Meet Terry Gangaram, Founder of Drexel Mortgage Corporation

With 30+ years of real estate experience, Terry Gangaram founded Drexel Mortgage in 1995 to help Americans nationwide make their American Dream a reality. Starting with residential mortgages, Terry has helped thousands of homeowners buy their first house, investment properties, and commercial real estate to grow their business. Terry's team at Drexel is committed to finding you the financing you want for the home you want.

Learn more by visiting the websites for Drexel Residential Lending and Drexel Commercial Lending.

1. What made you decide to focus your career on working in the home mortgage field?

I wanted to help people become homeowners. Just like the American dream, I wanted to own a home rather than renting, and that's when I wanted to help others do the same. With decades of experience pursuing my entrepreneurial passion providing loans to clients, I built the Drexel Mortgage brand to become one of New York City's top mortgage providers.

2. What are some of the differences for consumers when it comes to working with a local agency like Drexel Mortgage rather than a large national company?

Drexel Mortgage offers great advantages with a hands-on approach to real estate. We're not quick to say no right away with a lot of red tape. For example, when it comes to credit, Drexel Mortgage works with the individual to repair their credit so they become creditworthy to become homeowners. We dispute charges, challenge charge-offs, and help fix delinquincies by advising clients how to prepare their credit for homeownership. Traditional lenders tend to cherry-pick who they want to work with, ignoring many borrowers who are only a few simple steps away from their own homes. We advise clients on a personal level to tailor-fit every loan for each borrower's needs. For example, we advise borrowers to have a co-signer, or have a family member assist them with the loan process to make the loan process comfortable and easy-going.

3. In addition to helping people who want to purchase a new home, what services do you provide for refinancing and debt consolidation?

Once people become a homeowner, they call Drexel Mortgage to utilize the equity in their home to purchase investment properties, consolidate their high interest credit card payments into one low monthly mortgage payment, or pay off bills. Refinancing has many benefits, and Drexel makes it easy for customers to refinance to renovate their homes, fix their credit, and even to finance major purchases.

4. Are there any common questions you get or misconceptions you regularly see regarding home mortgages and personal finance?

Being in the mortgage industry for decades, I've seen a lot of recurring mysteries and common questions. For example, people assume the mortgage process is a mystery that takes a long time. At Drexel, I make it easy for homebuyers to understand that buying a home is an exciting and simple process. Drexel understands buying real estate; mortgages can look like a daunting endeavor--after all, it's probably one of the biggest purchases a person will ever make. But the reality is, at Drexel Mortgage we take the time to assure you're comfortable with achieving your goals.

Another real estate misconception is that you need a lot of income with a huge down payment to own a home. With Drexel Mortgage, we put these popular myths to rest very quickly. I'm often asked what kind of houses are clients qualified for. Clients commonly think they need a high 700 credit score with 20% down just to qualify for a mortgage. Those days are long over, and today's real estate market understands that there are clients from all over the credit/income spectrum who can qualify for a home. At Drexel Mortgage, with flexibility to tailor loans based on the individual's needs we can provide loans to clients with a 600 credit score, with 3.5% down payment.

5. For people considering buying or selling a home in the Richmond Hill neighborhood of New York where your office is located, do you have any locally-specific advice?

New York City, where Drexel Mortgage is located, is one of the most sought after real estate markets in the country. New Yorkers are fast-paced, high-speed people who want it all yesterday. If you're buying a home in NYC, save yourself some time by getting pre-qualified first. Providing a Pre-Qualification is a free service we offer. We look at the income, assets, and credit of the individual to let them know what purchase price their income can support. Sometimes we can offer a pre-approval letter, to save some time for the realtors as well. With a pre-approval letter, the realtors, homebuyers, and appraisers can make fast, intelligent decisions to buy a home and start the loan.

Feel free to call me directly with any questions at (718) 441-1515, terry@drexelmortgage.com, www.terrygangaram.com.

Thanks, Terry!

Meet Darren Pawski of Synergy Financial Solutions

Darren Pawski, a financial services industry professional with almost 30 years of experience, is the managing director of Synergy Financial Solutions, a boutique financial services firm known for its highly personalized and exceptionally comprehensive approach to financial planning and management. Mr. Pawski began his career in the late 1980s and has served in a number of executive leadership positions with some of the most respected providers of financial services operating in Perth.

