Types of Questions to ask

1. Are you independent?

This refers to whether or not the advisor is contracted to one or multiple insurance/investment companies. This information can be useful as it can tell you whether the advisor can offer you multiple solutions to your problem. This may not always be the beneficial as an advisor who is completely experienced and skilled in his/her company’s products can outweigh an advisor who knows the basics of multiple products.

2. What are your qualifications?

Firstly, the advisor should be registered with the FSCA (Financial Sector Conduct Authority). Ideally, your advisor should have completed the RE5 examination. A lower percentage of advisors hold the CFP (Certified Financial Planner) qualification. Tertiary business degrees and or diplomas further qualify an advisor to do his/her job.

3. Do you have experience?

Experience is a broad term. I am specifically referring to experience in dealing with a case like yours. Whether or not an advisor has other clients like you whom he/she has successfully managed. Whether he/she has successfully implemented the product you are considering in the past.

4. How often do you communicate with your clients?

This helps you gauge whether the advisor will be suited to you. Some advisors may only contact you once per year for a review, some may contact you on a monthly basis through emails. The important aspect on communication is that the advisor should always be accessible if you need him/her.

5. Why is your proposed solution right for my situation?

Its important that an advisor is able to show you the planning and reasoning behind making a recommendation. The product being offered should always have your best interests in mind first. If an advisor cannot explain how the product will benefit you but can explain his/her commission structure in detail, then there might be an issue.

Finally, if you’re dealing with an advisor or product that you are unsure of, you can simply tell them to hang on with their proposal. Because you would like to run it by your favorite Liberty Financial Advisor.