If you need assistance to find the right type of investment or
insurance product, you can use the services of a financial adviser.
It is better to find an adviser who will work for a fee. It is better
for you to pay a fee of say $50 per hour for financial advice,
rather than to use an adviser who earns a commission from the
product that is sold to you.
If the adviser earns a commission, there is a conflict of interest.
The adviser will recommend the product that pays him or her the
highest commission. This cost is ultimately borne by your as the
consumer, but you are not aware about it.
If you pay a fee to the adviser, you can ask for the commission
that is paid on the recommended product to be refunded to you.
This refund can be much more than than the fee that you have to
pay. The adviser may be able to recommend financial or
insurance products that are free of commission - so the cost will
be lower anyway.
If you have to pay a fee of $50 per hour, you can reduce the total
fee by spending some time to learn about your options, so that the
financial adviser needs to spend less time to help you make the
appropriate decision. The adviser may be able to give you some
information from a website or booklet that you can read in