Financial Advisor vs Financial Planner: What’s the Difference?
07 Jun 2020
While it’s easy to see how similar a financial advisor vs. financial planner is, they are actually quite different.
There are unique because they have different roles and offer different finances for people.
Here’s a guide that can help you see the differences if you’re trying to decide which one you need.
A Financial Planner
A financial planner is designed to help you reach your financial goals, in the short-term and long-term. They work with you to give you a detailed financial plan for your current financial situation.
They also tell you how realistic it is to meet your financial goals.
A financial planner also works with corporations in addition to working with individuals. They ensure that corporations meet their long-term financial goals. They also provide assessments on their current finances.
They also analyze risk for corporations and what the best investments are for these businesses.
When it comes to working with individuals, a financial planner can help you plan for retirement, investments, and other finances.
Overall, they help individuals make wise financial decisions that help reduce any risk by providing recommendations.
A financial planner also has different educational requirements than a financial advisor.
A financial planner will most likely have a Certified Financial Planner certificate and a Certified Investment Management Analyst. They also might have more depending on the state’s requirements.
If you want to read more about financial planning, specifically about planning for investments, check out this blog post.
A Financial Advisor
Different from a financial planner, a financial advisor works more closely with a client by managing their money.
A financial advisor offers a range of services beyond simply planning. They can also help with retirement planning, estate planning, investments, and other financial services.
You will also find that a financial advisor needs a Series 65 license to work in the public sector. After they’ve received this certification, they can choose to work with a specific group of people with a higher level of income.
They can choose to work with higher-level incomes or people who are looking to get out of debt.
A Financial Advisor vs. Financial Planner: What’s The Better Choice?
When it comes to a financial advisor vs. financial planner, it can be confusing. It can be difficult to figure out who to talk to if you don’t know much about them. But this guide gives you a basic understanding of their roles and certification.
Now you can figure out who to hire for your financial needs. You can also reach out to specific financial advisors or planners to discuss who they work with to get a better idea if they are a good fit for you.
If you want more information on financial advising and planning, you can give us a call and we will answer any of your questions.