Understanding how Financial Advisors in Canada Work and What Questions to Ask

Jess, what are they? Why do we need them? Who goes to them? I mean, I do a little bit for my business, but I do all of my investing through Wealthsimple.

So I don't see a financial advisor often.

I'm curious to see what you have to say.

Holy moly, you guys,

financial advisors are complicated.

I will say that if you've ever tried to look one up before and you felt confused, don't worry, you're not the only one.

It's confusing because of the titles that they have, what those titles actually mean that they can do and what they're registered to do and what the different ones are best for.

So we're going to try to just dive into it to kind of explain what it is.

But there's a lot of nuances to it.

So, okay.

So the first one, one of the biggest ones that you're going to hear about is probably a CFP.

So that's a certified financial planner.

These ones, they can work, you know, either at a bank or independently as well.

You'll hear that a lot.

And then the other one that you're going to hear is the CFA, which is the charted financial analyst.

Those are kind of like the biggest ones.

There's also a few other ones, like there's a PFP, which is a personal financial planner.

Those are the ones that you're going to see at the banks most of the time.

They're called like a financial advisor at the bank.

I didn't know that there was differences.

I just assumed like a financial advisor is like at a bank.

Yeah, I know.

It's so confusing.

So you can go to the bank and get a financial planner, but then there's also independent financial advisors or financial planners.

They're actually two different designations, but they work on their own or they work with like a private firm.

Jess, what are they? Why do we need them? Who goes to them? I mean, I do a little bit for my business, but I do all of my investing through Wealthsimple.

So I don't see a financial advisor often.

I'm curious to see what you have to say.

Holy moly, you guys,

financial advisors are complicated.

I will say that if you've ever tried to look one up before and you felt confused, don't worry, you're not the only one.

It's confusing because of the titles that they have, what those titles actually mean that they can do and what they're registered to do and what the different ones are best for.

So we're going to try to just dive into it to kind of explain what it is.

But there's a lot of nuances to it.

So, okay.

So the first one, one of the biggest ones that you're going to hear about is probably a CFP.

So that's a certified financial planner.

These ones, they can work, you know, either at a bank or independently as well.

You'll hear that a lot.

And then the other one that you're going to hear is the CFA, which is the charted financial analyst.

Those are kind of like the biggest ones.

There's also a few other ones, like there's a PFP, which is a personal financial planner.

Those are the ones that you're going to see at the banks most of the time.

They're called like a financial advisor at the bank.

I didn't know that there was differences.

I just assumed like a financial advisor is like at a bank.

Yeah, I know.

It's so confusing.

So you can go to the bank and get a financial planner, but then there's also independent financial advisors or financial planners.

They're actually two different designations, but they work on their own or they work with like a private firm.