Quora Answer: What is the Best Way to Get Reviews or Do Homework on the Financial Consultant I Want to Hire?

The following is my answer to a Quora question: “What is the best way to get reviews or do homework on the financial advisor I want to hire?” 

The best way is to speak to his current clients, not his management, not his staff, not what he writes in some industry publication.  However, if he has social media, they give you an insight on how he thinks. 

What you want to look for is how often he updates his client base.  I am not talking about sending Christmas and birthday greetings.  I am talking substantive fund updates and market developments.  If he handles insurance, you want to know how efficiently he handles claims, and underwriting.  Does he fight for the best premium price and coverage?  Does he manage to get claims paid out in a reasonable period of time?  Is he always upselling? 

When it comes to social media, they show a lot more of people than they are normally aware.  For example, if a financial consultant talks about his client’s business whether on policy size, investment allocation, and claims, and use that as a means of advertising, they are not the sort of people you want.  Financial advisory is a relationship between the consultant and the client, and no one outside of that relationship should know the extent of the client’s portfolio unless he wishes it so. 

If a financial consultant is on social media talking about the car he wants to buy, or the next house or holiday, I would advise you to be very sceptical of his advice when it comes to spending money.  He is normally the sort who thinks of his commission, not your needs.  He is not the sort of consultant you want.