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Why You Need to Hire a Sebi Certified Financial Advisor

There are many benefits of hiring a SEBI-certified financial advisor.

By Sp KumarPublished about a year ago 3 min read
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A SEBI-certified financial advisor must adhere to certain standards and guidelines, which means they are better equipped to help you with your finances. It's today's need to hire a SEBI-certified financial advisor.

There are many benefits of hiring a SEBI-certified financial advisor. However, what is a SEBI registered investment advisor genuinely worth the investment?

Today, the need to hire a SEBI-certified financial advisor is becoming more than just a buzzword. It is the need of the hour. And this is because there are many certified financial planners who are non-SEBI registered. So, when it comes to choosing one for your money needs, it is imperative that you opt for a SEBI-registered one. The ratio between the two must be 10:1.

What is a SEBI-certified financial advisor?

A SEBI-certified financial advisor must adhere to certain standards and guidelines, which means they are better equipped to help you with your finances.

A SEBI-certified financial advisor has to follow many rules, including those mandated by the Securities and Exchange Board of India (SEBI). These guidelines and rules make sure that the financial advisor suggests suitable investments and financial products to the customers.

Some of the benefits of hiring such an advisor

Hiring a financial advisor can help you stay on track with your financial goals. A financial advisor can help you with:

  • Investment planning
  • Budgeting
  • Insurance planning
  • Retirement planning

Financial advisors can be certified by SEBI and are regulated by the government. All financial advisors must adhere to certain standards and guidelines, which means they are better equipped to help you with your finances. According to a survey by ASSOCHAM, over 95% of people in India find the present regulatory framework is inadequate and want stringent rules against financial frauds. You may want to read about the ways to spot a financial advisor

How to choose a financial advisor.

Financial advisors come from diverse backgrounds, both formal and informal. While some have been trained to become certified financial planners, others have gained expertise over years of experience. However, the best way to find the right financial advisor is through referrals.

Understanding Risk

The first step is to realize what kind of risks they can take in investing and how much more or less than others might be willing to take on a fair basis when it comes to financial planning for future goals, including retirement savings accounts and so on forth.

A certified advisor will ask you all these questions during a comprehensive meeting, so ensure that your answers reflect well upon yourself by being honest!

Investment Planning

Investment advisors consider your investment capital, goal and horizon to choose the most appropriate instrument for you. For example, planning for retirement involves investing long term, so it needs a lot more thought than just picking an investment plan or scheme that suits one's taste but may not be suitable.

Diversification

While investing diversification is important It helps you hedge out some market risks. Still, it's next-to- for any person or firm alone to decide which investments will be successful across many different markets and segments of the industry. Investors are like investment advisors. They have access to various clients. They can help to provide insulation against uncertainty when managing your wealth.

Convenience

Experts have access to local and international markets, which gives them insight into what may happen next around the globe. It gives clients confidence knowing things won't change drastically without warning, as certain events might do elsewhere.

The Entry and Exit Game

To earn more from your investments, you need a strategy that switches between investment instruments with perfect timing in times when markets are bearish or bullish, as well as profitable stocks from which one can draw profits without incurring losses at all costs!

The benefits of having an investment advisor are numerous, from their knowledge and experience in managing your capital. SEBI registered advisors have been proven to be more trustworthy than unregistered ones. They need regulatory approval to begin work in this field.

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