When you put your money in the hands of a financial advisor, one of your first questions is likely: Is my money safe? Knowing the safety mechanisms, legal responsibilities and due diligence around professional financial advice is crucial for peace of mind. At FreedomFinancialPlanning, we look after client interests through ethical standards, regulatory compliance and transparent financial planning services.
What Planners Offer
A qualified financial planner gives you personalised financial advice to help you make informed decisions about your financial goals, income stream and investments. Services vary but often include:
- Developing a financial strategy and long-term financial plan
- Giving investment advice and managing investment portfolios
- Structuring retirement planning and managing your super funds
- Advising on estate planning, insurance policies and aged care expenses
- Providing tax planning and risk management advice
Advisers will assess your risk profile, personal situation and current financial circumstances to align decisions with your long term financial outcomes.
Before You Hire an Adviser
Knowing the role and responsibility of an adviser is key to protecting your financial life. Here are the key things to consider:
| Evaluation Criteria | Importance |
|---|---|
| License & Regulation | Check ASIC’s Financial Advisers Register for credentials and license status. |
| Fee Structure | Know whether they are commission-based advisors, fee advisors, or asset-based. |
| Range of Services | Ensure they offer comprehensive advice—financial planning, tax, estate, and investment services. |
| Advisor Alignment | Clarify ties to a financial institution or product provider. |
| Custody of Client Assets | Ask if client funds are held via a third-party custodian or direct access. |
| Fiduciary Duty | Confirm they are a fiduciary advisor who must act in your best interests. |
Key Questions to Ask
Before you commit to a professional relationship ask your potential advisor:
- How do you determine the risk balance in my portfolio based on my risk tolerance and financial situation?
- Who has access to my accounts and how are they secured?
- Are you a fiduciary advisor with a legal obligation to act in my best interests?
- What happens to my investments if you or the firm closes down?
- How do you protect my financial information and personal details?
Ask the right advisor questions early and avoid financial mistakes later.
What the Law Requires
In Australia financial advisers must act under the fiduciary duty of the Corporations Act 2001, ASIC regulations and the Code of Ethics. They must:
- Provide personal advice that suits my financial situation
- Disclose all fees, commissions and conflicts of interest
- Deliver clear and compliant advice documents such as a Statement of Advice (SoA)
- Maintain accurate records of my financial situation and proposed strategies
An advisor who is accountable under these rules will face regulatory action if they don’t meet their obligations.
How Your Data Stays Safe
An experienced advisor will use robust systems to protect sensitive data such as:
- Encrypted platforms to access bank accounts and secure communication
- Secure cloud-based systems to store client funds and identity verification
- Multi-factor authentication like a 4–8 digit code for digital access
- Strong compliance with the Privacy Act and relevant financial regulations
At FreedomFinancialPlanning, client protection includes qualified custodians, clear permissions for adviser access and firm-wide data confidentiality practices.
Advisor Complaints
If you feel your advisor has breached their duty or mishandled your affairs:
- Raise the issue with your advisor or their licensee.
- Lodge a complaint with the Australian Financial Complaints Authority (AFCA).
- Contact ASIC for issues relating to legal or ethical breaches.
- Seek advice from a lawyer or financial analyst.
Always keep a record of advice, agreements and advisor on record details.
Tips to Protect Your Investments
- Choose a human advisor listed with ASIC
- Ask for a personalised plan and written SoA that reflects your personal preferences
- Avoid vague or overly complex advice documents—clarity matters
- Review your investment strategy and financial plan regularly
- Know the costs—ask about hourly rate, advisor charges and any additional percentage fee
- Be aware of red flags like aggressive sales tactics or vague product details
- Match with advisors for fit—not just performance but communication and trust
Why a Trusted Advisor Matters
A vetted financial consultant gives you:
- Confidence in big financial decisions
- Strategies tailored to your stage of life, income stream and investment goals
- A holistic plan for long-term wealth management
- Peace of mind during market volatility, like a crash
- Access to experts and insight into markets and types of investments
- Proactive approach to retirement strategies, estate planning and tax-effective strategies
When you work with a trusted advisory firm like FreedomFinancialPlanning, you get a partner in shaping your financial future.
FAQ
Is my money held by the advisor directly?
No. Your investments are usually held by a third-party custodian, not the adviser personally, for added security.
What are financial advisor fees?
Fees can be hourly, flat-rate or percentage-based on portfolio size. The average rate depends on service complexity and advisor experience.
How do I check if an advisor is legitimate?
Search ASIC’s Financial Advisers Register to confirm licensing, qualifications and history of regulatory action.
Can financial advisors help during market downturns?
Yes. A skilled wealth manager will guide you through market volatility and adjust your plan as needed.
What if I need advice on insurance or super?
Most full-service financial planners offer advice on insurance, super balance management and retirement funds as part of a comprehensive plan.