High-Net Worth Investors Not Keen on Index Funds

[unclemick]

Hmmm:

1. I'm with Bogle - you get what you don't pay for.

2. I don't ask my doctor(HNW) for investment advice.

3. I suffer from the white coat syndrome - so sometimes I ask my doctor what he invests in - it usually gets me laughing so hard it lowers my bp 20 points or so.

heh heh heh - I get itchy if I don't post once in a while. . In a lot of cases - hiring an investment advisor is a lot like joining the country club, having a status luxury car or McMansion - they believe that is what they are supposed to do.

 

[cute fuzzy bunny]

3. I suffer from the white coat syndrome - so sometimes I ask my doctor what he invests in - it usually gets me laughing so hard it lowers my bp 20 points or so.

Thats happened to me a few times too. Last one harumphed when I told him where I was invested... "MUTUAL FUNDS?!? Harumph". Then he told me that most of his money was in b33ver ch33se. No...really.

 

[audreyh1]

they're not going to read a book and start moving $5 million around..........

Some most definitely will. Taking a look at how much a 1% cut of $5M is and it's easy to get motivated to read a couple of books and study a couple of websites.

Audrey

 

[saluki9]

Some most definitely will. Taking a look at how much a 1% cut of $5M is and it's easy to get motivated to read a couple of books and study a couple of websites.

Audrey

Find me an advisor charging 1% on a $5M relationship and I will show you my new personal hero.

Those accounts solicit much more price competition.

 

[heyyou]

Wm Bernstein wrote that richer people had much greater opportunities to lose money since the variety of poor investments were broader and more sophisticated.

 

[FinanceDude]

Find me an advisor charging 1% on a $5M relationship and I will show you my new personal hero.

Those accounts solicit much more price competition.

Most $5 million accounts are competed on for a 30-50bp a year level........

 

[FinanceDude]

Some most definitely will. Taking a look at how much a 1% cut of $5M is and it's easy to get motivated to read a couple of books and study a couple of websites.
Audrey

Outside of the millionaires on this board, doubtful. Most people on this board won't even CONSIDER DFA unless they could get it for under 10bp +ER with an advisor at their beck and call..............