Watching Your Wallet: What to consider for financial advisors

FRESNO, Calif. (KFSN) -- From Certified Financial Planners and Wealth Managers to investment advisors and insurance brokers, there are a number of people qualified to help you manage your money.

"It's really important for the consumer to know who they're talking to, how they're compensated, how they're credentialed and what their background has been in terms of working in these various fields," says Certified Financial Planner and Portfolio Advisors CEO Tina Mistry.

Mistry says life changes, growing tax complexity or simply wanting to put your financial goals in focus are signs it's time to look into working with a financial advisor.

With so many to choose from, Mistry says red flags to look out for include guaranteed returns.

"If you walk into an advisor's office and they're guaranteeing you hypothetically a 6% return, that is not a legal practice in our field of work," she said.

Understand the compensation structures, and be aware of any potential products or stock being sold.

Looking at credentials is key.

"Do they have appropriate licensing from the state? Or federal licensing? Looking for credentials like the Certified Financial Planner Designation or the Charter and Financial Analyst Designation, these are heavy-duty curricula that individuals have gone through to expand their knowledge to be able to serve consumers really well," Misty said.

That curriculum includes the ethics declaration, and certification comes after passing a comprehensive background check.

Once you've found one you want to work with, have a general idea of your financial picture and your goals.

"Looking for an advisor that listens to you that genuinely wants to know you and help your family, those are some traits and characteristics to look for in that first meeting," Misty said.

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