Common Sense Investing… An Incredible Award
Issue 29.09
I received a letter from one of America’s top financial journals. They said I had been chosen as one of the nation’s top financial advisors and they were going to list me as such in their publication. They just needed me to give them some biographical data for the article. Of course I called them but while doing so was wondering upon what criteria I had been chosen. In the world of advisor’s how did they come upon my name? I assumed they had read my book; however, I was somewhat skeptical as is my nature. It has served me well in this industry.
After asking me some basic questions I was told that all I needed to do to finish the process was to sign a release form and, oh yeah, send in a check for $7,000. “Wait a minute,” I said, “I have to pay you for this?” I found I was not speaking to the magazine itself, but to a firm that had purchased a page of advertising in it, and they were offering to give me this award as a form of advertising. They insisted the credibility would be great for my business. Angrily I told them that I saw no correlation between their phony award, and credibility. To my surprise I have since visited other financial firms who proudly display this very “Award.”
I sympathize with those who are seeking financial advice. How do you know where to look and what questions to ask? What are the advisor’s qualifications? According to the Utah Department of Commerce there are currently 974 individuals in Southern Utah who hold themselves out as “Financial Advisors.” And that doesn’t even include the accountants. How is one to choose between them? A deeper search however reveals that only 10 of those advisors have qualified to call themselves a CERTIFIED FINANCIAL PLANNER® - CFP®. It is a difficult designation to obtain. The education and experience requirements alone preclude most from even sitting for the 2-day exam.
Someday we may see regulations that will help the public know the real qualifications of their advisors. Until then this advice from USA Today seems appropriate. “If you’re seeking financial advice, limiting your search to a CFP® professional is a good first step.” Now that’s an award worth having.
Dan Wyson, CFP® is author of the book “21 Financial Myths” and owner of Wyson Financial. 1173 S. 250 W #305 St. George 435-986-9525 – Securities offered through LPL Financial member FINRA/SIPC.
