POSITIVE experience with advisor?

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germark
Posts: 43
Joined: Thu Sep 06, 2018 2:18 pm

POSITIVE experience with advisor?

Post by germark » Mon Feb 11, 2019 4:23 pm

This forum is generally pretty against people hiring financial advisors.

I thought it would be nice to hear the opposite: stories of people who hired financial advisors and had a positive experience with it.

So if this sounds like you, please consider replying and sharing your story!

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dougger5
Posts: 304
Joined: Fri Nov 27, 2015 11:58 am
Location: Not far from Malvern

Re: POSITIVE experience with advisor?

Post by dougger5 » Mon Feb 11, 2019 5:36 pm

I found a fee-only advisor for my mother in order to help get her finances in order after my father passed. We worked with her for about a year, during which time she helped me convince Mom to move her portfolio from Morgan Stanley to Vanguard, change her AA to introduce a FI allocation, update her will, and establish a trust (under which the portfolio moved).

The work on her portfolio is well within my ability to have done. But I was up against the "Powdered Butt Syndrome."*

The legal bits needed for the trust and estate planning bits are outside my area, so that was of particular value.

Once we felt we were on course, we parted ways with the CFA amicably.

There are still issues with her portfolio, but at least it's now in a place where I don't have to call some MS rep if she decides to do more with her holdings (I'm an authorized agent for her account).

*Powdered Butt Syndrome. For those unfamiliar, it's the condition whereby if they powdered your butt as an infant, there is less likelihood of them taking your advice :)
"I've been ionized, but I'm okay now." -Buckaroo Banzai

retiredjg
Posts: 35078
Joined: Thu Jan 10, 2008 12:56 pm

Re: POSITIVE experience with advisor?

Post by retiredjg » Mon Feb 11, 2019 5:50 pm

I am one of those who grew up knowing essentially nothing. I did know not to sell in a market downturn. I knew to hold both stocks and bonds. Those two things were all I knew for the 30 or so years before I arrived at this forum.

I had several advisors over the years (Ameriprise) as I moved from place to place. None of them were really bad or predatory. One made some good suggestions (you need disability insurance which I did buy) and none tried very hard to sell me an unneeded annuity. Mostly, they just kept what I brought to them without making a lot of changes. Knowing what I know now, that was probably because I was a little fish.

They all sold me funds with loads (usually about 5.5%) and high expense ratios and high tax costs. Not a one suggested any fund that was tax-efficient. Not a one suggested a fund that was low cost. Not one suggested a fund without a load. I don't think they even sold index funds at that time.

I did OK I guess. That's a pretty positive review compared to some I've read here. I would have done better had I become a BH many years earlier, but I was too busy with work and life. My fault, not theirs.

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