TRANSCRIPT:

Hi and welcome back to another edition of Finance Lingo Explained. I’m Greg Vojtanek of Fade In Financial. Finance Lingo Explained is me trying to take common financial terms and phrases and words, and explain them in easy-to-understand language.

Today’s words are Financial Products. Yes, you may have heard people talk about products. It’s very simple in the financial world. Products generally mean things that someone is getting commission off of selling to you.

So if you’re looking for a financial advisor and someone is trying to sell you life insurance, for example, or an annuity where they say it’s going to guarantee X amount of dollars per month or per year for the rest of your life. Those are financial products.

Those folks are getting paid a commission to sell those products to you. Those aren’t the only ones out there. But, generally speaking, if someone is getting a commission then it’s probably going to be considered a financial product.

So, if you’re looking to avoid those types of things, you might want to look for a fee-only financial advisor or financial planner. Generally those people, if they’re not selling anything to you, they’re just giving advice, then there are no products to sell.

So those are a couple of the very common products: annuities and life insurance. They aren’t the only ones. Thanks again for watching. I hope you found this helpful.