Comments on: Say No to Yes Man Financial Advisers http://toughmoneylove.com/2010/03/12/say-no-to-yes-man-financial-advisers/ The Hard Truth about Money and Personal Finance Fri, 24 Feb 2012 15:57:47 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Evan http://toughmoneylove.com/2010/03/12/say-no-to-yes-man-financial-advisers/comment-page-1/#comment-7556 Evan Mon, 15 Mar 2010 15:37:50 +0000 http://toughmoneylove.com/?p=5399#comment-7556 I actually just wrote a post defending all financial planners: http://www.myjourneytomillions.com/articles/hate-financial-planners-defending-financial-advisors/ TML & MasterPo, While you guys are clearly smart enough to handle those tasks performed by a financial planner not everyone is. Not everyone can grasp topics such as asset allocation, share types, protection contracts....hell, most people in America, fail to grasp the spend less than you earn concept lol. The fee vs product payment schedule doesn't really make sense to me either. If you are investing $100/month, or even a $1,000 a month in steady chunks (or even if you were to drop in a $100,000) it is likely that the fee would end up costing you more depending what type of shares you were buying. It is just as easy to rip someone off if it is a fee based relationship. I actually just wrote a post defending all financial planners:

http://www.myjourneytomillions.com/articles/hate-financial-planners-defending-financial-advisors/

TML & MasterPo,

While you guys are clearly smart enough to handle those tasks performed by a financial planner not everyone is. Not everyone can grasp topics such as asset allocation, share types, protection contracts….hell, most people in America, fail to grasp the spend less than you earn concept lol.

The fee vs product payment schedule doesn’t really make sense to me either. If you are investing $100/month, or even a $1,000 a month in steady chunks (or even if you were to drop in a $100,000) it is likely that the fee would end up costing you more depending what type of shares you were buying. It is just as easy to rip someone off if it is a fee based relationship.

]]> By: MasterPo http://toughmoneylove.com/2010/03/12/say-no-to-yes-man-financial-advisers/comment-page-1/#comment-7547 MasterPo Sat, 13 Mar 2010 03:57:13 +0000 http://toughmoneylove.com/?p=5399#comment-7547 I don't trust planners in any form. :-( I don’t trust planners in any form. :-(

]]> By: Paul Williams http://toughmoneylove.com/2010/03/12/say-no-to-yes-man-financial-advisers/comment-page-1/#comment-7544 Paul Williams Fri, 12 Mar 2010 17:20:45 +0000 http://toughmoneylove.com/?p=5399#comment-7544 Ha! I'm a fee-only financial planner, but I don't do that. If people come to me with that kind of stuff, I tell them what I really think. But I don't always do the things that will make me the most money either. That's a fault of being honest. If you go to a planner and he doesn't do much for you, why would you go? Either he should affirm what you are doing and provide clear, concrete reasons for it. Or he should tell you what you can improve and why. Too many of the fee-only planners are guys who switched from commissions and still have that mindset. Not all who made that transition still act that way, but many do and its evident in the advice they give. This brings up a good point to challenge your advisor. You have to trust him to some point, but you should always ask for a clear explanation if you don't understand the why. Ha! I’m a fee-only financial planner, but I don’t do that. If people come to me with that kind of stuff, I tell them what I really think. But I don’t always do the things that will make me the most money either. That’s a fault of being honest.

If you go to a planner and he doesn’t do much for you, why would you go? Either he should affirm what you are doing and provide clear, concrete reasons for it. Or he should tell you what you can improve and why.

Too many of the fee-only planners are guys who switched from commissions and still have that mindset. Not all who made that transition still act that way, but many do and its evident in the advice they give.

This brings up a good point to challenge your advisor. You have to trust him to some point, but you should always ask for a clear explanation if you don’t understand the why.

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