Wall Street is Not Your Friend
Banks, brokerage houses and insurance companies regularly make the news for reasons they wish they hadn't. This type of thing is inevitable when dealing with massive corporations and their inherent conflicts of interest. If you'd like a better way to manage your finances, you might appreciate working with an independent registered investment advisor. Learn how a fiduciary relationship with a fee based financial planner helps build trust and avoid conflicts of interest.
The problem is it isn't just the big scandals that hurt investors. It is the way financial advisors conduct business as salespeople that is a problem. Their job is to sell you something. If one product pays a 1% commission and another is appropriate and pays a 5% commission, which do you think they are recommending? As long as they can say what they sold you is "appropriate" it doesn't matter that they could have done better by you.
I set my firm up as a registered investment advisor to avoid these exact conflicts of interest. My company does that in two ways. First, I operate using a fiduciary standard meaning I have a legal obligation to do what is best for you, not just appropriate. Second, my work is fee based with no commissioned products. This keeps costs low and transparent while also aligning our goals.
There is a political battle going on over whether financial firms are forced to use a fiduciary standard. Think about that. They are so set against having to do what is best for their clients that they will pay big money to lobby against it. My guess is that even if there are legal changes the big firms won't change how they do business. They'll just hire more lawyers, put in more fine print and can claim that you really needed that high commission product.
The stock market is a great way to build wealth over time. Navigating it can be tricky unless you have the help of an expert. I believe you'll be better off working with the expert committed to your best interests rather than the one lobbying for the right to sell you expensive products.
If you like the idea of working with a trusted expert give me a call. You might like working with me because I'm on the side of charging less and doing what is best for you.
Investments contain the risk of loss. Before implementing any investment strategy, you should consult with an expert to look at the details in your financial situation.