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Re: Why Does this Forum Distrust Financial Planners?
Old 11-21-2005, 06:02 PM   #21
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Re: Why Does this Forum Distrust Financial Planners?

I had a financial planner. He was a friend and former manager of a major brokerage firm. He sold me some very poor performing load funds and a terrible variable life insurance policy. The insurance company on the variable life went out of business. He wanted to get me into Limited Partnerships and that is when I fired him. I found John Bogle's books and others and have handled my own investments since then with much better results. I am sure there are some good planners out there but you can do it on your own.
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Re: Why Does this Forum Distrust Financial Planners?
Old 11-21-2005, 06:16 PM   #22
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Re: Why Does this Forum Distrust Financial Planners?

Don't underestimate vanity for it's part in this. Would Mr. UpandComing Jr. executive buy a beemer, join the Country Club, yet not have a Financial Planner to call/have him call him while on the golf course? Better yet, the same financial planner as Mr. Sr. Executive he's sucking up to? Status. :P
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Re: Why Does this Forum Distrust Financial Planners?
Old 11-21-2005, 06:38 PM   #23
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Re: Why Does this Forum Distrust Financial Planners?

Because my brother is one.

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Re: Why Does this Forum Distrust Financial Planners?
Old 11-22-2005, 12:40 AM   #24
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Re: Why Does this Forum Distrust Financial Planners?

He,he - had me laughing Dave!

Never had a financial planner (learned it the hard way myself) and would NEVER use one (unless they gave me a calculated advantage - such as access to product/fund I can otherwise not get to) but there are many people out there that I rather would see in the hands of a decent FP rather than doing it themselves - just too many ways to TRUELY mess up if no knowledge or interest at all, be it direct scams or dumping all in one hot/IPO stock.

Cheers!

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Re: Why Does this Forum Distrust Financial Planners?
Old 11-22-2005, 06:51 AM   #25
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Re: Why Does this Forum Distrust Financial Planners?

Quote:
Originally Posted by atla
I had a financial planner. He was a friend and former manager of a major brokerage firm. He sold me some very poor performing load funds and a terrible variable life insurance policy. The insurance company on the variable life went out of business. He wanted to get me into Limited Partnerships and that is when I fired him. I found John Bogle's books and others and have handled my own investments since then with much better results. I am sure there are some good planners out there but you can do it on your own.

I'm just curious: which life insurance company was the policy with? What happened after it blew up?
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Re: Why Does this Forum Distrust Financial Planners?
Old 11-22-2005, 09:02 AM   #26
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Re: Why Does this Forum Distrust Financial Planners?

For some folks using a FP may not be a bad solution. I do my own financial planning because I have the time, the knowledge and the ability to do it as well as a professional. On the other hand, I lack the mechanical ability, the knowledge or the desire to do electrical work at the house. I hire a professional to do that work. Does he charge me alot? Yes. Do I know how to select an electrician that is both competent and honest? Probably not. But the risks of doing the work myself are just too great (fire, electrocution, etc.) so what other choice do I have? For a person without financial knowledge or interest the choice is similar.

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Re: Why Does this Forum Distrust Financial Planners?
Old 11-22-2005, 10:23 AM   #27
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Re: Why Does this Forum Distrust Financial Planners?

Ah, but electricians and plumbers must pass a professional exam and their work is inspected by independent third parties! I have known honest and compentent plumbers and electricians. I even know an honest and compentent mechanic.

Interesting that FPs are compared to crafts workers.
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Re: Why Does this Forum Distrust Financial Planners?
Old 11-22-2005, 10:27 AM   #28
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Re: Why Does this Forum Distrust Financial Planners?

Brat;when it comes down to basics; diversify and adjust for risk tolerance it is actually pretty simple isn't it? Cheers!
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Re: Why Does this Forum Distrust Financial Planners?
Old 11-22-2005, 10:33 AM   #29
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Re: Why Does this Forum Distrust Financial Planners?

Has anyone used the Motley Fool advisory service for financial planning.
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Re: Why Does this Forum Distrust Financial Planners?
Old 11-22-2005, 03:00 PM   #30
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Re: Why Does this Forum Distrust Financial Planners?

I am not sold on FPs for investment advise. Once in a while one can find a FP who is knowledgable on personal financial management. I want an FP to have only my interest in play, no side deals. "Free" advise is never free.
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Re: Why Does this Forum Distrust Financial Planners?
Old 11-22-2005, 05:52 PM   #31
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Re: Why Does this Forum Distrust Financial Planners?

Brewer
The insurance company were taken over by a receiver on behalf of the state. I was able to eventually complete a tax free exchange to a Vanguard Annuity. It had me worried the whole time and I do not want to go through it again.
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Re: Why Does this Forum Distrust Financial Planners?
Old 11-22-2005, 07:34 PM   #32
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Re: Why Does this Forum Distrust Financial Planners?

Quote:
Originally Posted by atla
The insurance company were taken over by a receiver on behalf of the state.
If you tell Brewer the name of the insurance company, then he'll be able to use his analysts's superpowers to learn all the company's bankruptcy info that never made it to the public press. Then he can share the juicy details and the lessons learned with us.