An active member of his local community, Mr. Pawski devotes much of his free time to community service efforts and volunteering. While he is a frequent presence at all manner of community service events, Mr. Pawski is especially committed to his volunteer work within the aged-care sector. Outside of his professional work and community service, Mr. Pawski is an accomplished traveler and distance runner who has explored some of the most interesting and unique places the world has to offer.

Known for his firm belief in the value of ongoing education, Mr. Pawski has a long history of helping clients, colleagues, and members of the public better understand the most critical aspects associated with financial planning and financial management. Mr. Pawski, who is currently working toward a master's degree in finance, earned his Diploma of Financial Planning from Deakin University and secured his Certificate IV in Mortgage Broking from Kaplan.

1. In your own words what do you do?

My goal is to help all of our clients develop a personalized and all-encompassing financial strategy that leads to the realization of their specific goals for the future.

2. What led you to your current business?

I've always been very passionate about my role in the finance industry, and Synergy Financial Solutions has allowed me to really sharpen my focus on meeting the specific needs of each and every client that reaches out to our financial planning and management firm.

3. Could you walk us through your process of developing your business?

With my wealth of industry experience, I was keenly aware of the strengths and weaknesses of the industry as a whole. In developing this business, we simply created a structure that we believed would emphasize the strengths while eliminating the weaknesses.

4. Did you encounter any particular difficulty in the beginning, and how did you overcome it?

Of course we did, but we also created an overarching plan that accounted for every possible difficulty in order to ensure there was a contingency in place. Our ability to plan ahead and foresee potential obstacles allowed us to overcome the difficulties we encountered along the way.

5. What is your long-term plan?

We hope to continually grow in a manner that ensures we can continue to offer our highly personalized services to a broader base of clients.

6. Could you share with us some industry insights?

The key to a sound financial strategy begins with a commitment to advance planning and a thorough, comprehensive approach.

7. What are some important lessons you've learned about entrepreneurship/business?

At its core, entrepreneurial success requires an understanding of how to best meet the needs of the consumer.

8. Any tips for achieving success?

You can essentially guarantee long-term success by making a deep commitment to your clients and ensuring they always remain a priority in the decision-making process.

Thanks, Darren!

Meet Angela Lee, Founder of Millennial Housing & Lifestyle

Angela Lee is the founder of Millennial Housing & Lifestyle. She is a millennial and an NYC transplant with 12 years of experience in real estate and mortgage banking. She's held senior positions in sales, talent management, communications, and marketing for various private and public institutions. She was recently elected to lead the largest AAPI real estate trade organization in 2017--and honored as the first millennial, Korean American, female leader of a nationwide real estate trade organization.

Learn more about her at www.itsmeangela.com.

1. How would you describe Millennial Housing & Lifestyle?

The decision to launch this platform is due to my passion about educating the millennial generation in terms of housing and lifestyle so we can have a positive impact for the generations to come. Whether or not one believes homeownership is still out of reach, we will talk about challenges together. The blog platform has exclusive interviews with experts, as well as lifestyle tips and tricks--plus informative content designed to help make the next big decision a smart one. I am on a mission to make real estate relevant to a lifestyle, not just some responsibility to dread.

2. What are your focus areas, and how do you differentiate yourself from your competitors?

So here I am in real estate, doing something that will impact millions of people all over America. Hosting this important discussion concerning the millennial generation and real estate is at the very core of our personal lives, our regional and national economies, and our futures.

Most blogs dealing with real estate are self-serving. They bend over backward to sell products and services. But this blog is different. I'm here for one reason: to start and nurture a rich conversation. The participants will be millennials and interested others who want to make an important contribution to the real estate industry.

3. How is the real estate market impacting how millennials see and do things for their future?

The soaring cost of education, massive student loan debt, the difficult job market, and the rapid rise in the cost of living in major population centers has hit millennials square in the jaw. We have a challenge like no other generation has faced in decades. One of the first areas we millennials must reform is real estate. In an age when it's very difficult to buy a home before age 40, it will be our task to find ways to disrupt, innovate, and improve.

4. What are some things that most people don't know about your job, and what are some of the biggest challenges you've encountered personally?

The blogging business is not an easy task. In order to create and curate quality content, I have to spend countless hours brainstorming and speaking to my sphere of influence. It is hard work and a full-time gig, and much of it isn't glamorous. Just like any other business investment, it's important not to lose sight of end goals.

