What is the role of financial advisors in stock investing

1. What is the role of financial advisors in stock investing? Stock investing is gaining popularity among many new and aspiring investors in India. According to the data published by CDSL and NSDL, active investment accounts jumped by 10.4 million in the year 2020. Moreover, retail ownership of stocks listed on the National Stock Exchange (NSE) increased to 9% in the third quarter of 2020. The potential of attractive returns and the lure of owning a part of leading companies drive many investors to the stock market. But can they navigate the volatile stock market alone? Who is a financial advisor? A financial advisor is a professional that has the required financial knowledge and expertise to help you with financial management, which may include assessments, streamlining savings and expenditure, advice on suitable products for investment, portfolio management, taxation and more. Financial advisors possess the academic and regulatory qualifications to assist investors. Some advisors may offer specialized services from within the financial management space, such as retirement planning, tax planning or investment planning, and some may specialize even further with service offering such as stock investing advice.

2. Trusted by 10,000+ investors, the experts at Teji Mandi are experienced financial advisors who will help you filter out the best investments for you. To seek out active advice from our team, reach out to us through our website! Let us understand the role of financial advisors in stock investing in detail. Role of financial advisors in stock investing Financial advisors play multifaceted roles in stock investing. These include the following: 1- They help in planning your finances When you engage the service of a financial advisor right from the start, you can start your financial journey on the right foot. With their expertise, financial advisors help you chart out your finances to assess your risk profile and investment needs. They list down your expenses, incomes, assets and liabilities. Then, they estimate the amount of savings that you have at your disposal that you can direct towards stock investing. Financial advisors help in determining the part of your income that can be allocated to stock investing so that the other investments that you might have do not suffer. 2- They educate you about the inherent risks The stock market is a risky platform. The prices of stocks fluctuate every second that the market operates. This is because the stock market works on market perceptions, economic movements, happenings in the international markets, and the forces of demand and supply. Read more about role of financial advisors in stock investing