Have you ever met someone from the ‘corporate world’ and their job title made you go like:
I’ve been there done that! That’s why I broke down some of their job titles to make sense:
Now I know better than going to my CA for investment related help or my advisor for tax related problems. Embarrassing? Right! So remember:
#1: Your Chartered Accountant is NOT your Financial Advisor/ Planner:
Your CA is an expert in taxation, auditing and accounting. Which means he/she can help you plan your taxes well as he/she knows all the tax laws and is pretty updated when any tax changes are made. Apart from your personal finances a CA can also check (Financial term-Audit) your business accounts. He/she is brilliant with accounting concepts, making balance sheets, reading the financials of a company, etc.
On the other hand your Financial Advisor/Planner will help you with your investment related doubts and queries. He/she will help you to diversify your money into different avenues of finance to grow it. He/she can build a suitable financial portfolio for you after taking into considerations all your risks. Apart from that he/she can also help you with your insurance, and retirement planning.
So next time you ask your CA ‘Where should I invest my savings’ it would be as good as going to Zara for buying Make up!
#2: An Investment Banker is different from a Retail Banker
An investment banker plays a completely different role than a regular banker. He/she helps clients raise money in capital markets by issuing debt or selling equity in the company. Other job duties include assisting clients with mergers and acquisitions (M&As), and advising them on unique investment opportunities. These are the people who also help companies with the IPO process.
On the other a retail banker helps you with your day to day banking needs like advising and assisting with services such as setting up savings accounts, authorizing loans, helping with banking facilities etc.
#3: A trader is different from a broker:
A trader is one who participates in the stock market and makes/loses money. He/she does the buying/selling of shares. Whereas, a broker is the one who provides the platform to a trader for trading. He/she is the middleman between trader and stock exchange. Brokers get a commission for ever trade executed by a trader. While a trader can earns or lose money depending on whether the markets are high or low.
#4. A founder and promoter might not always be the same:
In the corporate world a founder is the person who established a business. On the other hand a promoter could mean the person who started the company or even mean the person who is in control of the company even if he / she did not actually start the company.
Are we missing out on any such confusing titles? If you think we are comment to let us know!