by Frank Anderson

If your New Year’s resolution is to take control of your finances, you may want to start by establishing a relationship with an investment professional. While it can be tempting to invest on your own, heading into the market blindly may have a negative impact on your finances. A professional investment representative can introduce you to products and services that you may not have known existed, and serve as an objective party who can help you analyze your needs and personal tolerance for risk.

When seeking out a professional to assist you with establishing an investment plan, it is smart to interview potential representatives in order to find someone with whom you are comfortable. This interview gives you the opportunity to find out more about the investment representative and his or her practice.

You’ll first want to inquire about their credentials, making sure they are fully licensed in a wide range of investment products. In addition, you’ll want to find out how long they have been a registered representative. If he or she is relatively new to the profession, ask about their previous career.

Inquire about what the representative typically suggests to new clients. This will give you an insight as to whether they believe in overall investment planning or just pushing specific products. You should also ask about the support they receive from their respective company. The access they have to research, technology, and analytical tools will all aid in the service they provide to you. You should also ask if there are certain areas or products they tend to concentrate on. For example, if your retirement is your sole priority, you may wish to choose a professional who specializes or focuses on retirement planning.

Finally, be sure to ask how you’ll be charged for the services you receive. Some firms offer both commission-based and fee-based investing, dependent on the amount invested and what is most appropriate for your situation.

Frank Anderson, CFP^® is a Vice President/Investments and Assistant Branch Manager with Stifel, Nicolaus & Company, Incorporated, member SIPC and New York Stock Exchange, and can be contacted in the Murrieta office at (951) 461-7220.