Learn how to pick an ethical financial consultant who respects your values with human-centered advising. Follow simple steps to find the right advisor.
<article class="text-token-text-primary w-full" dir="auto" data-testid="conversation-turn-8" data-scroll-anchor="true"><div class="text-base my-auto mx-auto py-5 [--thread-content-margin:--spacing(4)] @[37rem]:[--thread-content-margin:--spacing(6)] @[72rem]:[--thread-content-margin:--spacing(16)] px-(--thread-content-margin)"><div class="[--thread-content-max-width:32rem] @[34rem]:[--thread-content-max-width:40rem] @[64rem]:[--thread-content-max-width:48rem] mx-auto flex max-w-(--thread-content-max-width) flex-1 text-base gap-4 md:gap-5 lg:gap-6 group/turn-messages focus-visible:outline-hidden" tabindex="-1"><div class="group/conversation-turn relative flex w-full min-w-0 flex-col agent-turn"><div class="relative flex-col gap-1 md:gap-3"><div class="flex max-w-full flex-col grow"><div class="min-h-8 text-message relative flex w-full flex-col items-end gap-2 text-start break-words whitespace-normal [.text-message+&]:mt-5" dir="auto" data-message-author-role="assistant" data-message-id="184f3cfe-04e6-4546-a573-b07149c02941" data-message-model-slug="gpt-4o"><div class="flex w-full flex-col gap-1 empty:hidden first:pt-[3px]"><div class="markdown prose dark:prose-invert w-full break-words light"><p data-start="65" data-end="392">Managing your finances is more than just tracking income and expenses—it's about planning for the future, building wealth, and protecting what you have. Whether you're saving for retirement, managing investments, or dealing with debt, <strong><span data-sheets-root="1"><a class="in-cell-link" href="https://www.avrahambental.com/post/how-to-choose-a-financial-consultant" target="_blank" rel="noopener">choosing a financial advisor</a></span></strong> can make a big difference in reaching your financial goals.</p><p data-start="394" data-end="702">In 2025, the financial landscape is more complex than ever. With the rise of digital platforms, AI-powered investment tools, and changing market trends, finding the right advisor has become both easier and more challenging. Here’s what you need to know when selecting a financial advisor who fits your needs.</p><h3 data-start="709" data-end="760">1. <strong data-start="716" data-end="760">Understand What a Financial Advisor Does</strong></h3><p data-start="762" data-end="861">A financial advisor helps you make informed decisions about your money. Their services may include:</p><ul data-start="863" data-end="1006"><li data-start="863" data-end="886"><p data-start="865" data-end="886">Retirement planning</p></li><li data-start="887" data-end="912"><p data-start="889" data-end="912">Investment management</p></li><li data-start="913" data-end="929"><p data-start="915" data-end="929">Tax planning</p></li><li data-start="930" data-end="949"><p data-start="932" data-end="949">Estate planning</p></li><li data-start="950" data-end="985"><p data-start="952" data-end="985">Budgeting and saving strategies</p></li><li data-start="986" data-end="1006"><p data-start="988" data-end="1006">Insurance advice</p></li></ul><p data-start="1008" data-end="1164">Some advisors offer a full range of services, while others specialize in specific areas. Understanding what you need will help you choose the right advisor.</p><h3 data-start="1171" data-end="1218">2. <strong data-start="1178" data-end="1218">Know the Types of Financial Advisors</strong></h3><p data-start="1220" data-end="1308">Not all financial advisors are the same. In 2025, you'll come across a few common types:</p><ul data-start="1310" data-end="1758"><li data-start="1310" data-end="1464"><p data-start="1312" data-end="1464"><strong data-start="1312" data-end="1352">Certified Financial Planners (CFPs):</strong> These are professionals with rigorous training and certification. They provide comprehensive planning services.</p></li><li data-start="1465" data-end="1552"><p data-start="1467" data-end="1552"><strong data-start="1467" data-end="1491">Investment Advisors:</strong> They primarily help with portfolio management and investing.</p></li><li data-start="1553" data-end="1655"><p data-start="1555" data-end="1655"><strong data-start="1555" data-end="1573">Robo-Advisors:</strong> Automated platforms that use algorithms to manage your investments at lower fees.</p></li><li data-start="1656" data-end="1758"><p data-start="1658" data-end="1758"><strong data-start="1658" data-end="1678">Broker-Advisors:</strong> Often work for investment firms and may earn commissions on products they sell.</p></li></ul><p data-start="1760" data-end="1840">Make sure you understand the role of each type before deciding who to work with.</p><hr data-start="1842" data-end="1845">3. <strong data-start="1854" data-end="1894">Check Credentials and Qualifications</strong><p data-start="1896" data-end="2055">One of the most important steps in <span data-sheets-root="1"><a class="in-cell-link" href="https://www.avrahambental.com/post/how-to-choose-a-financial-consultant" target="_blank" rel="noopener">choosing a financial <strong>advisor</strong></a></span> is verifying their credentials. In 2025, trustworthy advisors typically hold designations like:</p><ul data-start="2057" data-end="2256"><li data-start="2057" data-end="2098"><p data-start="2059" data-end="2098"><strong data-start="2059" data-end="2096">CFP (Certified Financial Planner)</strong></p></li><li data-start="2099" data-end="2140"><p data-start="2101" data-end="2140"><strong data-start="2101" data-end="2138">CFA (Chartered Financial Analyst)</strong></p></li><li data-start="2141" data-end="2210"><p data-start="2143" data-end="2210"><strong data-start="2143" data-end="2180">CPA (Certified Public Accountant)</strong> if tax planning is involved</p></li><li data-start="2211" data-end="2256"><p data-start="2213" data-end="2256"><strong data-start="2213" data-end="2254">ChFC (Chartered Financial Consultant)</strong></p></li></ul><p data-start="2258" data-end="2438">Also, use regulatory websites such as FINRA’s BrokerCheck or the SEC’s Investment Adviser Public Disclosure (IAPD) to review their history, any complaints, or disciplinary actions.</p><h3 data-start="2445" data-end="2485">4. <strong data-start="2452" data-end="2485">Ask About Their Fee Structure</strong></h3><p data-start="2487" data-end="2533">Financial advisors may charge in several ways:</p><ul data-start="2535" data-end="2726"><li data-start="2535" data-end="2632"><p data-start="2537" data-end="2632"><strong data-start="2537" data-end="2550">Fee-only:</strong> A flat fee or percentage of assets under management. They don’t earn commissions.</p></li><li data-start="2633" data-end="2694"><p data-start="2635" data-end="2694"><strong data-start="2635" data-end="2656">Commission-based:</strong> Paid by financial products they sell.</p></li><li data-start="2695" data-end="2726"><p data-start="2697" data-end="2726"><strong data-start="2697" data-end="2711">Fee-based:</strong> A mix of both.</p></li></ul><p data-start="2728" data-end="2896">In 2025, more clients are leaning towards <strong data-start="2770" data-end="2782">fee-only</strong> advisors for transparency. Always ask for a written explanation of how they get paid, and beware of hidden costs.</p><h3 data-start="2903" data-end="2943">5. <strong data-start="2910" data-end="2943">Evaluate Their Fiduciary Duty</strong></h3><p data-start="2945" data-end="3196">A <strong data-start="2947" data-end="2968">fiduciary advisor</strong> is legally required to act in your best interest. This is critical. Some financial professionals are only held to a “suitability standard,” meaning the advice they offer must simply be suitable—not necessarily the best for you.</p><p data-start="3198" data-end="3329">Ask this simple question: <em data-start="3224" data-end="3280">Are you a fiduciary at all times when working with me?</em> If the answer is no, consider looking elsewhere.</p><h3 data-start="3336" data-end="3385">6. <strong data-start="3343" data-end="3385">Understand Their Investment Philosophy</strong></h3><p data-start="3387" data-end="3591">Every advisor has a different approach to investing. Some may focus on long-term growth with index funds, while others prefer active trading or alternative investments like real estate and cryptocurrency.</p><p data-start="3593" data-end="3636">Before you choose a financial advisor, ask:</p><ul data-start="3638" data-end="3780"><li data-start="3638" data-end="3682"><p data-start="3640" data-end="3682">How do you build an investment strategy?</p></li><li data-start="3683" data-end="3727"><p data-start="3685" data-end="3727">What kind of risk management do you use?</p></li><li data-start="3728" data-end="3780"><p data-start="3730" data-end="3780">How often will you review and adjust my portfolio?</p></li></ul><p data-start="3782" data-end="3869">Choose an advisor whose investment philosophy aligns with your comfort level and goals.