“Many investors lack the time, knowledge and experience to invest successfully, often encountering difficulties that could have been avoided had they taken advice from an independent financial adviser (IFA) at the outset and continued to listen to their counsel over time.” says Jeanette Marais, director of Allan Gray Investment Services Proprietary Limited and Allan Gray Unit Trust Management (RF) Proprietary Limited.
Click to read full article ‘What are the Merits of Good Independent Advice’
An advisor can help you to avoid some of the more typical mistakes when investing without advice:
- Investing without a plan
- Investing in the wrong product or fund
- Not thinking about inflation
- Blowing your retirement savings when you change jobs
- Focusing only on one market and one asset class
- Acting on your emotions
A financial plan should be put in place, in order that informed decisions can be made that suit your unique circumstances. An independent advisor will help you to formalize your plan based on your attitude towards risk, time frame and personal priorities.
You can also rely on your advisor to review your situation regularly and revise your plan when necessary.
You need to ensure that you select the right advisor, who is willing to give you independent advice and is not incentivized to sell products that will not necessarily be the right investment for your particular needs and goals.