I recently ended a 13-year career as an upper level executive in the financial industry. I can't lie: the money was very good. But here in New York City, it takes a lot of cash just to live. I woke up one morning realizing I was about to turn 33 and owed on mortgage debts, student loans, and credit cards for a grand total of $1.5 million of debt. I was clearly going to be working until my dying day simply running in place to keep the payments on schedule. But the big realization that made me quit my career was that I wasn't making a difference in the world. Focusing on everything that's working instead of dwelling on negativity has helped create a balance in my personal life.

5. What tips would you give to a millennial who is looking to start a business in today market?

I would say don't rush into anything, and get a professional mentor (you should find one if you don't have one already.) You're going to need a whole lot of skills you probably don't have right now because of your age. Technical skills are great assets, but interpersonal skills will get you far in life, especially in business. My second bit of advice is don't ever burn bridges because you never know where and how your paths will cross again. We all run in circles--it's a small world out there. It is a golden rule in life.

6. Finally, what are you most excited about at the moment, and do you have any other thoughts to share?

My biggest project at the moment is the official launch of my new blog--Millennial Housing & Lifestyle.

Remember, leaders are not born. They are made. Becoming an entrepreneur/CEO is not as hard as it looks. It is the hard work that you need to put in; that is a big deal. Be sure to dream big and focus on what you want out of your actions. Immerse yourself in building your own empire.

Thanks, Angela!

Meet Laurel Hardy, Investment Advisor

Laurel Hardy started her career as an international fashion model, but turned her focus to finance. She worked as a broker for four years at a major wire house brokerage firm, where she learned from senior mentors with decades of Wall Street experience.

In founding her own wealth management firm, BespokenWealth.com, Laurel wanted to share accessible financial strategy that would otherwise only be available to the wealthy. She believes you can build wealth in this country with solid planning and investment strategy, regardless of your family's background.

1. What inspired you to take up a career in finance?

I never liked finance in school. It just wasn't something that interested me. I liked sciences and earned my degree in Ecology and Evolutionary Biology. Towards the end of my education, though, I realized that every scientist needed to find funding for their experiments. That meant seeking grant money or money from individual investors. There happened to be a lot of politics involved in that process, and often times the best experiments were blocked from being conducted due to lack of funding, not lack of importance. I wanted to make a difference in science by funding experiments that were not funded elsewhere. To do so, I set out to see how money worked.

I looked for an internship at an investment firm, but ended up with an opportunity to work alongside my father as long as I passed my licensing tests. I passed my series 7 and series 66 on my first try, and was sent for further training in St. Louis. By the time I was done, I realized how important money and savings are to every single household out there. I saw that there was a massive need for trustworthy, knowledgeable, and sound individuals to provide advice on investments.

Unfortunately, most individuals don't realize that they aren't getting good financial advice, but are either being sold a product or are being short-changed. 401(k) providers at work usually do little or nothing to educate people on how to invest. They don't want the liability, so they tell people to pick for themselves. They just give them a bunch of choices and say, "You pick." People often chose randomly because they're so overwhelmed. Others go online and think they're getting good advice. They don't realize the biases involved and the products being sold to them through the advice they're reading. Even accountants fall victim to savvy investment salesmen who convince them that selling investments is something anyone can do to get them to sell their mutual funds. It's disgusting, and I could see that I could really make a difference for individuals by giving sound advice and knowing what was going on out there and who was pushing what. It's too much information for the hobby investor or average person to expect to understand since they have to spend their time working. My work is this, and that's why a good investment advisor is so important for individuals to have.

2. Why did you decide to start your own personal investment firm?

I was frustrated by how expensive the large firms were for my clients. There has been a push towards banking and away from investing as well. Banking is different from investing in that it involves loans, lines of credit, and checking accounts. Investments are a completely different specialty. I did not think it was in my clients' best interests to be sold mortgages and lines of credit when they were just trying to allocate their 401(K). I left the firm and worked briefly with another individual who ran her own firm from her house. I then started mine.

Unfortunately, most independent advisors do not have much education in investing. They usually have accounting knowledge, then sell investments on the side. To give people good investment advice without having to sell the products a large firm wanted me to push and without having to charge people an arm and a leg, I needed to start my own firm.

