There are few better ways to prepare for the future than by working with a Financial Advisor. Unfortunately, the term is vaguely defined and not beholden to any federal oversight or regulation. As a result, experienced private equity manager Mark Hauser took time out of his day to share his insights on advisors, how to select the right one for the job, and what to look for in their credentials.
Let’s learn about Mark Hauser, his work, and the role of financial advisors.
Meet Mark Hauser
First and foremost, Mark Hauser is the founder and co-managing partner at Hauser Private Equity. A private equity manager with decades of industry experience, Mark Hauser and Hauser Private Equity utilize a unique and successful strategy when approaching co-investing. Hauser Private Equity works selectively while leveraging multi-industry expertise along the way.
What Does a Financial Advisor Do?
Financial Advisors are not beholden to a governing body and, as such, can come from a variety of different backgrounds. Mark Hauser suggests that financial advisors generally offer a wide-ranging menu of services. However, they will all include debt management, advice on insurance, investment advice, educational planning, estate planning, retirement planning, and tax planning.
Financial advisors work with clients based on their compensation packages. Fiduciaries are non-commission-based firms that may charge a flat or hourly rate depending on their structure. These advisors operate on behalf of their clients and are legally bound to do their best to return on their investments.
Some financial advisors work on commission, and as such, they are not considered fiduciaries. Instead, financial advisors working on commission are considered salespeople for insurance brokerage. These advisors make money when selling third-party products to their clients.
How Do I Pick the Right Financial Advisor?
Mark Hauser understands firsthand how wide-ranging and varied the investing goals of people can be. To ensure your needs are met, Mark Hauser suggests taking a proactive approach to finding a financial advisor.
First, Hauser believes that it is important to check the credentials of an advisor before hiring them. Contact the board to verify their credentials while gaining your peace of mind.
Second, Hauser suggests that clients find out the compensation method of their potential advisor. Understanding the method of compensation can go a long way toward selecting a firm or representative.
Finally, Hauser believes it is important to find a focused advisor who can operate with empathy. Market fluctuations and life events can bring stress to finances, and a level and empathetic figure can go a long way.