- Generic Financial Advice: This does not usually consider your specific circumstances. As such, it will not take into account your objectives, financial situations and requirements. In this scenario, a financial advisor might offer you information about a product that might be suitable for you. But, it might not necessarily take into account your overall financial goals. This distinction makes this advice constitute generic financial advice.
- Personal Financial Advice: Licensed advisors will offer personal financial advice that takes your particular situation and objectives into account. Many advisors offer their advice as
- Simple Issue Advice: This advice only addresses a specific aspect of your finances. As such, it does not constitute comprehensive financial advice. For instance, you might require advice on purchasing income protection insurance in Norwest and the neighbouring areas.
- Comprehensive Issue Advice: This involves the formulation of a comprehensive financial plan. Implementing the plan devised will help you set and achieve your financial goals. In many cases, this financial plan could help you address various aspects of your finances such as your savings, investments, insurance and retirement planning. Ideally, the advisor will monitor and fine-tune the plan over time as your requirements change.
- Ongoing Advice: In this scenario, your financial advisor will monitor and review your financial plan on a regular basis. In many cases, your advisor and you will establish the frequency of reviews when you
- ommence a working relationship. Based on your requirements, your advisor will conduct regular reviews of your financial plan. In return, you will pay the advisor for the services rendered.
Financial advice could typically comprise: