Recent studies have shown that over 75% of new financial advisors are coming into the industry following a stint elsewhere within the financial world. This is true for my friend Patrick Dwyer financial advisor for Merrill Lynch and I asked him recently whether or not he thought that this was the best way to get started in this field of finance. He gave me a resounding yes when he was asked about this topic and then explained to me just a few reasons why he thought that this was best. If you are currently a student who wants to be a financial advisor or you are working in a career in finance, here are just a few reasons why you are better off becoming a financial advisor later on in your career.
Financial advisors are required to understand the whole world of finance and not just one area of it, in order to do this the best way is to have already worked in one or more specific fields within that world. This can not only help you to boost your knowledge but you can better understand the many impacts that can happen in finance as a result of the experience which you have gained through the years.
Financial advisors need to have a great deal of confidence in the advice which they offer and one of the best ways of gaining this confidence is through experience. Whilst you may have a lot of confidence at a young age, this can often be misplaced and it is the wrong type of confidence as the kind that you will need when you are offering someone advice on what to do with their money.
Learning The Craft
A financial advisor needs to be great at what they do so that they can help people in the best way possible. In order to do this to the best of your abilities, you will first need to hone your craft and find the way that best works for you. Throughout your years in finance you can try out different styles and approaches towards clients so that you can understand what works best for you and the client. Doing this in the financial field before you start working with clients and offering your advice is the best way to be the strongest financial advisor that you can be.
Seen The Mistakes
Finances are never certain and with all of the data in the world, things can still go wrong without any warning whatsoever. Having spent a career in the financial sector and seen how things can go badly wrong means that you will have a much more cautious and risk-avers approach to your financial advice and this is something which can only benefit the clients which you are working for. Recklessness is not something that people are looking for when they seek financial advice.