TORONTO, April 14 /CNW/ - Thousands of Canadians who have lost confidence
in their financial advisors during the market downturn have decided to become
their own advisors, figuring they can do at least as well as the
"The results will be predictably bad," says financial expert Jim Ruta.
"It's not better doing it alone," states Ruta, who reveals why Canadian
investors need advisors - and how they can make the client-advisor
relationship work for them - in his newly-released book, Master Your Money
Management, published by The Knowledge Bureau.
Here are Ruta's Top 10 Tips on how to get a better financial advisor:
1. Don't even think about doing it yourself.
Get over the idea that you can do as well with your money in your spare
time as the pros can do full time. Better you should be looking over the
shoulder of an expert, than doing it yourself. There's too much to know
to do it yourself - and far too much at stake.
2. Insist on a good fit.
One of the keys to a good fit with a financial advisor is someone who
specializes in working with people like you - with expertise and
experience in your profession. In short, your advisor needs to "get
3. Learn the new reality.
It's the 'one-call advisor,' not the 'one-stop shop' for all products and
services. No one advisor can do it all for you in today's ultra-complex
financial world. The best advisors work in interdisciplinary teams to get
you the top advice for all your needs.
4. Operate on the medical model.
Just like you'd see a medical specialist to get thorough, specific help
with your health, make sure your advisor is providing you access to the
best financial specialists. Insist on focused expertise for the
excellence you need.
5. Look for a quarterback.
Maximize your advisor's impact and improve your results with the
financial team concept. Your most trusted advisor should function as a
quarterback, coordinating the work of a team of proven financial players,
each experts in their field, that help you move the ball toward the goal
line every day. The more complicated your circumstances, the larger your
team needs to be.
6. Expect more to get better.
Learn the basics of the advisors' professional process well enough to get
the best from the advisor you have - or the one you need. Get involved
with the process because it's all about you. And only you know what's
right for you.
7. Consider your flinch factor.
Think long and hard about how you feel when you lose money. Make sure
your advisor speaks with you about risk and loss profile. Take the ego
out of your decisions about risk tolerance and carefully assess your
flinch factor. You'll sleep better and get superior results in the long
term, when it all counts.
8. Invest your time, too.
In addition to your money, invest a few hours each year to be sure that
the hundreds of hours you'll spend in retirement will be as good as they
possibly can be. Use your financial advisor as an information resource
for more than just financial matters - his or her connections can be a
great advantage to you.
9. Stay in charge.
You're the boss. If your advisor isn't living up to your expectations,
you have to communicate that fact. And just because firing your advisor
is difficult, doesn't mean you shouldn't do it when it needs to be done.
10. Act now.
Commit to mastering your money management. Create a picture of what you
want to accomplish with your money and then manage your advisor to help
you do it. The time for procrastination is over. Use the advisor's know-
how to do it now.
Master Your Money Management is the latest in the new series of Master
Your Personal Finances books, published by The Knowledge Bureau.
The Knowledge Bureau is a national publisher and certified post-secondary
educational institute, which provides continuing professional development to
practicing professionals in tax and financial services leading to
certification and designation. For more information, please visit
For further information:
For further information: To receive a review copy of the book, arrange
to speak with Jim Ruta or for further information, please contact Kerry Breeze
at (416) 829-1727 or by email at email@example.com