3. How do you customize your wealth-building strategies to meet the individual needs of your clients?

I listen to my clients. I mean really listen. People tell me what they're concerned about, what they're feeling, and what they want to do with their money. Then, I do my work to find the type of account, type of investment, and type of platform on which they can hold their investment before making a recommendation on all of these. Some people prefer to do their own investing and just want someone to bounce ideas off of for now. Others need a whole financial plan and want a trusted advisor to handle their accounts so that they don't have to. Either way, I choose each investment and product with my clients, based on their needs and wants. I do not choose one way to do things and then make all of my clients invest that way. That's why I'm different, but that's also what makes my way of doing things efficient. It takes skill, knowledge, experience, and an ability to understand what individuals are experiencing to be able to run my investment firm the way that I do. I know that I'm delivering the best quality advice a person can get because I'm not swayed by corporate interests or manipulated by mutual fund companies. My clients get my full attention, and that's why my firm is unique and personalized.

4. I think a lot of people feel that they can't afford to hire an investment adviser. What would you say to people who feel that way?

Can anybody afford NOT to hire one? The difference between 25 years of good investing and 25 years of guessing on your own is large. Either way, everybody will pay someone to manage their money. It's best that you make a judgement call about who you want to pay and how they'll manage it instead of just going with the flow and telling yourself you're saving money. Unless you are the one waving a ticket on the trading floor of a stock exchange, you are paying someone to invest. Even people using discount online trading that they do themselves are paying someone to invest for them. They just don't realize it, and that's part of the marketing that the trading platforms propagate. It's often hidden and complicated, but that's the truth. So if you think you can't afford to pay an investment advisor, you're wrong. You already are paying someone; you just might not be getting advice.

5. For people who are new to investing their money and working toward building wealth, what is your advice on getting started?

My advice is to save your money. Investing can be overwhelming, especially with so much bad information out there, but don't panic. Slow and steady wins the race. Friends and relatives may mean well, but they are often our worst enemies when it comes to the investment advice they give. If you're not comfortable investing your savings, you don't have to. When you're ready to invest, you'll know. Then, realize that slow and steady wins the race.

Finances are EXTREMELY personal to people. Every single person has a different speed at which they want to go. Unfortunately, everybody also thinks that they're a professional at finance and wants to tell you what to do with your money. It's difficult to stand your ground, but my advice is do your best to save as much as you can, then be true to your instincts about how to grow your money once you've saved it.

The worst thing a person can do is nothing. Time is the most important thing an investor has to work with, and the longer people wait before investing their savings, the less time they have. Doing nothing is actually hurting you, so get serious about saving some money for investing. It's the best way to take control of your future.

Thanks, Laurel!

Introducing Koby Kamhaji, Diamond Investor

Koby Kamhaji is a diamond investor who shares suggestions with others on why he believes that diamonds are a worthwhile investment. He covers many topics, such as how to distinguish the diamonds you might to buy and hold from those which are less likely to be profitable. Other areas which require research, in Kamhaji's opinion, include finding a reliable source where you can buy diamonds, choosing how and where to insure your diamonds, and learning about differences in color, size, and so on because even a tiny difference can mean a big change in terms of value.

As Kamhaji points out, the nice thing about diamonds is that once you buy them, you don't have to do anything to maintain them; you just need to keep your investment safe. A diamond isn't going to grow, change, etc. So you can see why it's really important to do research before buying so that you know you've purchased something that will give you a good return on your money.

Kamhaji is one of many diamond experts and traders out there sharing information with investors. With just a few clicks online, you can find out a lot of information about diamonds and what types have traditionally been strong sellers. Personally I've been glad to see that more and more consumers emphasize the importance of buying conflict-free diamonds, and Kamhaji also advises that you be sure to get the complete paperwork on any diamond you buy.

Trading Robots and AlgoRates.com

I learn a lot of different things about business and finance through topics that people suggest for this blog, and here's a new one: trading robots. Turns out that there's an investment management company called AlgoRates which uses complex software to predict market changes.

The trading robots from AlgoRates use algorithmic software to make predictions. Using trends in the marketplace and looking at past data, the system makes projections about future prices. The software can sift through thousands of pieces of data to find useful indicators. The robots have led to successful predictions regarding the value of currency and precious metals. AlgoRates couples technically sophisticated software with experienced brokers who interpret the data.

There are a lot of different investment funds out there. It's interesting indeed to look at the different ways that different firms are collecting and analyzing data with the help of software as well as experienced brokers. I know I have a lot more to learn on this topic!

