What’s behind the claim of rating them ‘Best’?
My last post, spoke about the advantage which Direct plans have over Regular plans. The deceptively named ‘Regular plans’ have middlemen involved. They eat away at small portions of your wealth in the form of commissions. In 2018, middlemen made an incredible 8500 crores in commissions.
However, since there are no middlemen involved in Direct plans of mutual funds, they generate more returns for investors.
Almost all of financial advisors in India are commission agents. However, a tiny percentage of advisors stay away from the lure of commissions and hence provide advisory with only the clients’ needs in mind. They are called ‘Fee-only’ financial planners and they only work on direct mutual funds.
I claim them to be the best because they’ve made a conscious choice to not work on commissions, despite their lure being rather strong. This in itself is commendable and makes them worthy of being called the best.
You can find your own financial advisor by searching online for ‘Fee-only financial planners’ or ‘Fee-only financial advisors’.
List of known fee-only financial advisors in India
Here below is the latest list of all such commission-free, fee-only financial planners. I’ve stumbled across so far. Before proceeding to contact them however, you should read the FAQ further below. Here’s the full list.
Melvin Joseph of finvin.in
Vipin khandelwal of http://www.vipinkhandelwal.com
Soubhagya Kumar Patra succinctfp.com
Jitendra Solanki of jsfadvisors.com
Dev Ashish of StableInvestor.com
Sanjeev Kumar of of https://www.prognoadvisor.com
Shilpa Wagh of waghfinancials.com
Vikram Krishnamoorthy of insightful.in
Piyush Khatri of sahastha.com
Chandan Singh Padiyar of padiyars.com
Swapnil Kendhe of vivektaru.com
Brijesh Vappala of bvare.com
Basavaraj Tonagatti basunivesh.com
Avinash Luthria fiduciaries.in
Deepesh Raghaw of PersonalFinancePlan.in
1. Are these the only commission-free financial planners in India?
Perhaps not. But these are the ones who could locate after extensive research. If you are yourself a fee-only financial planner, or know someone who is, please write-in so I can include them in this list.
2. Can I trust them with my wealth and goals?
I would vouch whole heartedly for them. But I still expect you to do your own due diligence. Investing is not a one size fits-all strategy and a lot also depends on how comfortable you are in your interactions. But, the very fact that these people have stayed from the lure of high commissions speaks volumes about their principles. I have personally interacted with some of them from the list, and I’ll happily a fee-only financial advisor any day.
3. Does the physical location of the advisor matter? Should I only look for one in my city?
I would say ‘No’. Almost all investing now occurs online, so the physical location of your advisor does not matter. If you fail to find one in your city, you could always get onto Skype calls with any of them. I am sure they’ll oblige. You may have to do some one-time offline work in your city; like submission of CKYC documents and the like. But you certainly don’t need your financial advisor physically with you for such tasks.
4. What all do I need to know before approaching them?
The first thing you’ll need to know are your goals and life’s milestones. What you invest in and where you invest, depends a lot on how close your life’s milestones are. So, a clear idea of your life goals will help not just you, but also your financial advisor in creating a better plan.
Other than this, though not necessary, I’d strongly recommend that you understand the fundamentals of this field. This isn’t a pitch for my book, but I do recommend reading it. Over a period of one weekend, you’ll learn just about everything you need to know about investing and living a financially well-rounded life. After the costs of distribution and publishing, an author barely makes 10% of the price of the book, so I have little to gain in book sales, but a lot to gain as human goodwill. You can buy the copy on Amazon here. You being aware of the field’s nuances will help you ask the right questions, and eventually enable you to manage your investments on your own.
I’ll add more FAQs as they occur.
For now, Good luck and Happy Moneyplanting.