What to look for in hiring an Investment Advisor

Look for credentials, capability, experience, and ethics

There is a saying, “when a tide rises, it lifts all boats”. But just because the market is lifting up all stocks doesn’t mean one is particularly skillful in investing. The true test is in how you control investment risk. Poorly done, one can wipe out a lifetime of savings. This ability to manage risk is what separates those who are skilled from those who are amateurs.

Similarly, if one knows how to buy a stock online, all that means is one has the same skill to buy a lottery ticket online. It doesn’t imply that one knows anything about how to select good value investments that are likely to generate the growth needed through time to meet your goals.

If you are not studying your investments and following them each week, then you need to find a qualified advisor to manage your portfolio.

That being said, your financial future should not be placed in the hands of some nice guy, a family friend or former sports star, or an accountant who’s too busy and knows less than you about investments. And you shouldn’t put your life’s savings in the hands of an investment or insurance advisor whose only qualifications are a license to sell you investments or insurance products.

A truly professional advisor takes a lifetime to build up their educational and professional credentials. They’ve gone through a period of articling or training with seasoned financial advisors, they’ve seen hundreds of situations similar to yours, carry liability insurance, and adhere to a code of ethics and practice standards.

My clients chose me because they refuse to gamble with their life savings. They want an advisor who:

  • has formal university education and professional designations where he developed his competency in investing, income tax, estate planning and controlling risk;
  • is experienced in financial planning through working four years with a Senior Partner of one of the largest and oldest fee-only financial planning firms in Canada;
  • has more than 20 years experience in building and managing portfolios for high net worth families (twelve of those years was at the investment division of a large Canadian bank);
  • adheres to a code of ethics.

Our clients want to see their hard work pay off in achieving their family’s goals, being able to enjoy their chosen lifestyle, and to sleep soundly because they understand and are comfortable with how their affairs are managed.

The Next Step

If you would like to see how I can help you, please contact me, Steve Nyvik, for a free (no-obligation) financial planning and portfolio checkup. Financial Planning is included as part of the management fee for Steve’s clients of Lycos Asset Management Inc. (The all-inclusive fee being about 1% + GST). Steve wants his clients to have a solid financial foundation so that if “life happens”, your financial goals won’t be derailed in the process.

I welcome clients with a minimum of $250,000 to invest. (I make exceptions in certain circumstances.) To determine if I would be a good fit for you and how I can deliver good value to you, please contact me to set up a no-obligation meeting by calling: (604) 288-2083 or by email: Steve@lycosasset.com

Written by Steve Nyvik, BBA, MBA, CIM, CFP, R.F.P.
Financial Planner and Portfolio Manager, Lycos Asset Management Inc.

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