Montreal Financial Kit

Financial Planner Checklist

---

A Ten (10) Question
Financial Planner Checklist

---

1. What experience do you have?

Your financial planner checklist starts with asking the planner or the advisor how long s/he has been in practice and the number and types of companies with which s/he has been associated. Ask the financial planner to briefly describe his or her work experience and how it relates to his or her current practice.

Choose financial planner who has experience counselling individuals on their financial needs in all or any of the seven aspects of the financial planning areas such as 1) Legal Aspects 2) Estate Planning 3) Insurance 4) Finances 5) Taxation 6) Investment and 7) Retirement.

---

2. What are your qualifications?

The term "financial planner" is used by many financial professionals. Ask the planner what qualifies him or her to offer financial planning advice.

Choose financial planner who has proven experience in some or many of the seven (7) financial planning topics. Determine what steps the planner takes to stay current with changes and developments in the financial planning field.

---

3. What services do you offer?

The services a financial planner offers depend on a number of factors including credentials, licenses and areas of expertise. Financial planners cannot sell insurance or securities products such as mutual funds or stocks without the proper licenses. They cannot give investment advice unless registered (IQPF).

Some planners offer financial planning advices on a range of topics but don't sell financial products. Others may provide advice only in specific areas such as estate planning or tax matters. Find out if the planner will carry out the financial recommendations developed for you or refer you to others who will do so.

4. What is your approach to financial planning?

Ask the financial planner about the type of clients and financial situations s/he typically likes to work with. Some planners prefer to develop one plan by bringing together all of your financial goals. Others provide advice on specific areas, as needed.

Make sure your financial planner checklist prompts you to choose financial planner whose viewpoint on investing is not too cautious or overly aggressive for you. Remember that some planners require you to have a certain net worth before offering services, so check that too.

5. Will you be the only person working with me?

To develop or carry out financial planning recommendations, your financial planner may work with other professionals outside his or her own practice.

If so, get a list of the names of the attorneys, insurance agents or tax specialists and check on their backgrounds. You may want to meet everyone who will be working with you.

6. How will I pay for your services?

Choose financial planner that will clearly tell you in writing how s/he will be paid for the services to be provided. This is an important element of your financial planner checklist.

Planners can be paid in several ways:

7. How much do you typically charge?

While the amount you pay the planner will depend on your particular needs, the financial planner should be able to provide you with an estimate of possible costs based on the work to be performed.

Such costs should include the planner/advisor's hourly rates or flat fees or the percentage s/he would receive as commission on products you may purchase as part of his or her financial planning recommendations.

8. Could there be any conflicts?

Some business relationships or partnerships that a planner has could affect his or her professional judgment while working with you, inhibiting the planner from acting in your best interest. Your financial planner checklist requires that you ask the planner to provide you with a description of his conflicts of interest in writing.

For example, financial planners who sell insurance policies, securities or mutual funds have a business relationship with the companies that provide these financial products. The planner may also have relationships or partnerships that should be disclosed to you such as business s/he receives for referring you to an insurance agent, accountant or attorney for the implementation of the planning suggestions.

9. Have you ever been publicly disciplined?

Make sure your financial planner meets the legal requirements! of the Institut québécois de planification financière. If the person you seek is not registered in the member directory, make sure s/he is a graduate of the IQPF.

The Autorité des marchés financiers holds a register of individuals and firms with the right to practice in the various industries it governs. Before you choose a financial planner, use the AMF register to confirm the nature of a firm or the right to practice of an individual you are doing business with.

10. Can I have it in writing?

Choose financial planner that will provide you with a written agreement that details the services you will be provided. Keep this document in your files for future reference and make sure your financial planner checklist states that your agreement should be updated on a regular basis.

Exit Financial Planner Checklist
and go to Montreal Business Kit Home Page