I am a Financial Coach, but I am not a Financial Advisor.
What‘s the difference?
A financial COACH will “see” you as a person – beyond your money – and bring out the best in you so your money can flourish. A financial coach is your accountability partner to help you gain clarity about your finances and overcome any challenges you may have with money. A coach will teach you financial concepts and support you to develop a healthy money mindset, habits, and behaviors to achieve your financial goals. By law, a financial coach cannot provide investment advice or make investing recommendation. However, a coach can teach you the fundamentals of investing for educational purposes to help you become a knowledgeable investor.
On the other hand…
A financial advisor is licensed and registered with the Financial Industry Regulatory Authority (FINRA), which is an independent non-government organization that regulates brokers and related financial firms. The FINRA’s stated mission is to “safeguard the investing public against fraud and bad pratices.” An advisor manages your current wealth by providing investment and long term planning advice. An advisor will manage your investment portfolio and move your assets into different stocks, bonds, real estate, and cash equivalents. Other advisor services may include retirement planning, estate planning, tax planning, long term healthcare planning, etc.
In summary, think of a financial coach as someone who helps you develop the skills to create wealth, and a financial advisor as someone who advises you and manages your wealth.
Got it? Cool.
Hello Malika
Thank you so much for sharing your life and your knowledge. Thank you for the difference between a money coach and an advisor.