It was difficult to find a trustworthy financial advisor. Recent appeals reversed the Department of Labor's fiduciary ruling, confusing financial consumers more. It is crucial to know if your financial advisor will act as a fiduciary or if they are looking for investments that suit you.
You should also find out if the advisor is trustworthy and able to understand your needs. We have compiled our top questions to ask when looking for a financial planner in Dubai.
1. Are you a fiduciary?
Advisors are legally required to protect your interests by following the fiduciary standard. Fiduciary standards require advisors to disclose conflicts of interest and tell you if they are recommending products or other professionals. They must disclose the fees they receive for their advice.
The suitability standard, on the other hand, is a standard that requires investment advisors to recommend products that are suitable for you. It is not possible to say whether the investment will help your goals or be in your best interests. Advisors may also be able to recommend products that offer higher commissions than similar products for lower fees, provided they disclose all conflicts of interest.
2. What Credentials Do You Have?
It is important to know the professional designations and experiences of advisors. This gives you a great insight into the advisor's knowledge and areas of expertise. There are more than 100 types of credentials, which can make it confusing.
3. What services and products do you offer?
You should ensure that you find the right advisor for your needs. You might look for a firm with a variety of investment solutions, such as an asset management company. A financial planner can help you assess your current situation and create a plan to achieve your goals. A financial planner can help you plan for retirement, college, tax strategies, risk management, and possibly wealth transfer.