Daily Investment Tips

Getting a good investment advisor should not be a matter of luck. You can do your home work by pre-screening potential investment advisors. You have to treat the potential advisors as a job seeker. This is the person you are hiring / employing to advise you on how to invest so just like any other employer go for the best.

How to screen investment advisors.

You can make a point of meeting the investment advisors face to face for a question and aswer question. In the first meeting you shuld be the one asking the questions not the other way round. The advisor should ask you questions after you have hired him.

Here are a few questions to get your started as provided by Securities and exchange commission

* What experience do you have, especially with people in my circumstances?

* Where did you go to school? What is your recent employment history?

* What licenses do you hold? Are you registered with the SEC, a state, or FINRA?

* Are the firm, the clearing firm, and any other related companies that will do business with me members of SIPC?

* What products and services do you offer?

* Can you only recommend a limited number of products or services to me? If so, why?

* How are you paid for your services? What is your usual hourly rate, flat fee, or commission?

* Have you ever been disciplined by any government regulator for unethical or improper conduct or been sued by a client who was not happy with the work you did?

The answers to this question will help you make a judgement on the invesment advisor competence and integrity.

written by Constantine Njeru \\ tags: Circumstances, Competence, Employment History, Face To Face, First Meeting, Hourly Rate, Improper Conduct, Integrity, Invest, Investment Advisor, Investment Advisors, Investment Broker, Job Seeker, Judgement, Matter Of Luck, Related Companies, School History, Securities And Exchange, Securities And Exchange Commission, Sipc

When you apply for a mortgage, the mortgage lender will evaluate your application based on these four factors, capacity, capital, collateral and credit.When you meet them for face to face interview the questions will revolve around these four factors. Your ability to answer the questions in a satisfactory manner will determine whether your mortgage loan application is approved

What Mortgage Lenders Evaluate

This four factors are well explained by the following article that was originally published at Freddie Mac Website

Capacity

Capacity is your current and future ability to make payments. Lenders will look at your income, employment history, savings, and monthly debt payments.

Capital

Capital, or cash reserves, refers to the reserves of money and savings, investments, properties and other assets that belong to an individual and that can be sold relatively quickly for necessary cash.

Lenders will evaluate your application more favorably if you can verify that you have cash reserves. Cash reserves show the lender that you can manage your money well and that you can count on other funds, in addition to your income, to pay the debt.

Collateral

The lender will take a look at all your possessions and property that you can pledge as security for debt.

Credit

Lenders look at your credit and on-time payment history to see your record of paying bills and debts.

Lenders will ask for financial statements to see if you meet all of their criteria. Sometimes your strength in one area can cancel out your weakness in another.

written by Constantine Njeru \\ tags: Assets, Cash Reserves, Collateral, Credit Lenders, Debt Credit, Debt Payments, Debts, Employment History, Financial Statements, Freddie Mac, Income Employment, Mac Website, Mortgage Lender, Mortgage Lenders, Mortgage Loan Application, Payment History, Pledge, Possessions, Satisfactory Manner, Time Payment