15 Important Questions To Ask A Financial Advisor

Frequently Asked Questions

15 Important Questions To Ask A Financial Advisor

How to get investment advice?

You can get advice from an FCA approved adviser. As an appointed representative and independent investment adviser, Sevenaar will be able to help you with your investment needs and you can benefit from our sophisticated investment expertise.

What is independent investment advice?

Independent advice refers to giving impartial and unbiased advice and recommending products from the whole of market. This increases the chances of you getting a better investment proposition because a broader range of products is considered for assessing suitability.

Are you independent or restricted adviser?

We are fee-only independent investment advisers. We advise and make recommendations for you only after we have assessed your needs. Our recommendation is based on a comprehensive and fair analysis of the market.

How much does investment advice cost?

We charge 3% for initial implementation.

Do you offer ongoing service?

Yes. The ongoing service involves reviewing your portfolio regularly and when circumstances require to. It also involves assessing your personal circumstances on an ongoing basis to ensure that your investments are correctly aligned with your objectives and attitude to risk. Although it is beneficial for most clients and is recommended, some clients may not need it and your adviser will let you know if this is the case.

Do you hold any client money?

We do not hold any client money and do not take custody of client assets. Our service is only advisory in nature and we make recommendations for you only after we have assessed your needs.

How do I switch my adviser?

Just contact us and we will take care of the rest.

How to invest in stock market?

Investing (not speculating) in the stock market involves a complex understanding of investments. With our expertise and understanding of the stock markets, you can get the peace of mind with benefiting from carefully selected suitable investments that we can recommend to you as part of our service.

Do you receive any commissions, incentives or inducements?

We are fee-only independent investment advisers and do not take any commissions, incentives or inducements from anyone.

Do I pay tax on investments?

It depends on the tax wrapper that your adviser recommends. Each tax wrapper has different characteristics and some may attract taxes.

How do you manage the impact of taxes on a portfolio?

Our investment process is designed and structured to provide the best possible advice in the most tax efficient way. As far as possible, we first structure your investments in available tax wrappers. If this annual allowance is exhausted, we look to use other wrappers like General Investment Accounts (GIA). Any tax liability arising out of this account can be managed to minimise the impact of taxes.

How does portfolio rebalancing work?

Rebalancing involves adjusting portfolio weights to be more closely aligned to their strategic weights. Economic conditions and market movements cause these weights to drift away and realigning them back is called as rebalancing a portfolio. Sometimes rebalancing can give rise to capital gains(losses) and this tax liability can be mitigated if the portfolio is structured in a tax efficient way.

What separates us from other financial advisors?

We provide fee-only independent advice in a fiduciary capacity. We disclose any conflict of interest upfront and do not accept any commissions or inducements from the products we recommend. We also uphold highest ethical standards and are committed to providing an exceptional and an unbiased service. All recommendations made are as tax efficient as practical.

What is a fiduciary?

A professional entrusted to manage wealth or assets keeping client's interest first at all times. An adviser following a fiduciary standard must disclose any conflict or potential conflict at all times to the clients. Such a professional also adopts and upholds code of ethics and will disclose fees and any compensation arrangements prior to providing the service.

What is a CFA Charterholder?

CFA stands for Chartered Financial Analyst and is one of the highest distinctions in the investment management profession. To earn the distinction of Chartered Financial Analyst charterholder, candidates spend an average of more than 1,000 hours of demanding studying to successfully complete the CFA Program exams and must have at least four years of professional experience. When you engage with a CFA charterholder, you can trust their rigor, commitment to ethics and depth of knowledge in providing their services to you.