Financial Industry think their clients are "muppets"?

darkpool

thanks for another great post cloud dog!

tbh when i deal with most tradesmen/ window cleaners etc i get the impression they are mostly decent people who do a fair days work for a fair days pay. however it seems these goldman boys hold their clients in contempt.

certainly when people post their experiences of dealing with IFAs/ FAs here there does seem to be a lot of questionable advice being given to clients. or are you one of the people that thinks a 15 year bond with 3% annual fees is a good investment? or how about the UTs with the 2.7% annual fees?

How much do you think a window cleaner could overcharge someone anyway? i'd imagine it would be a lot less than IFAs get in trail commission for flogging some investment to a punter 20 years ago.

Jegersmart

talexuser wrote: »

I'm not at all surprised the "vampire squid" thinks that. However to tar the entire industry with that brush you might as well say that because Madoff ran a ponzi scheme the whole industry runs nothing but ponzi schemes.

Well, actually this is pretty much what happens to be honest. Sure, there are exceptions but generally the system is quite similar.

J

Jegersmart

GeorgeHowell wrote: »

The former Goldman Sachs employee may well have a chip on his shoulder, as has been suggested. But can anyone be surprised at what he says, or have difficulty in believing it ?

I have little empathy with individuals who pitch tents in public places etc, but the likes of Goldman Sachs certainly appear to feed the grievances of the anti-globalisation and anti-capitalism lobbies. In my view it was in the course of trying to emulate them, as the industry leader, that the disasters in banking, and particularly investment banking, that led to the 2008 crisis occurred. Goldman Sachs were of course so good at it all that they survived when some of their competitors sank.

I notice also that yet again when faced with any criticism whatsoever of any part of the financial sector, some of our resident FAs "protesteth too much". If the cap fits, wear it.

This is very naive and misinformed. GS got help in many places to survive - a lot of the people at the Fed and other institiutions are ex GS and vice versa. GS got paid 100 cents on the dollar on their CDS's at AIG and the taxpayer footed the bill. There are many other examples, please ensure that you do some research before writing stuff like this, also on how the system works. I am happy to discuss this in more detail, and I don't mean any offence - but seriously....

J

Jegersmart

To everyone else in this thread who seems to have taken the chance to air their own unrelated opinions by calling others "muppets" for a myriad of totally irrelevant reasons I would like to say that some serious debate on the subject of banks, financial system and so on should be taken seriously instead of some very weird "points-scoring" exercise that seems to be taking place.....

J

dunstonh

I would like to say that some serious debate on the subject of banks, financial system and so on should be taken seriously

It's a darkpool thread. You dont get serious debate on those.

It would be lovely to have a decent debate but those with anti-IFA agendas will just pile in with the abuse making false allegations, then a flame war takes place and the board removes the thread. You just have to see how this one turned anti IFA despite not one IFA posting on the thread (until now) and the subject having nothing to do with IFAs. (the board of course has already removed loads of posts from this thread).

cloud_dog

darkpool wrote: »

thanks for another great post cloud dog!

Thanks for your kind words......... very decent of you

darkpool wrote: »

tbh when i deal with most tradesmen/ window cleaners etc i get the impression they are mostly decent people who do a fair days work for a fair days pay

.......

How much do you think a window cleaner could overcharge someone anyway? i'd imagine it would be a lot less than IFAs get in trail commission for flogging some investment to a punter 20 years ago.

I think you are being a tad naive.

Example........ I needed to call out a CORGI (or whatever it is now) engineer to look at my combi-boiler. When I received the bill he had stated he worked on the boiler for 1.5 hours, he was in my house exactly 35 mins. Took loads of calls to eventually get them to accept he was pulling a fast one.

Took the wifes car in ot the dealership to get the front disks replaced (they were warped). Got it back and all they had done was replaced the pads but had charged me for the disks also.

You carry on riding your high horse.

Jegersmart

dunstonh wrote: »

It's a darkpool thread. You dont get serious debate on those.

It would be lovely to have a decent debate but those with anti-IFA agendas will just pile in with the abuse making false allegations, then a flame war takes place and the board removes the thread. You just have to see how this one turned anti IFA despite not one IFA posting on the thread (until now) and the subject having nothing to do with IFAs. (the board of course has already removed loads of posts from this thread).

Why have posts been removed? Obscene language?

darkpool

cloud_dog wrote: »

Thanks for your kind words......... very decent of you

I think you are being a tad naive.

Example........ I needed to call out a CORGI (or whatever it is now) engineer to look at my combi-boiler. When I received the bill he had stated he worked on the boiler for 1.5 hours, he was in my house exactly 35 mins. Took loads of calls to eventually get them to accept he was pulling a fast one.

Took the wifes car in ot the dealership to get the front disks replaced (they were warped). Got it back and all they had done was replaced the pads but had charged me for the disks also.

You carry on riding your high horse.

fair enough, you will always get some people pulling a swift one. but how much money are you talking about for a corgi hour and some disks? 500 pounds? when did these things happen? recently or a few years back?

how much does a fairly normal couple with 500k in investments pay in fees? maybe 10k a year? and for that 10k they don't seem to get much in return.....

darkpool

dunstonh wrote: »

It would be lovely to have a decent debate but those with anti-IFA agendas will just pile in with the abuse making false allegations, then a flame war takes place and the board removes the thread. You just have to see how this one turned anti IFA despite not one IFA posting on the thread (until now) and the subject having nothing to do with IFAs. (the board of course has already removed loads of posts from this thread).

it seems to me that whenever someone posts evidence that the fund management industry does not add value for consumers the IFAs response is to shout "troll". or they mention the names of a few funds that have done well.

Neverland

dunstonh wrote: »

....
It would be lovely to have a decent debate but those with anti-IFA agendas will just pile in with the abuse making false allegations...

There is no debate the maths speaks for itself, those howling communist loonies from the bowels of the internet Which? say:

The threat posed to your returns through high charges can be very dramatic. Research from Which? shows that if you invested £10,000 in a fund with no charges, and it grew by 6% annually for 20 years, you’d get a return of £32,071 – just over £22,000 growth.

If you invested in a fund with the industry average TER of 1.67%, your return would be reduced to £23,344 – meaning £9,000 of your growth goes on charges. If the TER was 2.5%, £12,000 would be paid out in charges. That’s not even factoring in the portfolio turnover rate costs.

Read more: http://www.which.co.uk/money/savings-and-investments/guides/different-types-of-investment/are-fund-charges-eating-into-your-returns/#ixzz1pf3hK8UP
Consumer Champions Which?
Under Creative Commons License: Attribution Non-Commercial

You love to variously call people who point this out trolls, lunatics, the unemployed in bedsits, immature and even accuse us of losing our wives to some virile IFA in a BMW :rotfl:

The simple fact is: we don't like people being ripped off