How Do Investment Consultants Prepare Their Investment Consultant Resume?
Investment Consultants (ICs) provide many services for financial investors. These services are designed to help clients manage, protect, strategize, select, plan for, and evaluate investments. These services vary widely by company, but many of the key services provided include: estate planning and protection, hedge funds and private placement products, real estate investment and management, structured settlements, individual retirements, foreign investments, corporate mergers and acquisitions, ownership and investment advice, insurance and annuities, mortgage, business mortgages, commercial mortgages, and self-directed ira plans. Many consultancies also offer estate and trust administration, probate and estate planning, tax and financial planning, and real estate funding. Some consultants work with individuals as private equity partners or advisers. Others work for large investment firms and advise on mergers, acquisitions, joint venture activities, investments in distressed properties, alternative investments, and alternative forms of capital financing.
An analysis of an investment policy is the first step that an advisor provides. As part of their service, investment advisors advise their clients on which assets, asset classes, countries to invest in as part of their overall investment and asset allocation approach and portfolio building process. The analysis should be done by qualified personnel who have expertise in financial markets, money management, and asset allocation.
Asset Allocation and Portfolio Management are the second steps that many investment consultants take. They begin with a client’s assessment of their objectives and framework for investing and then develop a detailed asset allocation plan based on those plans. This plan coordinates investment policies with the client’s goals, risk tolerance, investment types, target return, period of return, and other factors. Investment advisors often use a variety of tools to support the asset allocation plan, including asset quality metrics, multiple regression analyses, valuation of portfolio risk, optimal asset allocation, and other financial and technical strategies.
Investment consultants are often employed by financial services companies in addition to being independent financial planners. Many firms require investment consultants to work through their own firm or hire a sub-contractor. While investment consultants may not be required to implement the company’s investment strategies, many financial services companies prefer that their financial services advisor has extensive experience implementing their investment strategies. Some financial services companies will also choose an investment consultant based on their reputation and prior history of success, as well as on recommendations from current and past clients.
Fiduciary Management refers to the advising of investments by an advisor (such as an investment consultant) that is not associated with an asset owner. For example, registered investment advisers and insurance or financial planners may be associated with asset owners but their advice is not limited to the protection of that owner’s interests. Under the law, these advisors are required to exercise “fiduciary” responsibility. This means they must act in the best interest of their client even if they have a financial interest that may conflict with the interest of an asset owner or other interested third parties. Fiduciary management is important because of the possible influence it can have over investment decisions. Many individuals who have received investment advisory services would not recommend certain transactions or stock investments based on the advice of an unprofessional advisor.
There are several different types of investment consultants and the methods of how they advise clients vary. However, all good personal financial advisors employ similar techniques and processes when formulating their investment consultation and retirement planning plans. All good personal financial advisors use at least three of the following techniques to determine what strategies they should recommend to their clients: internal evaluation, client interviewing, and client review and recommendation. Internal Evaluative Technique refers to the professional’s assessment of your current personal financial situation and evaluating the investments you currently make for your future. Clients interviewing and reviewing the strategies recommended by their investment consultants use a variety of tools to select the best strategies.