6 Tips to Choose a Financial Advisor
5. Frequently changes recommendations for your portfolio
Since some advisors are paid on commissions from transactions, a higher activity can indicate a self-serving view. Even for advisors paid a quarterly retainer, frequent changes can mean a lack of conviction. An advisor who did not gather sufficient data or make a proper analysis of the firm could be changing recommendations only after results come in.
6. Forces you to make decisions right away
An advisor's job is not to be a salesman for financial products. Utilizing FMCG marketing tactics like now-or-never to pressure you into decisions you are not comfortable with is a sign that the advisor needs the transaction more than you do, which is a red flag in itself, or that he doesn't really understand what your specific goals and plan are.
An advisor who patiently listens to you and only recommends options that you are most comfortable with is the one you can trust.
