Navigating the Financial Advisory Jungle: From Sales to Life Planning????????

Ever wondered about the maze of "advisers" in the financial industry? It's a wild ride, with different levels, credentials, and, yes, a range of motivations. Buckle up, because I'm taking you on a fun and enlightening tour of the different kinds of financial advisers out there, from the bottom of the pyramid to the top!

The Sales Squad: The Product Pushers ??

These are the folks at the bottom of the advisory pyramid. Think salespeople, agents, brokers, private bankers, and securities dealers. They sell financial products and get paid through commissions, kickbacks, or by hitting KPIs. You might recognize them by licenses like:

Series 65: Allows them to provide investment advise.

Series 7 & 66: Allows them to sell a variety of securities

Series 6: Specializes in life insurance and variable contracts.

They’re often the first point of contact for many people stepping into the world of financial services. But beware – their advice might be more about their commission than your financial well-being.??

The Asset Managers: The Investment Gurus ??

Moving up the pyramid, we have asset managers. These professionals focus on managing your investments. Their goal is to grow your wealth through strategic investment decisions. They might hold credentials like:

CFA? (Chartered Financial Analyst): Recognized globally, this designation is a gold standard in investment management.

AIF? (Accredited Investment Fiduciary): Focuses on fiduciary responsibility and investment processes.

Asset managers can be a great fit if your main concern is maximizing investment returns, but they might not cover all the bases of your financial needs, such as tax planning, cashflow management and projection, and scenario analysis.??

The Comprehensive Financial Planners: The Holistic Helpers ??

Next up are comprehensive financial planners. These folks take a broader view of your financial life, integrating everything from retirement planning to tax strategies. They hold designations such as:

CFP? (Certified Financial Planner): Covers a wide range of financial topics and emphasizes holistic planning.

CPA/PFS (Certified Public Accountant/Personal Financial Specialist): Combines accounting expertise with personal financial planning skills.

Comprehensive planners are great if you want a well-rounded approach to managing your finances. They provide personalized advice that considers all aspects of your financial life. Caution: some of them might be selling products too, so ask them how they get paid / if they are fee-only or fiduciary! ??

The Financial Life Planners: The Visionary Guides ??

At the top of the pyramid are the financial life planners. These advisers go beyond numbers and charts, delving into the emotional and life aspects of money. They help clients align their finances with their personal values and life goals. Credentials here include:

RLP? (Registered Life Planner): Focuses on integrating life goals with financial planning.

CeFT? (Certified Financial Transitionist): Specializes in guiding clients through major life transitions.

Life planners are perfect for those who want their financial plan to reflect their life aspirations and values. They bring a unique, holistic perspective that merges financial savvy with personal fulfillment.??

My Journey: From Curiosity to Passion ????

I first peeked into the industry in the US when an alumni from Notre Dame, now an "EVC" level leader at Transamerica, reached out to me in 2019. Inspired by her success but wary of the sales side of things, I knew I wanted something different. Fast forward to 2021, having reached financial freedom, I was on the lookout for entrepreneurial opportunities. That’s when I discovered fee-based and fee-only financial planners. These folks were knowledgeable, friendly, and had an integrity I admired.

So, in 2023, I took the plunge. After passing my CFP? exam and earning my CPA/PFS designation, I joined the ranks of comprehensive financial planners. The deeper I got, the more I met incredible people like Hannah Moore, CFP? who's also a CeFT, Eileen Freiburger, CFP? at Garrett Planning Network, Louis Vollebregt - an achieved RLP trainer, George D. Kinder - the man who single handedly took the industry to the next level, and Rick Kahler, MS, CFP?, CFT?, CeFT? . Each one of them shared a passion for truly helping clients and changing the world.

The Future: A Changing Landscape ????

The financial industry is evolving, with a growing recognition of the emotional and life aspects of money. I’m excited to be part of this positive change and to see how the industry continues to grow and adapt.

So, whether you're just starting to think about your financial future or you're a seasoned investor, understanding the different types of advisers out there can help you make the best choice for your needs. And if you ever need a friendly, accessible, and knowledgeable guide on your financial journey, you know where to find me!