It is very important for any person or a company to track their financial progress. This will allow effective decision making for their financial assets. You need more than opinions to make a right decision. A financial advisor helps in providing you with financial accounting services depending on your individual needs. They play many roles in your life- a fitness coach, a family doctor or a specialist, depending on your financial health.
A little bit more in depth answer for what a financial advisor does, apart from financial accounting is, he develops a comprehensive plan for your financial needs and for your individual situation. Everybody’s situation is going to be a little bit different.
So what differentiates you? You have to think about things like age, your position in life and risk tolerance. These are all important things that go into deciding what your financial consultants in Bangalore are going to do for you. But it comes down to three basic principles. The first principle is that they are going to plan against uncontrollable events or things like what happens if you die tomorrow, is your family going to be able to survive with the current lifestyle that they have or are they going to be in trouble. So protection is one thing that’s very important.
The next step in the process is about preparation. How to prepare for things that we know are going to happen but we have to put a plan in place to get there. Things like home ownership. If you’re young and you want to get into your first home, then you have to think about how you’re going to pay for that down payment. That might seem difficult all of a sudden .So how do you put yourself in a place where that down payment is realistic.
The third and final step is a fun part. It’s planning for growth opportunities. What happens if your friend comes to you tomorrow and say “Hey! I’ve got an opportunity to go to a cruise in Mexico. Do you want to come? It’s going to cost you about a thousand bucks.” Would you prefer to have that money come out of your savings account and know that it’s there as opposed to dumping it on your credit card and getting the enormously high interest rates? That’s your choice. So these
come to you, to talk to you about what’s going to benefit you in your individual situation, using those three Ps- preparation, planning and protection.
Financial consultants play the role of a fitness coach, a family doctor or a specialist, depending on your financial health. People try to procrastinate about their financial management as much as their fitness. If you don’t want your finance to sag like your health then you should get someone to help you stay in shape. That is level one of financial intervention- that is a good coach. He should be able to inculcate good habits in you, like making a budget and helping you stick to it. And that is particularly helpful for people who have no money or physical issues.
When you are older and have responsibilities, you need a real financial consultant, like a family doctor. That’s level two of financial intervention. Just like a medical doctor knows your medical history, a trusted financial consultant in Bangalore knows your financial history and therefore understands your relationship with money. He guides you towards better debt and equity.
Finally financial advisors in Bangalore play financial role of a specialist, which is third level of financial intervention. A specialist can be anyone who helps you to grow and protect your wealth for a specific need, like a personal inheritance or playing an options in the future market.
There are two kinds of financial advisors in Bangalore; the first is a broker who charges commission. The second is the registered investment advisors who charge client fees. This whole sector is new and developing. But there are great things stored in the sector. Financial advisor can help you keep a check on your financial health, but make sure you do your research and pick a good one. Remember the check list: Qualification and always get the advice in writing.