Send him a PM if you don't want to name company names on the board!

We'll be waiting with our ears perked up.
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Re: Why Does this Forum Distrust Financial Planners?
Old 11-23-2005, 02:26 AM   #33
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Re: Why Does this Forum Distrust Financial Planners?

We actually did OK with a full service broker before discovering this site. No churning or hot tip chasing. Names like XOM and MO in the account for ages (and some AT&T on the flip side). I suppose dart throwing would have produced the same results since 1980 without the fees. Starting to switch away now.
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Re: Why Does this Forum Distrust Financial Planners?
Old 11-23-2005, 06:40 AM   #34
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Re: Why Does this Forum Distrust Financial Planners?

Quote:
Originally Posted by atla
Brewer
The insurance company were taken over by a receiver on behalf of the state. I was able to eventually complete a tax free exchange to a Vanguard Annuity. It had me worried the whole time and I do not want to go through it again.
Interesting to hear. Life insurer failures are pretty rare and when they do happen policyholders usually get 100 cents on the dollar plus accrued interest. Your funds are generally backed up by the insurer's capital, the inherent conservatism of insurance regulation/accounting, and state insurance guaranty funds (no as good as FDIC). But it still is no fun to go through the process.
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Re: Why Does this Forum Distrust Financial Planners?
Old 11-23-2005, 10:54 PM   #35
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Re: Why Does this Forum Distrust Financial Planners?

Count on a financial advisor to get you into the one-in-a-thousand insurance company that is on the brink of receivership. :P
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Re: Why Does this Forum Distrust Financial Planners?
Old 11-25-2005, 10:19 AM   #36
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Re: Why Does this Forum Distrust Financial Planners?

Quote:
Originally Posted by ESRBob
Count on a financial advisor to get you into the one-in-a-thousand insurance company that is on the brink of receivership.* :P
Hey, they pay the highest commissions, they must be good! :
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Re: Why Does this Forum Distrust Financial Planners?
Old 11-25-2005, 05:56 PM   #37
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Re: Why Does this Forum Distrust Financial Planners?

I didn't go to a financial planner but, I needed some professional advice and thought some type of professional person would be able to help me out. So, I went to a CPA. A really nice guy!

I took him all the history of my financial assets and breakdowns of what was what and where it was. I asked him to advise me, as to how I could do a better job with my investments,; how I could perhaps save on taxes,--- etc.

Just being curious, after I thought we were on the same page, I asked, How Much will you be charging for your services? He said, Aawww, we'll work something out!

About two weeks later, I called his ofice, to see if he had come up with a foolproof plan, to guarantee me everlasting financial security. Yeah, he said, come by and pick it up!

So, quicker than a gar can skin a minnow, I was in his office.-------- To get a copy of the information, I had given him already, printed on the back of a pre used copy of another document. His professional analysis: " Looks fine to me!"
$90.00 bucks please!!


A financial planner would have probably charged $200.00, for the same fine service. Unless I wanted them to handle my entire my entire financial portfolio, which they would gladly do, for 1.5% per year.

I walked out, marveled at their nice offices and the Hotties serving cofee to us Redneck illiterates and said "See Ya'll, Have a nice day."

I'll keep it in a sock,---before I discuss my assets with a financial planner!
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Re: Why Does this Forum Distrust Financial Planners?
Old 11-25-2005, 06:59 PM   #38
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Re: Why Does this Forum Distrust Financial Planners?

My gar can skin faster than your gar*
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Re: Why Does this Forum Distrust Financial Planners?
Old 11-29-2005, 12:13 AM   #39
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Re: Why Does this Forum Distrust Financial Planners?

12 years ago I went to see my first financial adviser with Citibank HK. Since then I have had many encounters with financial advisers(different banks in different countries) , I can tell you I do not just dislike them- I hate them.

I saw an ad. of the LM mortgage fund in the Age which said there is no entry and exist fee. I called their office somewhere in Australia and told them I am an overseas resident currently residing in Melbourne. They then somehow asked their rep. in HK to call me back and this Aussie in HK told me I have to go through an advisor. I then asked this lady on the phone why will I need an advisor, is it that they do not think I am capable to fill out the application form on the internet............................

Crazy people!!!!!!!!!!!!!!!

Another time I met an investment manager in HSBC who do not even know what company is CITIC. She was rather young and nice looking, so I forgive her.
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Re: Why Does this Forum Distrust Financial Planners?
Old 11-29-2005, 09:20 AM   #40
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Re: Why Does this Forum Distrust Financial Planners?

Quote:
Originally Posted by Sundance Kid
I didn't go to a financial planner but, I needed some professional advice and thought some type of professional person would be able to help me out. So, I went to a CPA. A really nice guy!

His professional analysis: " Looks fine to me!"
$90.00 bucks please!!


A financial planner would have probably charged $200.00, for the same fine service. Unless I wanted them to handle my entire my entire financial portfolio, which they would gladly do, for 1.5% per year.

I know a CPA in my town that does the same thing, but he charges $1500 and gives you a pretty printout of what you have. And he says up front, he is not an investment advisor and can't help you pick investments. I am not clear what he does.
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