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Share information with financial service companies analysts

Blogs and online newsletters are replacing print magazines in droves and they can be a very efficient means of communication. Find an Internet blog or website that provides trust-worthy information and attracts reliable posting participants.

I recommend: For a look at what the thought leaders in the financial services field have to say, and a chance to add your two cents, see Seeking Alpha, The Big Picture, The New York Times DealBook and RGE monitor.

Read up on changes in financial advisory services

Browse the news affecting your industry, or an industry with which you'd like to business. You'll be better served by knowing about any big changes when you go onto client meetings or bid on contracts armed with the latest updates and aware of what the competition is offering.

I recommend: The American Banker serves a good source of information and news. SNL will keep you posted on financial services news by industry sectors. Bloomberg is one of the largest and most respected sources of financial services news and trends. Trade the News will keep you updated with the most current news in the industry.

Receive small business financial services email alerts

Look for information sources that will send you updates as they occur so that you will be on the alert for emerging issues that will affect your business. Assign employees to check with important sources throughout the day and report any significant news to you.

I recommend: Check in regularly with Web Wire for the latest news affecting the industry. Finance Advisory News will keep you updated with all the news that you need to operate successfully and have the information that your clients need from you.

Helpful advice for making the most of this Guide

• •  Stay active in networking and finance services trade associations that keep their members appraised of the news as it affects their businesses to develop relationships that can share news with you that you might overlook.

Guide to Financial Services

Get on the road to financial security using the right financial services

By Greg Brown

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Financial services 101

National banks are among the largest providers of one-stop shopping for financial services, be it a mortgage, personal loans, credit cards, insurance or plain vanilla banking. Many also do retirement planning financial services, like selling mutual funds.

I recommend: Generally speaking, banking financial services are misunderstood and under-used by most people. A good starting point is to simply open a simple bank account and read the brochures they offer you. Take a look at some of the top U.S. banks (by size), among them Bank of America, JPMorgan Chase, Citibank, Wachovia, Wells Fargo, U.S. Bank and Suntrust.

Paying for money management can make a difference

Your bank can take you a long way, even advise on saving for retirement. But, at some point, financial services has as much or more to do with active investing and tax planning. That's when money management can make a difference.

I recommend: Money management sounds very pinstripe-and-silk-socks, but it can range from a simple mutual fund company up to one-one-one financial planning. Consider big financial services firms, like Fidelity, Vanguard or Schwab. If you are certain of your basic investing skills, you can always buy a fund directly. Try searching through a mutual fund screener, like this one from Morningstar at Yahoo! Finance. You can also find an independent financial planner to help you. Try the Paladin Registry.

Use mortgage debt and credit cards to reach your goals

Debt good for you? At certain points of your banking life, absolutely. For instance, credit cards used responsibly can track expenses and provide short-term liquidity for a small business. Mortgage debt, within reason, can turn a renter into a homeowner, and the interest on mortgage debt is normally deductible.

I recommend: Credit cards can be tricky, though. Be sure of the terms and change them if need be to assure you are getting the best deal. The largest credit cards in the country are Visa, MasterCard, American Express and Discover. Check current rates and deals quickly at Bankrate.com. Your bank is a good starting point for a mortgage search, and Bankrate provides current rates on those as well.

Beyond the basics of financial services

Making money is, for some, the easy part. Keeping it though can be a huge chore. Once your portfolio gets past a certain level (usually $1 million net worth excluding real estate), it's time to look at financial services at another level: wealth management.

I recommend: It's a huge, competitive business, and one banking has moved into ferociously of late. But some of the better-known banking and financial services companies doing wealth management include Citi, JPMorgan, Merrill Lynch, UBS and Credit Suisse.

Helpful advice for making the most of this Guide

• •  Get ahead of your needs. Just because you don't have kids yet, don't rule out life insurance. Who would need money if you died?
• •  Money management can be a huge help. If you find a topic overwhelming it's time for professional financial services advice.
• •  Debt can be a help, but it shouldn't be a crutch. Use financial services, but wisely and within your limits.

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Take courses to qualify for financial advisory services certifications

Look for online courses that will provide the hours and classes need to get a CFP certification. Many online programs will provide the pre-certification study courses and guide you to local organizations that provide the chance to sit for the exam. Find sites that offer sample test questions and availability of instructors to answer questions and provide guidance.

I recommend: The College for Financial Planning offers a slew of degree and certificate programs for financial services. Certified Financial Planner Board of Standards provides pre-exam courses as well as directions to local colleges and training centers where you can sit for the CFP exam.

Go to school for an advanced financial management degree

While you're working in the field with your certifications, you can find a number of great postgraduate study programs that you can take online to earn an MBA. If you are going to remain in finance, look for a program that offers an MBA with a focus in finance.

I recommend: Earn an MBA in finance through the web courses offered by Northeastern University. Drexel University gears its online MBA classes to working professionals.

Take advantage of your trade group membership for continuing financial services training

Join finance services associations to find opportunities to earn continuing education units (CEUs) that are offered to members. Most certifications boards require CEUs to continue to hold a license or professional designation.

I recommend: Keep up with the current issues affecting the industry through the regular training seminars and programs of the Financial Planning Association. The American Financial Services Association offers members training in new regulations and other important financial investment issues that can be used as continuing education units.

Helpful advice for making the most of this Guide

• •  Look for training in other financial services such as smart credit cards, mortgage regulations and college savings funds to offer your clients an array of advisory services.

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Affinity card

An affinity card, or co-branded card, is a specific credit card that has been issued jointly by two separate institutions, a lending institution as well as a non-financial organization. Examples of non-financial organizations include a retail store or a non-profit organization.

I recommend: Affinity cards are illustrated in detail at CreditorWeb.com.

Negative equity

Negative equity, or being 'upside down,' is the term used to describe a situation in which an individual's or business' property value falls lower than the amount of value taken out by the entity in the form of a mortgage or a loan to secure the purchase of the property.

I recommend: Edmunds.com explores being "upside down" with respect to financed vehicles and shows a poll illustrating how owners handle their vehicles and potential negative equity.

Venture capital

Venture capital funds are those which have been made available to small companies. These small companies have to illustrate their potential for high growth. These investments may also be handled by managerial and technical advisers.

I recommend: To review how venture capital works, consider the information found on HowStuffWorks.com.

Trustee

A trustee can be an individual or an organization. A trustee is the entity that is charged with looking after defined assets for the benefit of another individual or organization.

I recommend: The legal definition of trustee can be found at NoLo.com, while advice on choosing a trustee is explored at FragileX.org.

Hedging

Hedging occurs when an individual or organization buys one security and then sells another. This is done in order to reduce risks. This being said, a perfect hedge would be one that is capable of producing a portfolio free of risks.

I recommend: A beginner's guide to hedging can be found at Investopedia.com.

Return

The return of an investment is often measured on an annual basis. The annual return of an individual's or business' investment is expressed as a percentage when compared with the overall amount of money invested in the property, venture or opportunity.

I recommend: A financial return assessment is explained and illustrated at HP.com.