Meet Robbie Clinger, Business Appraiser and Valuation Analyst with Highland Global

Highland Global is a leading business valuation, strategic advisory, and financial analysis firm for family owned and privately held businesses. They provide a variety of services relating to merger or acquisition transactions to business valuations for middle market clients in a wide range of industries. Their team is comprised of experts in their respective fields.

Robbie Clinger is the managing director of Highland Global. He is a Certified Business Appraiser and Accredited Valuation Analyst and has strong experience in the fields of business valuation, financial analysis, and strategic advisory services.

1. When should a small business owner consider getting a valuation for his or her business?

There are a number of situations that may necessitate a business valuation for a small business owner. Most commonly we perform business valuations for small business owners when they are contemplating a sale of the business or seeking bank financing with an SBA guarantee. Banks are looking to ensure that the value of the business will support the loan. In a potential sale of the business, the owner needs to have a set of expectations for the value of the business based on a third party, independent assessment of value. My valuation is a function of expected returns to a buyer when considering a variety of company-specific factors to develop the risk-adjusted rate of return. There are other situations that may require a business valuation for a small business owner such as succession planning, an employee stock option plan, estate tax or gifting purposes, or rollover of funds from an IRA.

2. What are some of the factors that you consider when making a valuation?

In the most basic form, the value of any asset is the sum of the present value of the future cash flows that are expected to be generated by that asset discounted at a risk-adjusted rate of return. This is a basic principle in financial theory. Some finance professionals conduct analyses to determine the value of publicly-traded companies. So, they look at the expected dividends of Exxon, for example, in the future and discount those discounts at a rate of return that considers risk factors to which all businesses are exposed and risk factors specific to Exxon. When I'm valuing a private business, a regional manufacturing firm for example, I take a similar approach. I look at the expected future cash flows from the business after they've reinvested in capital equipment, serviced any debt, etc. Then I consider a variety of factors in developing the discount rate applicable to a company's expected future cash flows. When it comes to risk factors specific to a private business, I consider the company's financial risk, customer concentration, diversification, stability of earnings, supplier risk, distribution risk, and earnings margins, to name a few. Two of the biggest factors, in my mind, are the financial characteristics of the business. That's to say, can the business make money and how much money can it make? If the business doesn't make money or can't generate cash flow to an investor, there may be little value there. Second, is current ownership or management competent and capable of running the business at a profit and to its potential? If the owners or managers aren't experienced or don't have a track record of successfully running a business, there's a good chance the business won't be successful or as successful as it can be. This, of course, negatively impacts the value of the business.

3. Do you find that there are specific concerns or questions that tend to come up with family businesses?

What's my business worth? What do you mean it's only worth that much? How do I increase the value of my business? I think those are the most common valuation questions that I encounter when dealing with a family business.

A lot of family businesses are concerned with how they can successfully transition the business from one generation to the next or from them to a new owner. They want to know what their options are, what the best options are, how they can maximize value in a transaction, and how they can market and sell their business.

There are a lot of family businesses where the owner is getting ready to retire and they're not sure what to do. They've worked all their lives to build the business, and there's a lot of emotion as they consider the future. The business is like one of their kids. They've nurtured it and been there through good and bad times, and they're not sure if they're ready to let it go. By the same token, they often have a much larger expectation about the value of the business. They think it's worth a lot more than what it is. From a valuation perspective, the business has a certain value to a financial buyer and a higher value to a strategic buyer. Ultimately, the business is worth what someone is willing to pay for it. I can't predict what a specific buyer is going to pay for the business. So, I have to explain to the business owner what the range of values are to specific buyers and help them understand the valuation process that produced the valuation. This, of course, requires that I explain to them the methodologies used and factors that influenced the valuation.

4. For someone who is just starting a family-run business, what are some suggestions you might offer, based on your experience working with other family businesses?

Make sure the business is well capitalized when you start it. Most start-up businesses fail because they run out of cash. They don't have enough cash to sustain operations while the business gets established and starts generating cash flow. You need to have a comprehensive business plan before you start the business. That business plan needs to set goals and explain how you're going to achieve those goals. The business plan needs to identify how you’re going to sell the product or service, what resources you're going to need, how much working capital you'll need, what your break-even point is, and what your budget is for the first three years. The budget or forecast is a crucial point to consider. You need to know what your fixed expenses are going to be for the first three years and any variable expenses. You need to know how much cash you're going to need to pay those fixed expenses until the business is generating free cash flow. If you go into business expecting the business to pay for everything right off the bat, you're probably going to fail. I have yet to see a start-up business generate free cash flow from day one. There's always a period at the beginning where the cash outflows for ongoing expenses exceed the cash generated from sales. That's just a business and finance 101 fact.

