Nitin Patel, Gujarat based IFA
I have been fascinated with the stock markets right from my college days. I started investing in markets when I was a student. In a short span of time, I was able to earn attractive returns. Impressed by the healthy gains, I decided to put large amount by borrowing money. However, my uncle who was into stock market investments for years, advised me not to get lured by the short-term gains. He advised me to invest in equity only if I could wait for at least five years.
Another advice, which I have got from a friend, is not to get swayed by incentives and commissions. In FY 2014-15, many fund houses launched closed end equity funds in which they offered higher commissions and incentives to distributors. We never recommend such funds as it doesn’t make sense to recommend close end funds if open end funds come with flexibility and a better track record.
Madhu Sudan Uppal, Delhi based advisor
A colleague and a friend of mine who earlier worked with me in a wealth management firm advised me to follow these three golden rules to establish healthy relationship with clients
- Authenticate yourself first. Give your credentials to show that you are well qualified to give financial advice. If possible, share success stories of your existing clients along with their testimonials. It helps in building trust.
- Listen more. By listening to prospects, one can ask the right questions.
- Always put client’s interest first.
All these rules have worked out very well for me. In fact, they have helped me get many referrals. Clients give you referrals once they start trusting you.
