What is the role of financial advisors in stock investing?
Stock investing is gaining popularity among many new and aspiring investors in India. According to the data published by CDSL and NSDL, active investment accounts jumped by 10.4 million in the year 2020. Moreover, retail ownership of stocks listed on the National Stock Exchange (NSE) increased to 9% in the third quarter of 2020. The potential of attractive returns and the lure of owning a part of leading companies drive many investors to the stock market. But can they navigate the volatile stock market alone? Who is a financial advisor? A financial advisor is a professional that has the required financial knowledge and expertise to help you with financial management, which may include assessments, streamlining savings and expenditure, advice on suitable products for investment, portfolio management, taxation and more. Financial advisors possess the academic and regulatory qualifications to assist investors. Some advisors may offer specialized services from within the financial management space, such as retirement planning, tax planning or investment planning, and some may specialize even further with service offering such as stock investing advice.