The business plan needs to be your roadmap. There are going to be deviations and changes along the way. You need to be prepared to adapt to changing circumstances. You need to have contingency plans in case something happens to disrupt business or change the business model. If you were a buggy-whip maker when the automobile came along and you didn't change with the times, you probably went out of business. You've got to be adaptive and resilient. Times change, and your business needs to be prepared to change with them.

And I think most importantly you need to have an end-game strategy in mind from the outset. You're going to invest a lot of money and time in a start-up business, but what's your anticipated return, and how are you going to monetize the investment in the business? How are you going to exit the business? Are you going to just liquidate? Shut down? Give it to your children? Sell it? If so, are you going to be able to sell it? Is someone going to want it? You need to be thinking about this as you build and grow the business. It will pay off for you when the time comes to convert your investment in the business into cash.

5. How did you first become interested in a career in business/finance, and what do you enjoy most about your work?

I've always been intrigued by the financial markets. When I was a kid, and this was long before we had internet, I'd look at the stock prices in the evening paper. I'd follow companies that I knew--you know, Pepsi, Disney, Exxon. They were all companies that we were probably all exposed to at a young age. I didn't understand much about it as a kid other than I was fascinated by it. I remember my interest really took off when I was given shares of stock for my birthday one time. This was back when you actually got a paper certificate of stock with your name on it and the number of shares it represented. It was fascinating to me. Here was this beautiful stock certificate with my name on it, and it meant that I was a shareholder in a company. I guess that was how I got interested in finance, so when I went to college I majored in finance and learned a whole lot more about it. After I graduated from Coastal Carolina University, I got a job at a small investment bank. I was the in-house financial analyst responsible for doing valuations of private companies for mergers and acquisitions. I really took an interest in valuing private companies and all the nuances that go with that. It's a lot more complicated than valuing a public company. When things went bad with the company I was working for, I went out and started my own business focusing on valuing private companies, and I've been doing that ever since.

What I enjoy about my job the most is that I get to use my analytical skills every day when I value another business. Each and every business is different. I get to see all kinds and see what works and what doesn't work at similar businesses. Each project is a new challenge, and I'm fortunate that I'm getting to do what I love and what my education is in. I also get to do a lot of research in my field. I get to write articles from time to time that combine both the business valuation and finance fields with some economics. So it's mentally stimulating as well.

Thanks, Robbie!

A Guest Post on Getting Financial Advice

Jeffrey Arsenault, Old Greenwich is a well-known professional in the field of finance. His expertise in the field of hedge funds, fund of funds, risk management, portfolio management, and investments make him one of the most sought-after resource persons in the industry. He is the founder and principal of Old Greenwich Wealth Advisors (OGWA), a New York-based investment management firm.

The guest post below was written by Jeffrey Arsenault.

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Investor Options: Discount Broker, Full Service Broker, or Wealth Advisor

Turning an investment into a successful one is something that every investor aspires to do. To achieve such a goal it is important to have keen financial knowledge and the ability to choose the right investment based on a set of criteria. This proves to be a daunting task for the average investor, so the best decision is to select a wealth advisor with good consistent track records and favorable reputation, who offers testimonials, provides timely reporting, and gives you a feeling of comfort, not one of intimidation.

Basically, here are the options today most investors have:

Do It Yourself

Open an account with a discount brokerage. Individuals will need to analyze, as well as make a final decision when it comes to choosing the right allocation of an asset and identifying which investments to buy or sell, and you will need to daily monitor your portfolio. If you have the knowledge, tools, motivation, and time to plan and execute investment strategies, then this would be the most cost effective. But remember, stock analysis tools, data feeds, and charting software are all fixed cost attributes of doing it yourself, and you will need to clear these costs just to make a profit. Charting software can cost $500 to several thousands of dollars, data feeds are at minimum $75 a month, financial analysis tools are $100 a month, and newsletter subscriptions are at minimum, $20 a month.

PROS - You are in the driver's seat and in control of the whole situation.
CONS - You have little knowledge of how fast you are going or how stable your car is, you can crash your car due to your lack of experience, and then it is all over.

