Is giving financial advice for free illegal in the US?
It is not directly illegal to give investment advice for free in the United States. However, if you gave the advice, and then someone found out your Uncle was an employee of the company you suggested, you could be making some mistakes that could land you in some heat. However, if you generally tell someone your opinion and it has no impact on you making money or profiting in anyway from the sale, then you are usually alright to speak freely. Other financial advice like budgeting, money management, etc. is usually all fair game to share: budgetwithquincy.com/blog/
Three people I will always have, always on my side…An attorneyA financial investor who has a great track record and also who is humane too, and sees world as I see too, because I want to create to enrich other lives as well while creating assets.Other millionnaires, billionnairs to talk to, learn from and associate with. I know I will learn so much more.It’s all good, having people who know more than you but also, you must make your own decisions and take responsibility for them too.
It takes time to be a young entrepreneur as tremendous competition is there and you need to look at your products or services what are you offering to the society.You must have your own property or premises for and it college must be affiliated to a university, must have expert teaching and non teaching staff for running college and you need to follow all legal regulations for your college.How are your education services better than others ? There are various questions you must consider before getting into entrepreneurship.You need to have enough knowledge and experience about your venture what you are going to commence.Your knowledge and communication skills must be as per the market and you need to update your skills time to time.And you need to have discipline first if you are getting into Education Industry.
It’s nothing like as simple as the alternatives in the question suggest.Giving financial advice is, in may parts of the world, a regulated activity. That’s to say that you need to be accredited by some agency to give it.But that agency also has a specific definition of what “financial advice” is, and what the question thinks is “clearly financial advice” is most unlikely to actually use that definition.If someone follows your financial advice, and loses money, they might sue. A judge will look at LOTS of evidence when determining if there’s a case.If you’ve put on a clear “this is not financial advice” disclaimer then that’s a piece of evidence to be included. So, it doesn’t “clear you of legal ramifications”, but it’s something to be weighed with everything else.
You want to be careful with this. If you are properly licensed you need to state that are not a licensed professional, is not advice but suggestions for entertainment purposes, and clearly state that investment is risky. Even these suggestions are probably not even enough to protect you. (Un)fortunately in many countries the barriers to entry for legally giving financial advice are rather low. I wrote an ebook on investing but I clearly state I’m not a professional and that you should consult a real consultant before making any real moves.
It's okay for anyone to provide general advice, even in areas like law and medicine where the actual practice of it is licensed and closely regulated. I have a good general knowledge of the law in some areas, and so I do answer questions on that despite not being an attorney.General answers on the Internet are, however, no substitute for having a licensed professional giving you advice for your particular situation. They're more a starting point for what questions you might want to ask a doctor or a lawyer once you engage them.Getting paid to do it is a different situation. If I were asking for money for my legal advice, that would get sticky very quickly if I'm not a licensed attorney. But just giving my general opinion on some area of law for no compensation is normally covered under free speech.The same would be true for the financial arena. If you just say "I don't really like penny stocks", or "Penny stocks are absolutely the way to go", or even provide a detailed analysis of when they are and are not a good idea, you're just providing your personal viewpoint on the matter. And you have the right to express your opinion. If you actually start providing personalized advice, especially for compensation, that's when licensing requirements generally start to come into play.If people take financial, or medical, or legal advice from whoever happens to answer their question on the Internet, without actually verifying that with a qualified professional who's being paid to evaluate their particular situation, well...that's a very bad idea.
Be careful. Be very, very careful. If you’re promoting yourself as an adviser, you’re opening yourself up to a high level of scrutiny and possibly liability. I’m an insurance weenie - I don’t do investments, and I will NOT talk about investments, period. I’m neither qualified to do so, nor interested in becoming so. There’s simply too much compliance to deal with, and if you’re doing this as a “dabbler,” well, you’re asking for trouble, and you’re probably going to hurt the people who listen to your advice. That said, there are countless unlicensed, unqualified guys out there who do this every day - Dave Ramsey’s a perfect example. But, Dave Ramsey can afford a horde of zombie lawyers, you can’t. If you want to be an adviser, do the work, and get some credentials. If not, keep it to cocktail parties.
How do I become a financial advisor?
Most financial advisors get their training on the job. You'll start as an associate with an insurance company, an estate planning company, a legal firm, or a financial services group. They'll get you through your licensing and show you the ropes as far as they want to take you. Building a financial advisory takes about five years. You'll often get good leads and good work to start with as you start with a new company, and then you'll be responsible for creating customer retention and referrals from there. Some of the best sources I've seen for this is Bill Good's Prospecting Your Way to Sales Success (it's a little cheesy, but fundamentally sound book mostly focused on financial advisory-type people), and The New Conceptual Selling (a very thorough and principles-based approach to working with clients over the long-term). When you're picking a firm, both parties are trying to filter out the other group. These types of companies tend to have a lot of turnover, which costs them money. Because of the high rate of turnover, you're going to want to work with groups that are going to give you the kind of training and mentorship you'll need to survive in the business. As rules of thumb, I'd check out a few things first: is the company well-known in the industry, do they have a good reputation, are the advisors working there successful, what kind of training/commitment are they offering? Finally, you may want to check out a name-brand firm like Merril Lynch to get started. A lot of people start with the big boys for their first 5 to 7 years, then branch out on their own after they're established. Whatever you do, good luck! PS, if I've misplaced this advice, and you want to use some more of your technical background to do the analysis rather than the advisory work, then you're going to end up working for one of the big firms, probably in New York, and work through a very structured career path. You'll find great information on this at vault.com
The short answer is “Yes”… the longer answer is “Yes, most of the time”. Why? Because, depending on the blogger’s credentials (e.g., accountant, financial advisor, etc.), people are likely to rely on the opinion and order their affairs accordingly.Unless there is a disclaimer, the blogger is presumed to be offering advice with the intention - or at least the awareness - that someone may rely on the advice. He or she owes a duty of care in those circumstances to anyone who might in good faith rely on that advice. If it backfires, the blogger could face a possible lawsuit. And the principal reason: by holding himself or herself out as qualified, he or she is presumed to know whereof they speak.If, on the other hand, the blogger is a factory worker or sous-chef in a “greasy spoon”, he or she is not holding themselves out as an “expert” (even if he or she is smarter than the average accountant or financial advisor). Therefore, there is no duty of care; or, alternatively, the standard of care is far less.