Unfortunately, in the connected world in which we live today, bad investment advice is everywhere. Have you ever received an email, been exposed to an advert. or had a phone call offering you investment advice they claim will help you prepare for retirement? Or perhaps you’re actively seeking legitimate investment advice but aren’t sure who you should ask?
In this guide, we’ll help you discover the questions to ask to best protect yourself from bad investment advice so that you can be certain of your financial future.
1. Are they qualified to give you advice?
First things first, you need to make sure your financial advisor is qualified to give you the advice you are looking for. For example, if you’re looking for tax advice, they will, of course, need to be qualified for this. And the same rule applies to the likes of pension investments advice and insurance planning.
To find out whether or not they’re qualified, you can simply ask them about their credentials. Any professional financial advisor should have no qualms about providing these.
2. Get a second opinion
The hassle-free way to get investment advice might be to go with the first opinion you’ve got, but this should never be the case. Imagine the advice was a house or a holiday purchase, would you settle for the first one? Most likely not, so it’s best to always shop around.
For example, with pension investments, an advisor offering bad investment advice will often pressure you into taking their advice before giving you the chance to look elsewhere. If this is the case, this is one of the key signs that you might have been mis-sold. Getting a second (or third) opinion on your investment requirements will help you find the investment that’s right for you.
3. Ask about fees, commission and compensation
Any investment advisor should be an open book. They are required to tell you, in writing, about the fees and commission you could be charged. Ask your advisor to explain how they make their money from the investment to filter out any potential financial cons.
What to do if you’ve already suffered bad investment advice
If you’re reading this post and you’re concerned you have already been sold bad pension advice, don’t worry. Bad investment advice doesn’t have to diminish your chances of a secure financial future. Financial mis-selling is actually quite common, which is why the FCA (Financial Conduct Authority) sets aside money to help you claim compensation for any bad investment advice you have received.
If you believe you’re a victim of bad investment advice and pension mis-selling, then we can help. Our team here at Expert Pension Claims have helped many UK citizens claim back what is rightfully theirs. If you’ve read our top signs you’ve been mis-sold and you think you might have a claim, get in touch with us today.
Fill out the form on our website and we’ll be in touch to help you get started with your claim. We’ll do the hard work for you, making the process hassle-free.