Looking for an IFA - I will pay 5% maybe 10%!

fairleads

Meeper wrote: »

Interesting analogy. Inaccurate as it doesn't take into account years of qualifications and technical know-how, and once again is an over-simplification of the work done.

Good try though. Someone will do our profession justice one of these days.

But in truth you (collectively, not personally (maybe just a bit tho')) are your own worst enemy. And until you guys (and Gals) clean up your act its probable that you are indeed getting the justice you strive for.

Lokolo

IronWolf wrote: »

I can understand if people are rich and work long weeks why they would want a lot of helpers.

I have some banker friends, they pay for their apartment to be cleaned, pay for people to clean and press their shirts, just because they have such little free time they don't want to waste it doing boring things like that.

I like to pick my own stocks but can't deny it takes a lot of effort, you can't take shortcuts or not put the time in or you could end up with some bad investments.

I don't think that's limited to finance though! As you say, you pay someone to clean your apartment - if you don't take the time and effort to understand what they are actually doing - you could end up paying for crap!

darkpool

gadgetmind wrote: »

However, I don't think darkpool was suggesting people DIY to quite this level, more that a whole load of trading goes on.

yeah, that's what I meant. most people here would suggest a share based investment should be held for a bare minimum of 5 years. yet you look at the shares traded on the LSE and it shows the average share is held for a lot less than 5 years....

i've got some figures for the most boring "buy and hold" shares i could think of.

Glaxo: free float 5.06 billion shares, average shares traded 7.7m, hence average holding is 660 days.

Sainsbury: free float 1.67 billion shares, average shares traded 5.6m, hence average holding is 299 days.

National Grid: free float 3.51 billion shares, average shares traded 7.9m, hence average holding is 443 days.

I reckon there are about 220 trading days in a year. So on average shares in NG are held for two years. A lot of shareholders will keep their shares for decades. So....

A lot of Unit Trusts must be churning their holdings.....

darkpool

Meeper wrote: »

There's that big wide broadstroking brush again. Doing all you can to take money away from clients is not good business. Why would clients stay with you and make recommendations for you to their friends if all we're concerned about is screwing them over? Your logic is flawed. Of course, there are some bad apples. I might even be pushed to say "a lot", but certainly not all. Not any more - the profession is changing and is not what it was in the last 20 years. People blindly stating "you're only out to make as much money as you can, all of you advisers!" really need to understand what is going on in the industry. If you can't be bothered to educate yourself on the CURRENT state of it rather than being stuck in your 1990's prejudices, don't bother posting.

let's face it though, most people in the UK know so little about money management they wouldn't know if they have been shafted by an IFA. Also customers might not realise they have received bad advice for another 20 years.

why not google "IFA misselling" and see the more recent IFA scandals? You might learn something.

I don't think it's up to you to decide who posts.

darkpool

Ark_Welder wrote: »

Incoming......!!!

http://www.trustnet.com/News/Research.aspx?id=264148

The source of that study was FE analytics. Correct me if I'm wrong, but do they not sell data to IFAs? You think their study is inpartial?

I think the article below is widely regarded to be true.

ETFs were originally designed, at least in part, to combat what Vanguard founder John Bogle has called the "tyranny of compounded costs." For investors who believe that security selection fails to consistently add value -- and there is a boatload of academic evidence that supports that theory -- paying for pricey, active management does little more than erode returns over the long run.