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Why is a Personal Financial Advisor Important?

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Sachin Tendulkar is one of the greatest batsmen yet he needed a coach to excel in his career. India has climbed up the Badminton ranks after Gopichand set the world-class academy at Hyderabad, giving birth to Saina Nehwal, P.V.Sindhu, Kadambi Srikanth, Parupalli Kashyap, etc.

The coach is not limited to just providing technical expertise in the game. The right coach works on overall fitness – stamina & endurance; Nutrition; Goal and planning.

He decides on the main goal that the player needs to achieve and then plans the progress in a graded manner gradually pushing the players to achieve more and not become an overnight success to avoid injury (Monitoring). The right coaching requires –

• Domain Specialist Coach

• Physical Fitness Instructor

• Nutritionist

• Psychological Coach (Mental Strengthening Coaching)

Personal Finance World 

Financial planning and creating a well-diversified portfolio is important for financial independence. Financial planning is not just chasing and investing in the highest returning product. Investment is also about

• Deciding what you are saving for (goals)

• Working out a realistic plan of how you can achieve them most efficiently.

• Choosing what’s the best-suited investment product for your short-term, medium-term & long-term goals.

• Assessing if you have adequate risk protection enabling you to overcome any unpleasant scenarios?

Financial planning involves you to assume the role of a

• Financial Planner

• Investment Advisor

• Insurance Counsellor

• Tax Planning & Tax Filing

However, when it comes to financial savviness or financial literacy, the picture is grim. In a survey conducted by Standard & Poor in 2014, 76% of Indian adults lacked basic financial knowledge. With such limited knowledge of financial matters, how well do you think you can plan your finances? This is where a personal financial advisor comes into the picture.

A personal financial advisor is a financial expert who can help you create an ideal portfolio depending on your financial needs. Engaging the services of an advisor is beneficial for the following reasons –


Financial advisors have the necessary qualifications and expertise to guide you financially. They are experts in their fields and know- –

  • The effect of tax on your income and how to minimize it
  • The investment avenues available and which would suit your requirements.
  • The latest changes happening in the financial markets.
  • Industry Insights

Equipped with this knowledge they are uniquely placed to offer you guidance and advice on how to invest, how much to invest, and for how long to invest. They can also guide how to use your investments and redeem them to book maximum gains. You might not have this expertise and this is why choosing a financial advisor to handle your finances is recommended.

Holistic approach to finances 

A financial advisor can help you plan a complete financial roadmap – right from your financial goals and the tools to achieve them. Starting from budgeting your income and expenses to setting aside funds for investments, picking investment tools, and tax planning, financial advisors can chalk out a complete financial plan for you.

Moreover, with your changing financial needs, a personal financial advisor tweaks your financial plan so that it evolves with your needs. They, thus, have a holistic approach to finances and encompass all your financial needs and resources to devise a well-drafted financial plan that, if followed, would lead you to financial wellness.


Imagine planning your finances yourself when you have limited knowledge! It would take days of research and planning and then too you might be unsure of the effectiveness of your plan. Instead, if you switch to a professional financial advisor, you can save precious time and effort in handling your finances. 

You can dedicate your time to the tasks you excel in and leave the finances to the advisor who has mastery on the subject. This would not only make you productive but also ensure that you have the right financial portfolio per your needs.

Also Read: How To Plan Your Finances In New Year 2024?

If you have time, you have the right knowledge of all the above then by all means please do manage your money yourself. Nobody will ever care about your money the way you do. However, if you lack any one of them (either TIME or KNOWLEDGE) then do not experiment with your hard-earned money. Choose financial advisors. Personal financial advisors are financial doctors who can diagnose your financial problems and then take steps to rectify them. Just like you trust doctors for your physiological health you should trust financial advisors for your financial health. However, if you hire a Financial Coach then ensure that your coach has all the skill set or the institution has all the skill set available to take care of your hard-earned money.