Why Do So Many Financial Advisors Use Fake Credentials?

A large number of financial advisors display several letters after their names that signify they have acquired special expertise by earning these certifications and designations that I will call credentials. The media calls the letters alphabet soup. The letters make the advisors look like experts, but most investors have no idea what the advisors had to do to earn the credentials.

At one end of the spectrum are the four best financial credentials: CFA®, CFP®, CIMA®, and CPA®. At the other end of the spectrum are credentials that the advisors purchased without doing any real work or taking an examination to measure their proficiency. […]

Shiny SilverStar Analytics “Super Special Advisor”

Shiny SilverStar Analytics is a fictitious example of real-world Wall Street Marketing devised in an effort to mislead and confuse the investing public and consumer of financial services.

Are Your Financial Advisors’ Credentials Fake?

The media refers to all of the initials after an advisor’s name as “alphabet soup”. Sometimes the initials are referred to as designations. Other times they are called certifications. I am going to use certification when I refer to them. Financial advisors acquire certifications when they accumulate specialized knowledge that increases their competence. Most advisors use the initials to prove they are experts in their fields. For example, a CPA knows more than an accountant who is not a CPA.

However, what if an advisor purchased several certifications so he appears more knowledgeable than he really is? This is a major problem because the advisor is using a deceptive sales practice to get you to select him. Let’s call the tactic what it is – misrepresentation that violates industry regulations. Do you want this type of person controlling or influencing the investment of your assets? Absolutely not! […]

What is Full Transparency for Financial Advisors?

Financial advisors and financial planners practice full transparency when they provide investors with accurate information that describes their credentials, ethics, business practices, compensation, performance, and […]

10 Questions To Ask When Choosing A Financial Planner

You may be considering seeking help from a financial planner for a number of reasons, whether it’s deciding to buy a new home, planning for […]

By |October 26th, 2009|Categories: Advisors|Tags: , , , , |0 Comments