Full Service Broker

Another investment option is seeking a full service broker. Such a person may provide the investor with some recommendations and give ideas about the current status of the stock market. The investor would have to review material from the broker and decide if he agrees or disagrees and invest accordingly. The broker earns a commission for every trade you make on his recommendation.

PROS - You are in the driver's seat with your mother-in-law in the back seat.
CONS - Do you listen to her or not? Is she really a seasoned expert; what proof do you have?

Wealth Advisor

One option that was less likely prior to the JOBS Act of 2012 is that seasoned wealth advisors are permitted to advertise and accredited investors stand to benefit with this new ruling. Wealth advisors handle and execute every investment decision. This individual acts as a financial planner and wealth manager, but the difference is that the wealth manager does all the work, leaving the investor merely as an observer.

PROS - You are now the passenger and the driver is Mario Andretti, Michael Schumacher, and Dale Earnhardt Jr. etc. Experienced drivers with track records.
CONS - Too busy making money for regular phone calls and you need to wait for your periodic report to find out the value of your overall investment. This is for long term capital.

Of the three available options, most investors select number 1 or 2, believing they have enough experience and time to make these decisions alone or with a stock broker's assistance. But I ask you, would you stitch yourself if you were not a doctor, or tune up the car if you were not a mechanic--then why invest if you are not an experienced investor? The stock market is constantly evolving, and many average investors or full service brokers would not have predicted the current situation we are in, but many wealth advisors have done so accurately. Full service stock brokers usually are compensated by commissions earned per trade, but wealth advisors pay is based on the performance of your investment.

Why seek professional advice from financial advisors?

One common and sensible reason for an investor to seek advice from a professional wealth or financial advisor is when an individual receives a good sum of money, e.g. inheritance. The average person already has a job and specializes in that task and does not have much time to do investment research and watch the daily movements of a stock, ETF, or fund. If that same person has children and a spouse, it can only be concluded that the spouse and children will feel neglected since time is taken from them and allocated to another task outside of work. From my experience, specialization generates success, and to try and become the jack of all trades and the master of none is a road to failure. So why try and invest on your own especially in such a complex market as we have today?

Finding the right one: what to consider

Planning the cash needed for future use is quite complicated, and having a professional adviser is useful. But how can an investor find one? It is not enough to find one who is capable of assessing the investment risks and second-guessing the current performance of the financial market. In order to find the right one, here are some things to consider:

--Referrals from colleagues, friends or family members always matter. Any of them should have had experience dealing with an advisor and has ever since been managing finances successfully.
--Seeking a lawyer or a certified public accountant would also be acceptable, since it is possible that they might give recommendations.
--Make sure that in seeking one, he or she is considered an independent financial adviser or IFA. He or she is an individual who is not biased, and can provide expert advice, as well as sell product from any provider within the market.
--Go online. Everything and everyone can be searched online, and it holds true when it comes to finding advisors on the Internet. Typing the right set of words in the search box will provide the investor a lot of choices as to who to speak with.
--Meeting up with the preferred adviser personally is imperative. It is also vital for the investor to take control of the interview, since it will help him or her obtain additional information and insight.

Investors, whether or not they are experienced, can greatly benefit from hiring professional advisers. Making the right choices in investment will make every venture successful, and finding the right adviser can greatly contribute to that possibility.

Introducing Mike's Binary Options Blog

I don't profess to understand a great deal about how binary options work (yet!), but I know a lot of people are interested in this form of financial investing, and I'd say it's worth investigating. Michael Freeman recently sent me a link to his binary options blog, and I think it's a useful resource to bookmark for those who are wanting to learn more about this topic, starting with Mike's binary options dictionary, which helped me contextualize some of the financial terms I already know within the specific world of binary options.

The site includes a wealth of video content. For example, on Mike's strategy guide page, he explains several popular trading practices and gives a series of trading tips. I like seeing the videos complemented by the text-based explanations on the blog, but if you just want to focus on the videos, you can check out Mike's YouTube page.

New and experienced investors alike should enjoy Mike's reviews of various brokers, including his top ten list of brokers. His reviews are thorough, and he even has a "blacklist" page of brokers who have proven to be dishonest.

What I like best about the site is that it has a personal touch; you really get the sense that there's a helpful person behind it, someone who wants to share information about a topic that interests him.