That's some great advice to both me and the original person. I am familiar with putting lipstick on a pig! I love that term. That and "Hogs get slaughtered!"
Thanks,
Bob
That's some great advice to both me and the original person. I am familiar with putting lipstick on a pig! I love that term. That and "Hogs get slaughtered!"
Thanks,
Bob
For clarification, I work for an insurance company. The SEC licensing is to sell their life insurance products.
Many of of the posts were on target, ie; the LAW and COMPANY POLICIES are two different things. The company is the Broker/Dealer and they have to provide the bonding. Regardless of the law they won't bond someone with a BK.
The bottom line is I am producing and they aren't going to let me go. However, since I can't qualify for their bonding I'm not a full fledged employee and my book isn't really mine.
I think you'll find that your book is NEVER really yours.
[quote=usedbranflakes;209622]That's some great advice to both me and the original person. I am familiar with putting lipstick on a pig! I love that term. That and "Hogs get slaughtered!"
One more thing to consider when choosing to use a stockbroker or a registered investment advisor is that a stockbroker does NOT have to give you advice that is in your best interest. Yes, that's true...he or she is not legally obligated to do so. On the other hand, a RIA is a fiduciary that is legally obligated to work in your best interests 100% of the time. An advisor's feet are held to the fire for not only what he says to you but what he DOESN'T say to you.
To cloud the issue, stockbrokers are now being pressured by their firms to obtain the RIA license but that is so they can sell the packaged product called "managed money."
Here is the kicker (as the pig puckers up): A stockbroker sometimes is dealing with the customer in the role of a stockbroker and other times as an investment advisor. If the broker is recommending his company's latest hot trendy mutual fund (or some other packaged product that he's being pressured to sell) he is NOT acting in a fiduciary capacity, and thus does not have to give you advice that's in your best interest.
Choose an INDEPENDENT registered investment advisor that works ONLY for management fees AND who does NOT accept any other form of compensation - especially "trail fees" from mutual funds, money market funds, and other sources - from any other source.
Just ask the advisor: Do you receive any other form of compensation from any other source other than management fees from your clients? If the answer is "yes" then there is a clear conflict of interest, period.
Some advisors charge quarterly asset-based management fees + they get a cut on trade commissions + they receive trail commission on packaged products like variable annuties, mutual funds, and other products. It's legal AS LONG AS they disclose it to you in writing.
I could go on and on and on...but I won't. I hope this helps.