Chapter 15 Summary:
There are many titles used in the financial advisory business that are not regulated, nor do they have any real credentials to support them. Therefore, it is best to independently verify the license status of your advisor through governmental websites. Furthermore, verifying that your advisor has at least one of the three designations (CLU®, ChFC®, and CFP®) described in this chapter is highly recommended. But there are still good advisors without these designations.
It is preferable that an advisor have both insurance and securities or RIA licenses. This allows advisors to consider and recommend insurance-based or securities-based investments, or both, without bias. However, it is not essential that both disciplines are covered by the same person. Alternatively, it’s acceptable that your insurance and security or RIA advisors are two different people who cooperate. And your CFP®, or financial planner, can be a separate, third advisor.
Research the background of your financial advisors. Don’t take any advice at face value. Advocate on your own behalf and don’t be afraid to ask questions. Hopefully, these 15 chapters have given you all the ammunition you need to make the right choices and start putting your financial assets on the track to real wealth and security.