the time. Often these products are not easy for the average investor to use or
even understand. It can be difficult to sort out the choices you need to make to
plan for - and protect - your financial future.
But at what point do you decide you need the help of a financial planner?
There's no single right answer. Some people say that unless you have more than
$150,000 in savings and an income of at least six figures, you can do your own
planning - if you have the interest and time. Others say that everyone should
have a financial planner.
Top 3 reasons to hire a financial planner
Financial planners are not the same thing as an investment adviser or broker.
They offer a much broader set of skills. You may choose to work with a financial
planner for one or more of these reasons.
- You don't feel ready or able to put together a proper financial
plan. Many people don't have the time, interest or knowledge to create
a solid financial plan. For instance, you may not know ways to improve your tax
situation. Or, how to plan for your retirement. Financial planners can help you
put your finances in order. They know how to deal with the 'big picture'. They
will work with you to help you plan for life's twists and turns and to improve
your overall financial life.Did you know? Investor
Education Fund recently surveyed 1,000 Ontarians on their financial knowledge.
The survey found that their knowledge of financial planning and setting goals
was quite low.Learn more now about our financial
- Your life has changed and you don’t know what changes to make to
your financial plan. With a new job, for example, you may have more
money. You will also have more decisions to make. What should you do? Save,
spend, or pay down debt? When you get married or start a family, you will have
different concerns. How will you protect your loved ones if something happens to
you? How will you provide for their future? A qualified financial planner is
trained to help you adjust your plan as your life changes. They know the
questions to ask. They can also help you work to balance your goals if you have
goals that seem to conflict.Did you know? Our survey of
investors found that even when people understand a financial or economic
principle in theory, they find it difficult to apply the principle to a real
situation. This can be even more difficult to do well when facing a big life
change.Learn more now about our financial
- You need help to understand and choose appropriate investments to
achieve your financial goals. Investor literacy is low in Canada. Many
people have trouble answering even basic questions about investments and
financial planning topics. Others may know just enough to know they are not
equipped to make the best financial choices. Or, they are worried they will let
their emotions take over and end up buying when they should wait - or holding
when they should sell. If this is you, you may want to work with a financial
planner. Like other advisers, a financial planner can help you develop an
investment strategy that will fit your goals and your comfort
level.Did you know? Our investor survey found that less
than 3 out of 10 Ontarians could pass a quiz on investment knowledge (where a
pass is 60 per cent of answers right). Half of the Ontarians we surveyed
answered less than half the questions correctly.