The only thing that comes to mind when people hear “financial advisor” is how high they must earn. But, if you are considering a career or plan to do an in-depth study about financial advisors, then you might need to take into account more than just their earning. The need for a financial advisor is increasing in the modern world, and so is the stress associated with the work. Being a financial advisor can come with tons of pros and cons. A recent survey has shown that financial advisors go through more stress than their clients. An increase in the reputation and status of a financial advisor brings stress to it.
What are the pros and cons of a Financial Advisor’s career?
Unlimited Income Potential
So we start with the quite evident and prevalent benefit of being a financial advisor. Based on the pricing structure of financial advisors, there is no limit to how much a financial advisor can earn per annum.
Work Schedule Flexibility
Financial advisors get to strike a balance between their personal life and work once there is a sustainable client base. Starting the job can be very tasking as you need to land your first client to progress and earn; however, after building a strong client base network, the financial advisor gets to work with a more flexible schedule.
Offering meaningful advice
The success of a financial advisor is when an investor benefits from a suggested investment. Although financial advisor can sometimes provide advice for personal gain, still a success in the financial life of a client equals success for the client’s financial advisor.
It is a high growth industry
The financial advisor industry is one of the fast-growing industry, and the understanding plus need for one grows at an exponential rate. More people intend to get a good retirement fund so they can enjoy their old age, and investors want to earn more from their investments. As the world grows, more people will require the help of a financial advisor in every financial sector.
Exciting work prospects
Financial advisors get to work with multiple clients while their career lasts. The financial advisor industry is an interesting one, and you tend never to get bored as you get to interact and educate different people.
Financial advisors don’t only manage the finance of their clients but also have to manage their emotions as not all investment advice yields a profit on a short term basis, and most clients tend to panic over time.
The job requires a financial advisor to continuing searching for clients to build a strong client base. Prospecting is stressful, time-consuming, and capital intensive. Building a strong client base over time is the most challenging part of the job
Regulatory and Compliance requirements
To perform their duties, a financial advisor must be licensed to advise and sell products to clients. Obtaining the license for operation is a lengthy process, and also, advisors are required to subject themselves to continuous learning to maintain a professional license.
The job of a financial advisor is a tasking one and can, therefore, most times, be stressful and time-consuming. Unlike the general image, most clients paint a financial advisor as “an effortless and balling job,” they tend to undergo more physical and mental stress than the clients.
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