What does a financial planner have skills?
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Financial planning is a rewarding and challenging career that requires a wide range of skills, knowledge and abilities. The U.S. Bureau of Labor Statistics estimates that personal financial advisers can expect good growth in the field and that demand for services will increase in the decade up to 2020. To position yourself to take advantage of that, become certified, renew your certification every two years and learn as many skills as you can to be prepared to create broad plans covering all aspects of a client's financial goals.
Education and Certification:-
A financial planner needs a bachelor's degree in a field such as accounting, finance or business. In-depth knowledge of useful and relevant topics obtained through education includes investments, estate planning, insurance, retirement planning and risk management. Certification by the Certified Financial Planner Board of Standards isn't absolutely necessary to work as a financial planner, but because there's little government regulation of the field, certification can engender trust with clients, assuring them that you adhere to a code of ethics. If you work for a financial planning firm rather than setting up your own business, a master's degree can help you advance in your company.
Technical:-
Excellent math skills are necessary for a financial planner, along with the ability to calculate and analyze complex financial data. Accounting skills and a close familiarity with banking are necessary, and broad knowledge of economics and financial markets are important when it comes to making recommendations to clients. Advanced skills with financial planning software, accounting software and spreadsheets are important, because you will likely be using some combination of the three for compiling information and data, and generating reports for clients.
Communication:-
Financial planning is a service-oriented business, so good interpersonal skills are crucial to success. You must be good at communicating clearly with clients verbally and in writing, and be comfortable distilling complex topics into easy-to-understand summaries for clients who may not have a lot of knowledge in the areas in which they are seeking advice. When you devise a financial plan, you will be taking into account confidential and personal details, so tact, sensitivity to clients' needs and trustworthiness are personal characteristics you must be able to communicate to your clients. In addition, you're also trying to sell them a product -- your plan -- so marketing and selling skills are useful.
Specialized:-
Financial planners tend to look at the big picture when advising clients on important topics like how to manage their money, handle taxes and prepare for retirement. However, many planners find that specialized skills appeal to a broader range of clients. Financial planners often become licensed to sell products, such as insurance, annuities, stocks and bonds, and make agreements with clients to directly invest their funds. In-depth knowledge of the law, particularly in areas such as estate laws and tax laws, is often useful in preparing a comprehensive long-term plan for clients.
Education and Certification:-
A financial planner needs a bachelor's degree in a field such as accounting, finance or business. In-depth knowledge of useful and relevant topics obtained through education includes investments, estate planning, insurance, retirement planning and risk management. Certification by the Certified Financial Planner Board of Standards isn't absolutely necessary to work as a financial planner, but because there's little government regulation of the field, certification can engender trust with clients, assuring them that you adhere to a code of ethics. If you work for a financial planning firm rather than setting up your own business, a master's degree can help you advance in your company.
Technical:-
Excellent math skills are necessary for a financial planner, along with the ability to calculate and analyze complex financial data. Accounting skills and a close familiarity with banking are necessary, and broad knowledge of economics and financial markets are important when it comes to making recommendations to clients. Advanced skills with financial planning software, accounting software and spreadsheets are important, because you will likely be using some combination of the three for compiling information and data, and generating reports for clients.
Communication:-
Financial planning is a service-oriented business, so good interpersonal skills are crucial to success. You must be good at communicating clearly with clients verbally and in writing, and be comfortable distilling complex topics into easy-to-understand summaries for clients who may not have a lot of knowledge in the areas in which they are seeking advice. When you devise a financial plan, you will be taking into account confidential and personal details, so tact, sensitivity to clients' needs and trustworthiness are personal characteristics you must be able to communicate to your clients. In addition, you're also trying to sell them a product -- your plan -- so marketing and selling skills are useful.
Specialized:-
Financial planners tend to look at the big picture when advising clients on important topics like how to manage their money, handle taxes and prepare for retirement. However, many planners find that specialized skills appeal to a broader range of clients. Financial planners often become licensed to sell products, such as insurance, annuities, stocks and bonds, and make agreements with clients to directly invest their funds. In-depth knowledge of the law, particularly in areas such as estate laws and tax laws, is often useful in preparing a comprehensive long-term plan for clients.
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