Unsolicited Money Saving Tips For Financial Advisers!

Here are a few unsolicited money saving tips for financial advisers. Most of my posts are unsolicited, but considering how many in the financial services community feel about me, it seems particularly befitting to refer to this post as one.

Much of what follows stems from experience (not from providing financial advisory though).

1. Do not buy a website, or related web services for online presence or branding.

Yes, an online presence is crucial these days. You don’t need a ‘professional looking website’. You just need a blog.

You can get it from a free WordPress or Blogspot blog

Update it frequently and showcase your competence. Go beyond the usual power of compounding crap. Provide detailed analysis and perspective. You will soon get clients.

Ready made websites look good but are not optimized in terms of speed and design. They will not offer you any kind of visibility. You need to blog for that.

2. Do not buy financial planning software!

Learn Excel if you already have it, or use something like open office. That is all you need for creating a financial plan. You can freely create a custom plan without the constraints of FP software.

3 Do not waste paper and print toner!

No client is going to read through a 25-page financial plan.  They just want to know what to do next. All you need is few pages: one for the agreement+ disclaimer and one (okay a couple) for a set of specific action items for implementation.

In fact, I think giving them one task per week to complete and ensuring that it it completed will be even more effective.

If you give them a 25-page plan, they will send it to Ashal Jauhari for a second opinion!

4  Buy cost-effective portfolio tracking solutions.

Something like Mprofit advisor is extremely cheap (must be better ones available). A single client could pay for the 500 or even the 1000 portfolio package for a year! Whats more, you can effectively track direct mutual fund plans with them

Photo Credit:  epSos.de (flickr)

Photo Credit: epSos.de (flickr)

5 Should you waste your money registering for ‘build your business’ seminars?

You will only help build their business! Success in financial advisory comes with competence.

(A) Competent understanding of the requirements of a financial goal and associated investment risk.

(B) Competent understanding of client behaviour.

(A) requires clarity and only math (the language of nature) offers it best. I have my own doubts reg. the mathematical rigour behind advisory certifications (based on inputs received)

(B) can be developed with experience

The secret to building your business is simple: showcase your competence rigorously and frequently with a strong online presence. Only you can help yourself in this regard.

6 Why take up expensive certifications?

The regulator (SEBI) does not care about the chest thumping by CFPs (certified financial planners).  In fact when they announced the registered investment adviser regulations, CFP was not even recognised!

The Investment Adviser Certification Examination-1 (IACE-1) and Investment Adviser Certification Examination -2 (IACE-2) are more cost-effective but less rigorous solutions (thanks to inputs at AIFW).

If I wanted to become an investment adviser today, why should I spend more money and time getting a CFP when it is so much easier to get the IACE certifications?

Don’t believe the hype about CFP.  Clients are impressed by honesty and competence more than fancy degrees.

Success is governed by innovation and competence. Both of them do not depend on marks or degrees! You need to seek them out independently.

7 Use freefincal.com

Now I sound like Subra! Hey, the stuff here is free. Use it, adapt it at will, offer feedback so that it can be improved further. Don’t forget to share them with your colleagues.

Ps. If you want to indulge in some pattu-bashing, please be sure to mention freefincal.com. No such thing as bad publicity 😉

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About the Author M Pattabiraman author of freefincal.comM. Pattabiraman is the co-author of two books: You can be rich too with goal based investing and Gamechanger. “Pattu” as he is popularly known, publishes unbiased, promotion-free research, analysis and holistic money management advice. Freefincal serves more than one million readers a year with numbers based analysis on topical issues and has more than a 100 free calculators on different aspects of insurance and investment analysis, including a robo advisory template for use by beginners. Contact information: freefincal {at} Gmail {dot} com He conducts free money management sessions for corporates (see details below). Previous engagements include World Bank, RBI, BHEL, Asian Paints.

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Freefincal has original unbiased, conflict-of-interest-free,  topical reports, reviews, commentary and analysis on all aspects of personal finance like mutual funds, stocks, insurance etc. All guest authors and contributors to the site also do not have any conflict of interest. If you find the content useful, please consider supporting us by (1) sharing our articles and (2) disabling ad-blockers for our site if you are using one. No promotional content We do not accept sponsored posts and link exchange requests from content writers and agencies. This is our privacy policy Our website is non-profit in nature. The revenue from the advertisement will only be used for hosting charges, domain registration charges, specific plugins necessary for traffic growth and analytics services for search engine optimisation.
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You Can Be Rich Too with Goal-Based Investing

You can be rich too with goal based investingMy first book is meant to help you ask the right questions, seek the right answers and since it comes with nine online calculators, you can also create custom solutions for your lifestyle! Get it now.  It is also available in Kindle format.
Gamechanger: Forget Startups, Join Corporate & Still Live the Rich Life You WantGamechanger: Forget Start-ups, Join Corporate and Still Live the Rich Life you wantMy second book is meant for young earners to get their basics right from day one! It will also help you travel to exotic places at low cost! Get it or gift it to a young earner

The ultimate guide to travel by Pranav Surya

Travel-Training-Kit-Cover This is a deep dive analysis into vacation planning, finding cheap flights, budget accommodation, what to do when travelling, how travelling slowly is better financially and psychologically with links to the web pages and hand-holding at every step.  Get the pdf for ₹199 (instant download)

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Updated: August 3, 2016 — 10:22 pm

20 Comments

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  1. You are awesome!

  2. You are awesome!

  3. Great Pattu Sir. I know you have given great many advises for retail investor's like me. How about consolidation and giving it in nutshell. Maybe you can call it "Pattu's advice for Dummy's"

  4. Great Pattu Sir. I know you have given great many advises for retail investor's like me. How about consolidation and giving it in nutshell. Maybe you can call it "Pattu's advice for Dummy's"

  5. Wonderful sharing Pattu. To be frank when I completed CFP, I know that I was unable to get a client who can pay me the fee of Rs.500. Because what I have at that time were few retail SIPs and LIC clients. But somehow I thought to start a blog and shared whatever I was learning. Slowly after a year or so, client started to approach me. Now all my clients are through blog (whom I never met personally). This blogging again forces me to learn and be update always. I again and again stress my readers and clients (once they understand the basics) to follow freefincal.com.

  6. Wonderful sharing Pattu. To be frank when I completed CFP, I know that I was unable to get a client who can pay me the fee of Rs.500. Because what I have at that time were few retail SIPs and LIC clients. But somehow I thought to start a blog and shared whatever I was learning. Slowly after a year or so, client started to approach me. Now all my clients are through blog (whom I never met personally). This blogging again forces me to learn and be update always. I again and again stress my readers and clients (once they understand the basics) to follow freefincal.com.

  7. Truly useful post,dear Pattu-as usual given from the heart and with no selfish interests.

  8. Truly useful post,dear Pattu-as usual given from the heart and with no selfish interests.

  9. Great sharing.i am filing numerous income tax return but still i have not bought any software for filing.nor i a have a laptop to impress my clients.buy only those product which u genuinely need.

  10. Great sharing.i am filing numerous income tax return but still i have not bought any software for filing.nor i a have a laptop to impress my clients.buy only those product which u genuinely need.

  11. Thank you. Hope to compile it soon but will not use the dummy and advice in the title 🙂

  12. Very Nice. Following same principles.

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