Financial Advisor

gadgetmind

MarcoM wrote: »

I was told that it would be foolish for an investor to invest say 200k in a vanguard 80 20 fund as I would definetly get a better return via an IFA :doh:

Of course, that assumes that the IFA would have concluded that a 80% equities and 20% bonds split was best for the customer, and that the IFA couldn't have found a better platform, and that the IFA wouldn't have suggested many other ways that customer could manage their financial affairs.

I don't have a problem with IFAs generally, I just don't need them to handle my investments for me. Others might want the whole package.

doubleJackD

dunstonh wrote: »

But you ignored the evidence and the facts despite multiple people pointing it out to you.

I dont mind low knowledge clients. I just don't want those that prefer to remain ignorant.

tell you what, if you want to educate consumers why don't you start a thread that tells people why an IFA is worth 300 pounds an hour.

For the life of me, I don't understand how someone with a qualification way below degree level can justify it....

jem16

doubleJackD wrote: »

tell you what, if you want to educate consumers why don't you start a thread that tells people why an IFA is worth 300 pounds an hour.

Why do you continue to ignore what is being said?

£300 per hour is not the norm at all and has already been said so why would dunstonh find the need to justify it?

There are many reasons why someone would wish to use the services of an IFA. Lack of knowledge may well be one of them but this is rather different to "low knowledge".

However an open mind would be rather more useful than a closed mind in any business relationship.

gadgetmind

doubleJackD wrote: »

For the life of me, I don't understand how someone with a qualification way below degree level can justify it....

No-one has to justify what they earn as ultimately the market will decide what they are worth.

I paid a VAT adviser over £2k per hour for a two hour consult and they saved me about £225k. Money well spent. £300 per hour (and no, most don't charge that) for a few hours of advice that could improve my retirement plans would well be worth it.

If you don't like the price, keep your hands in your pockets.

cashbackproblems

You are being ripped off, 40k is a relatively small amount to be investing and certainly is not worth paying him 2k for it, it sounds like he has just suggested a name of a fund what else worthwhile is he actually doing!?

Open an account on HL and people on here will give you fund tips for free....Troy Trogan, Invesco Perpetual High Income, CF Ruffer, Aberdeen Emerging Markets, M+G global basics etc!!

markwilkinson

I know very little about the subject. I paid an IFA once, which was to do with a mortgage. Can't complain about the advice given and the work she did.

Having admitted I know jack all about IFA's I would say that Dunstonh seems decent. I havnt posted much in my time on MSE but I've read a lot. To my mind anyone prepared to have a go at giving basic advice, for free, is a good guy.

Listen to him.

jem16

cashbackproblems wrote: »

You are being ripped off, 40k is a relatively small amount to be investing and certainly is not worth paying him 2k for it,

It's not £40k though. It is £174k - pension of £134k plus portfolio of funds at £40k.

He's also been given the choice of paying 6hrs at £300 per hour which is £1800 or 1% of his funds which is £1740. However at this amount it really should be 0.5% as opposed to 1% so he could do better as has been said. The 0.5% should also be coming out of the bundled charge for the fund or being rebated if an explicit charge.

it sounds like he has just suggested a name of a fund what else worthwhile is he actually doing!?

Well his suggestion of a fund change has saved the OP 1.07% TER so far which is £1861.80pa. Both funds seemed to have performed similarily over last 3 years.

Open an account on HL and people on here will give you fund tips for free....Troy Trogan, Invesco Perpetual High Income, CF Ruffer, Aberdeen Emerging Markets, M+G global basics etc!!

You do realise that with HL's SIPP, the OP would be paying for the advice of an IFA and not actually getting any advice? That seems a poor deal to me.

innovate

jem16 wrote: »

You do realise that with HL's SIPP, the OP would be paying for the advice of an IFA and not actually getting any advice? That seems a poor deal to me.

How does that come about?

dunstonh

innovate wrote: »

How does that come about?

HL keep all the trail commission on their SIPP and dont rebate any. Their SIPP isnt great value for DIY as you are effectively paying the same for no advice as the average IFA would take for servicing advice.

innovate

ah right, thanks