Financial advice is most easily and voluntarily available services in India, as we rely taking it from anybody whom we believe should have enough information to advice, like an aged person, an experienced investors or depositor, an insurance agent, a share broker, a mutual fund distributor, a tax consultant or auditor,’ A’ grade bank employee, A master of finance, and some people even like to take it from the most educated person in the locality. Personal finance is a combination of various financial issues and factors which are inter related to each other .All the above advisors and people are expert in their own line of business but may not be better in analyzing ones actual financial need with a proper balance to all other related personal finance issue which comprises a good personal financial advice.
The matter to be discussed here is, who should we really take personal financial advice from and what is good personal financial advice?
Advice as defined in the dictionary is merely an opinion offered for an action, however good advice is not defined in any dictionary. It is only due to these complexities that most of the investors could not find financial freedom in life despite following the good advices which they believed it to be. It is very easy to get an advice but getting a good advice requires a very patient hearing & understanding, comprehensive and technical knowhow with neutral mind-set. A good financial advice for one individual may be a bad financial advice for other individual, as advising is not a generalise thing; it has to be catered individually on the basis of individual profile.
Good advice or a warning never comes for free-the price has to be paid either as fee or by losing money due to bad experience as observed on many instances of advices driven by a biased “product- push” approach. However, this by no means implies that a paid advice is guaranteed to give good results. For instance- consulting a cardiologist in case of any heart disease is a right approach for a getting a good advice but it can never guarantee a good heal.
So the gist of the matter is that a good personal finance advice is an advice relating to any personal finance matter from one who is certified ,has an overall knowledge of the personal finance matters, do not ignore any financial aspects while advising and is very ethical, loyal, neutral and professional to his advice. In that case, A fee based, experienced Certified Financial Planner (CFP) with very ethical and neutral practice may give a good personal finance advice that we might be looking for.