Finding the right Financial Advisor to be your guide through Distribution Land is extremely important. How can you be sure whom you are dealing with? How do you know who will have that fiduciary responsibility to watch out for you? To get you started here are 5 questions to ask or check for as you begin your search:

1. Does the advisor have a CFP Designation? Those with a designation of CFP (Certified Financial Planner) are required to follow a code of ethics. They are subject to regulation by various federal, industry, and state agencies. Your best choice is to limit your risk and work with somebody with an obligation to abide by a code of ethics—a Certified Financial Planner.

2. Who Holds Your Money? It seems like a simple thing, but it’s easy to overlook. You want to have your money held by a custodian, like Pershing, LLC or Fidelity Institutional Wealth Services. If you were to have an advisor named, for example, Bernie Madoff, you don’t want to see “Bernie’s Excellent Investment Firm” stamped on your statements. Be aware of just who has your money.

3. Can the advisor provide a copy of his/her ADV Part 2B? This disclosure form holds a few key indicators. It will help you distinguish whether the advisor is fee-based or not. This report also discloses if there has been certain disciplinary history. Be sure to utilize other resources, such as SEC (www.sec.gov/investor/brokers.htm) and FINRA (www.finra.org/Investors/ToolsCalculators/BrokerCheck/), to run checks for complaints against the advisor whom you are considering as well.

4. Is the advisor an employee of a financial firm or working independently? Some advisors who work for a firm offer proprietary products, and they may have to sell certain products and meet minimums. Their primary objective may be to make money and limit their own risks. Look instead for independent advisors. That doesn’t mean they don’t have relationships with certain firms, but they are paid as independent contractors.

5. Does the individual have a specific process or approach to advising? If the advisor can’t produce a process, or if it’s all investment related and focused on money, be wary. What you want to see is a process that is centered on you, with the money there to support you.