AlmostDone
Recycles dryer sheets
- Joined
- Oct 4, 2006
- Messages
- 92
A financial advisor gets a commission for putting a client into a certain fund. Is there a way to know how much commission the advisor received?
crazy connie said:Also, examine your agreement with the FA. Not uncommon to find double dips & kickbacks. May not go directly to the FA but to a holding company they work thru or own a piece of.
crazy connie said:Check the fund prospectus. It is usually buried in goobledegook and touts as reciprocal advertising or some such crap. Also, examine your agreement with the FA. Not uncommon to find double dips & kickbacks. May not go directly to the FA but to a holding company they work thru or own a piece of.
FinanceDude said:Double dips and kickbacks? Where have you been all these years
saluki9 said:Excuse me! I have a very nice Oppenheimer funds baseball hat, that's a kickback right? Oh wait, I've never used their funds, but they sent it to me anyway.
Also, I'll have you know that Scudder has some of the nicest pens I've ever used.
Man, if the clients only knew I was getting free writing instruments, they would be STEAMED!
Is there a way to know how much commission the advisor received?
mickeyd said:Ask him how much commission he made on the deal after you check what the prospectus says what you should be charged. If he says he does not know, he is probably not being honest. A good salesman always knows what he made on the deal.
Also check out what the 12b-1 fee is (also prospectus) and ask him how much he will receive on this scam service. Ask him how paying this extra marketing fee will benefit you and watch him squirm.
if you want to know how advisors are compensated, one or more of us could inform you, instead of making wild guesses.............
mickeyd said:Thanks for the tip FD. I figured that since I spent a couple of decades in the insurance/investment/employee benefits business prior to retiring that I could add a bit of insight to the Q that was asked.
FinanceDude said:mickeyd, I value your opinions in general............but, if you want to know how advisors are compensated, one or more of us could inform you, instead of making wild guesses.............
HaHa said:Excuse me, didn't he say "read the prospectus?" That does sound wild and unsubstantiated! Better he should ask you, a salesman yourself?
Ha
saluki9 said:Because FD and I have tried to give the OP a little extra help. It's like when somebody asks about the delaer profit on a new car and somebody would tell them to check the invoice. While technically correct, there is always a little more to the story.
So yes, the prospectus will give you the total dealer comp, it doesn't tell you anything about what the rep gets.