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Is your financial advisor stealing from you?

Original source

What are some signs that your financial advisor is stealing from you?

  • They don’t provide timely statements of activity on your account.
  • They give you excuses if you want to move money around.
  • They can’t explain withdrawals from your account.
  • They can’t provide third party account statements to support internally reported information.
ISSUES
Deceptive Practices

Related Horror Stories

Is your financial advisor stealing from you?

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What are some signs that your financial advisor is stealing from you?

  • They don’t provide timely statements of activity on your account.
  • They give you excuses if you want to move money around.
  • They can’t explain withdrawals from your account.
  • They can’t provide third party account statements to support internally reported information.
Read more
ISSUES
Deceptive Practices

Are all financial advisors shady??

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I've had a real issue with the "financial advising" industry for quite sometime.

It's all 20 somethings trying to sell you some insurance product. They do this because they are commission based so the incentives aren't oriented to the clients best interests, especially if the client is just starting out in their financial journey.

I'm not sure if it gets any better as you get more wealth either, as they lump you into an AUM based product and the service is some annual/quarterly review even though the advisor hasn't been focused on your portfolio because of the commission based incentives.

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ISSUES
Deceptive Practices

The “My Products Don’t Have Fees” Advisor

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This is the kind of guy that I don’t actually want to punch in the face; I’d rather just have a good chuckle with him. One time, I was competing with another advisor who was offering a fixed annuity as their only investment solution. They were a pure insurance agent, and apparently, that was all he could offer.

When the client chose me as their advisor over the insurance agent, they were not happy, to say the least. They were so disappointed in my client’s decision that they felt compelled to tell them (in a condescending tone) that their products had no fees, whereas mine did, and that they (my clients) were making a horrible decision.

No fees, huh? Well, yes, if you buy a fixed annuity that guarantees you 3%, you do get 3%. But for someone to use the argument that their products have no fees is ridiculous. There’s a fee for everything; there is no such thing as a free lunch.

Lesson learned: If your advisor tells you that their products have no fees, I would suggest you first prevent yourself from bursting into laughter. Then, kindly remove yourself and sprint out of their office.

Keep the case!

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ISSUES
Poor Communication
Deceptive Practices
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