust them and believe that they are investment gurus who are going to be great with your money. The truth is that that is not always the case. That is just the industry’s illusion. It is important, therefore, to ask the correct questions to ensure that you get the right professional. The reality is that the brokerage industry has good financial advisors and bad financial advisors, just like any other industry. Here are some tips on how you can make sure that you get a good one. Something called FINRA Broker Check is the first instrument that you should use to vet your financial advisor. Broker Check is a tool which is publicly available. You can go to FINRA.org and there is something called the Broker Check in the top right-hand corner of that website. You can literally enter the name of a person, hit enter, and you will get what is called the Broker Check report, which will detail all the information you need when you bet your financial advisor.