</p><h3 data-start="3876" data-end="3915">7. <strong data-start="3883" data-end="3915">Look for Clear Communication</strong></h3><p data-start="3917" data-end="4183">A good financial advisor should explain things in a way that makes sense to you. You don’t need someone who uses jargon or rushes through meetings. In 2025, many advisors offer virtual meetings, real-time dashboards, and 24/7 client access to help you stay informed.</p><p data-start="4185" data-end="4198">Ask yourself:</p><ul data-start="4200" data-end="4337"><li data-start="4200" data-end="4234"><p data-start="4202" data-end="4234">Do they listen to my concerns?</p></li><li data-start="4235" data-end="4294"><p data-start="4237" data-end="4294">Do they explain clearly and answer questions patiently?</p></li><li data-start="4295" data-end="4337"><p data-start="4297" data-end="4337">Are they easy to reach when I need help?</p></li></ul><p data-start="4339" data-end="4411">Good communication is the foundation of a strong financial relationship.</p><h3 data-start="4418" data-end="4460">8. <strong data-start="4425" data-end="4460">Ask for a Sample Financial Plan</strong></h3><p data-start="4462" data-end="4701">Before you commit, ask the advisor to show you a sample financial plan. This will give you insight into their process, level of detail, and how they personalize advice. It’s a great way to see whether their services meet your expectations.</p><p data-start="4703" data-end="4739">A solid financial plan should cover:</p><ul data-start="4741" data-end="4904"><li data-start="4741" data-end="4772"><p data-start="4743" data-end="4772">Current financial situation</p></li><li data-start="4773" data-end="4803"><p data-start="4775" data-end="4803">Short- and long-term goals</p></li><li data-start="4804" data-end="4837"><p data-start="4806" data-end="4837">Retirement income projections</p></li><li data-start="4838" data-end="4875"><p data-start="4840" data-end="4875">Tax and insurance recommendations</p></li><li data-start="4876" data-end="4904"><p data-start="4878" data-end="4904">Estate planning strategies</p></li></ul><h3 data-start="4911" data-end="4952">9. <strong data-start="4918" data-end="4952">Read Reviews and Get Referrals</strong></h3><p data-start="4954" data-end="5161">Client reviews and referrals remain one of the best ways to find a trustworthy advisor. Ask friends, family, or colleagues for recommendations. Look for reviews on independent platforms and financial forums.</p><p data-start="5163" data-end="5299">But remember: what works for someone else may not work for you. Use referrals as a starting point, not the only factor in your decision.</p><h3 data-start="5306" data-end="5348">10. <strong data-start="5314" data-end="5348">Start with a Free Consultation</strong></h3><p data-start="5350" data-end="5517">Most financial advisors offer a <strong data-start="5382" data-end="5411">free initial consultation</strong>. This is your opportunity to ask questions, assess their approach, and decide whether there’s a good fit.</p><p data-start="5519" data-end="5553">Come prepared with questions like:</p><ul data-start="5555" data-end="5735"><li data-start="5555" data-end="5584"><p data-start="5557" data-end="5584">What services do you offer?</p></li><li data-start="5585" data-end="5622"><p data-start="5587" data-end="5622">What’s your typical client profile?</p></li><li data-start="5623" data-end="5663"><p data-start="5625" data-end="5663">How often will we meet or communicate?</p></li><li data-start="5664" data-end="5705"><p data-start="5666" data-end="5705">What are your fees and payment options?</p></li><li data-start="5706" data-end="5735"><p data-start="5708" data-end="5735">Can you provide references?</p></li></ul><p data-start="5737" data-end="5860">Use the meeting to trust your instincts—are they honest, knowledgeable, and genuinely interested in your financial success?</p><h3 data-start="5867" data-end="5885">Final Thoughts</h3><p data-start="5887" data-end="6076">Choosing a financial advisor is a decision that can shape your financial future. Don’t rush it. Take time to research, ask questions, and find someone who aligns with your values and goals.</p><p data-start="6078" data-end="6350" data-is-last-node="" data-is-only-node="">In 2025, the right advisor will do more than manage your money—they’ll help you feel confident, secure, and supported on your financial journey. Whether you're just starting out or planning your legacy, a good financial advisor is one of the best investments you can make.</p></div></div></div></div><div class="flex justify-start"> </div></div></div></div></div></article>
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