Example Of The Disciplinary Literacy Paper Essay

I have always wanted to become a financial advisor since I was in the elementary school. Financial advisors in my neighborhood seemed successful and happy with their lives. They drove expensive vehicles and built big, beautiful houses that made me admire working in the financial sector. However, majoring in business gave me an opportunity to get closer to my dreams. I always read the business section of newspapers and magazines to educate myself in the current business environment in the country. However, my primary interest is advising companies and individuals on foreign direct investments (FDI). I have studied how developing and developed countries have benefitted from foreign direct investments especially after the introduction of globalization. A great example of a country that benefited from foreign direct investment was China (Huang 29). Reading newspapers and business magazines has also helped me understand how successful companies and economies manage their financial resources. Therefore, FDI and economic development maintain a very healthy relationship.
Wan explains the importance of FDI and economic investment in his article “A Literature Review of the Relationship between Foreign Direction Investment and Economic Growth.” He assesses the relationship between economic development and foreign direct investment in developing and developed countries. He argues that FDI contributes significantly to the economic development of countless nations. Wan explains foreign direct investment as an investment by a country in another country on order to obtain a permanent management interest in a venture (Wan 52). The two major types of FDI include merger& acquisition (MA) and “Greenfield” investment. MA involves acquiring present interests rather than new ventures. Corporate governance facilitates direct and portfolio investments. Direct investment is observed when a company or individual owns 10 percent of the voting stock or the average share while portfolio occurs where the ownership fails to surpass 10 percent. Huang alleges that nations can own FDI ventures and participate in other investment ventures in different nations because of globalization (156). Globalization has helped multinational companies engage in FDI as their primary derivation of outside financing.
However, I decided to increase my knowledge of becoming a financial advisor under foreign direct investment by interviewing a financial advisor named Andrew Smith. I had initially met him in my uncle’s home. They both grew together and maintained their friendship despite choosing different career paths. Mr. Smith agreed to take the interview, and we agreed to meet on a specified date. The interview took place at his office where he decided to spare one hour despite his tight schedule. Nevertheless, I was satisfied with the outcome of the meeting and my desire to become a financial advisor in the future grew.
Financial advisors receive better wages compared to other professions. However, payments differ based on the services rendered. There are six ways I would receive my pay as a financial advisor. First, I can charge my clients one percent of their account value, thus allowing me to make additional fees as the client’s account value increases. The second way to charge my clients would involve commissions. I can also charge commissions and fees after offering financial advice. Companies and individuals can also pay an hourly rate. I would be able to quote an upfront fee before offering financial counsel. Additionally, the average yearly wage of an independent financial advisor is $67, 520 (Evensky 109).
Lieber published an article titled “Financial Advice for People Who Aren’t Rich” in the New York Times. He alleged that financial advisors would never offer their services for less than $5,000 or $10,000 yearly (1). He argued that financial advisors were unable to offer proper investments and bespoke advice at a reasonable price to poor customers. He dismissed firms, such as LearnVest, Wealthfront, and Betterment for charging higher fees, despite having poor services. He stipulated that a firm like Betterment bears assets from 50-year old clients who require advice on retirement finances. However, Lieber praises new financial advisors in the industry for their efforts to help low-income earners invest. He also thinks that most players in the financial sector will not survive though their number will reduce the charges. Lieber concludes that customers will gain more when financial advisors fail to escape with their financial resources and perform their jobs effectively.
Financial advisors receive extra benefits. Their ability to understand the business environment gives them the ability to invest in effective projects (Evensky 249). Financial advisers easily identify problems in financial accounts belonging to companies. Therefore, opening a firm would not become difficult for a financial adviser because he/she has vast knowledge of fiscal decisions that could cause his/her firm huge losses. Lastly, financial advisors earn good salaries.
Evensky argues that female financial advisors face many challenging in this field especially at the beginning (249). Beginners try to work long hours in order to impress their bosses and to establish enough contacts and relationships with clients. Therefore, a female financial advisor willing to raise a family may have problems because of the long working hours.
Evensky advises financial advisors to establish effective communication with their clients (376). Face-to-face communication is the best form of communication between a financial advisor, his clients, and colleagues. Direct communication helps clients to ask pressing questions regarding their finances. Oral communication also helps financial advisors to clarify financial issues that may arise. However, financial advisors prefer communicating through writing while reporting to their respective firms. They perform comprehensive studies in order to remain knowledgeable about the current statistics in the business specialty. The business environment keeps changing, and failure to research may prompt financial advisors to give wrong counsel to their clients.

Works Cited

Evensky, Harold. Wealth Management; The Financial Advisor’s Guide to Invest and Manage Client’s Assets. New York: McGraw Hill Professional, 2010. Print.
Huang, Yasheng. One Country, Two Systems: Foreign-invested Enterprises and Domestic Firms in China. China Economic Review, 14(2010): 404-16.
Lieber Ron. “Financial Advice for People Who Aren’t Rich.” Web, 11 April 2014.
Wan Xueli. A Literature on the Relationship between Foreign Direct Investment and Economic Growth. International Business Research, 3(2010):52-59.