Have you ever had a financial advisor, someone who knew what they were doing, offer an investment that cost you money? Only ten years ago, investors were buying mortgage-backed securities, offered as safe. Today, we are only just learning the damage done by Bernie Madoff to people that work for a living.
They say that hindsight is 20/20…
Anyone who can read the Dow Jones, or a balance sheet, could see that these people were pursuing unsafe practices. Sadly, the average 401(k) or IRA investor does not know how to read a financial statement. Instead, they were left so frustrated when they learn the truth about their retirement that the overwhelming shock is so frustrating, leaving them leaning against the closed door to their office, silently screaming.
Will you choose a better advisor, one who is proven, to watch out for your interests?
For your financial safety, ask for your advisor’s investment portfolio. Be wary of these specifics:
- Avoid commission-based investments. Brokers that sell these to their clients, reap 4% to as much as 7%. They must sell you products again and again in order to keep getting paid.
- Look for Fidelity’s “Institutional Funds Network” with 1,000s of choices in 400 fund families. These no-load funds mean no fees when investments are bought or sold.
- Some advisors have only just started. Ask if they have a Certified Public Accountant (CPA) and Certified Financial Planner (CFP) designation. Ask the date they began work in financial services.
Use these minimum acceptable criteria to stay away from scary and expensive heartbreak.
Want to learn how Commission-Free Financial Service works?
Save your latest 401(k) or IRA statement, click here and invite me to share our booklet “Take Control of Your Money.”