How to Become a Financial Planner

CareerStint Staff Oct 28, 2018
Saving money is an important step towards securing one's future. However, not everyone knows how and where to invest their money to seek fruitful returns. This is where a financial planner steps in. Here's how to get into this profession.
Financial planners or advisers are professionals who educate people about the necessity and advantages of investing money, and also guide them in making lucrative decisions regarding the same. They analyze an individual's current salary, lifestyle, priorities in life, and also his goals, and make a plan that would help in reaching the set goal.
They help people in insuring their money for emergency purposes. Some people take up the responsibility of money management themselves. However, there are chances that they may make mistakes due to inadequate knowledge and inexperience in this sector, causing them to lose their hard-earned money.
Taking the help of a planner has become quite common in recent years, either because people are too busy, or because they do not want to take a risk of investing their money wrongly.
In this age, when people are very busy, they rely on experts to make important decisions regarding their money. This job is, therefore, very hectic, and involves huge responsibilities. Here are certain important things you need to know if you plan to get into this field.

Becoming a Financial Planner

It is not necessary to have a bachelor's degree to get into this profession. However, it definitely adds points to the work profile and earning potential. It would be beneficial to complete your graduation in the field of finance, economics, mathematics, statistics, business, or law.
Studying these subjects would help in understanding issues and intricacies of financial management. Graduating as a Chartered Financial Analyst or a Chartered Financial Consultant would also help. You can also enroll into courses related to estate planning, investments, risk management, and taxes.
To practice as a professional financial adviser, you need to have certification. Those who aspire to be certified, should have a graduate degree, and most importantly, at least three years of experience in the field. The three years of working is when you would receive the actual training for your career.
You would be dealing with the practical aspects of the theories you have studied. During this time you would learn how to how to deal with customers. Your main job would be to guide them in planning their finances according to their individual needs. This would also help you in building business relationships with the clients.
Once you complete the experience requirement, you would have to give an exam, that tests your skills. You would also have to undergo an ethical practice and background check. After you are certified, you can either work for an investment company or financial management company, or choose to set up your own business.
The salary varies greatly. Initially, when you start your career, you would enjoy a fixed salary, though it would not be a very huge amount. However, once you become a certified financial planner, your income would depend on commissions, or direct payment for the service you have provided to the client.
Careers in finance have become one of the most sought-after ones in the recent years. Along with educational qualifications and experience, you also need excellent communication skills for this job.