The share market is very lucrative to invest money to get the desired investment returns. If appropriately supported with a good knowledge of the share market, one can take away sizable profits from stock market investments. However, this is easier said than done. Many novice investors failed to capitalise on the available opportunities the share market provides them. Many times we witnessed instances where investors fell flat with their financial objectives. As a result, they encountered heavy losses instead of making any profits. Therefore, stock market advisory services have a greater ambit of usefulness. However, one may wonder how he can find the best Indian stock market advisor. This article aims to provide you with the answer.
Things to keep in mind while choosing a stock advisor
Here are the factors you should consider to get the best Indian stock market advisor.
Brokerage fees
A stockbroker levies a certain amount of fees for the services he provides. If the brokerage firm or an individual offers stock market advisory, it will charge you for that also. So, the amount of money you will have to pay for the advisory services is a crucial thing to look into. It is one of the first considerations that an investor or trader should never miss.
Credibility of the reports provided by the advisor
Our primary aim in these advisory services is to get proper insights into stock markets to gain maximum investment profits. Thus, an advisor must provide a productive analysis of the share market events. These share market reports are essential for curating practical and profitable advice. Only correct analysis will help us get good stock suggestions, investing tips, suitable entry, exit points for day traders, etc. To validate the legitimacy and properness of the reports provided by an advisor, you should go through them in great detail. Try to read the fine print of the research papers. You can also verify them by comparing them with the reports of other good advisors.
Qualifications of the stock market advisor
Never opt for a stock market advisor without assessing his educational qualifications and work experience. This can be a massive blunder as a stock market advisor virtually holds the fate of all your investments. You must be sure that an advisor or analyst fits the job he is responsible for. He must possess the due qualifications along with the skills to perform his duties properly in the correct manner. His work should maintain the due standards expected of a professional and expert in his field. Generally, stock market advisors have streams or subjects related to commerce or business.
After graduation and post-graduation, advisors go for professional courses to obtain the relevant certifications. These usually include Certified Public Accountant (CPA), Certified Financial Planner (CFP) and Chartered Financial Analyst (CFA), etc. Ensure that you choose an advisor who has these certifications. Working knowledge and experience are an added advantage. If the advisor is highly experienced, he will likely give you good investing ideas.
The type of stock market advisor you want
There are three types of financial advisors or analysts available. To choose the best Indian stock market advisor, you must know what kind of advice or service you want. The three types include the following.
Sell-side advisors: They usually provide advisory services for stockbrokers or sub-brokers. The recommendations they provide come into the public domain as they share them with a firm’s clients.
Buy-side advisors: These advisors associate themselves with hedge funds, mutual funds companies, or any other fund management firm. They advise the firm to help them manage portfolios and other assets under their management.
Independent advisors: Such individuals don’t work under the aegis of any financial institution. They directly offer their services to the general investors as per their requirements.
Whether he is a SEBI registered advisor
To offer stock advisory services in India, both financial institutions and individual advisors must obtain a license. One has to apply with the Securities and Exchange Board of India (SEBI) and get the registration certificate. Remember to opt for the stock market advisory services from a registered investment advisor (RIA) only. If you want the best Indian stock market advisor, go with reputed institutions like IIFL Securities, which strictly follow SEBI guidelines. Moreover, under its Advisor, Anywhere, Anytime (AAA), the firm has several expert advisors with tonnes of experience. They can provide the best advisory services.
The firm has a reputation for providing excellent stock advisory services to many investors. Moreover, the charges for these services are also quite reasonable. Thus, you get access to good stock market advice at low costs.
