I'm tired of my financial advisor effing up my investments, so as soon as I find someone who will absorb the cost and trouble to transfer it all over, I'm changing horses. Any recommendations of firms to go with? Does it all depend on the individual advisor? I'd like to hear your thoughts on switching.

 

I know a good guy from Edward Jones: Gord Newell. I've not used him yet, but he has some pretty good ideas for non-RRSP type stuff.

 

Thanks, Anthony, I may look him up or PM you for his co-ordinates. He's going to have to have more than good ideas, of course, he's going to need a track record of success and multiple references.

 

If you're not happy with your performance then definitely switch. Many people wait too long or never leave and regret it for years. Just take the time to find the right solution though. Finding the right individual is the key although a good firm has an impact as well. Some firms push their own mutual funds for internal/commission reasons even though they may be poor performers and/or have high ManagementExpense Ratios. Investors Group is commonly known for this although certainly not alone.

You need to find some people you trust who are happy and get the name of their adviser.Then interview 3-4 of these people the same way you might screen a job applicant concentrating on their overall longer term client performance and style you're comfortable with. If you can find a fee for service adviser you will get unbiased advice and pay an hourly fee or one that is a percentage of your portfolio. Here is a good place to start some research.
http://forums.canadianbusiness.com/search!execute.jspa?dateRange=last90days&q=fee+for +service

Carefully consider all of the costs of switching by seeing if you have DSC funds - back end or front end. Your current portfolio can often be switched "in kind" with little or no cost and you can then collaborate with someone new on selecting more appropriate asset mix and investments.

Finally you should seriously consider the "couch potato" portfolio for the best returns, lowest costs. Here's more info. http://www.canadianbusiness.com/my_m...05_152254_1452

Send me a PM if I can help further.

 

^^^ Awesome, Deane, I figured you'd have some good advice, you always do. Very much the approach I had in mind. I didn't know about the fee for service thing, I will look into that.

 

+1 Deane, well put.
I've been through a few including a couple of horror stories.
I have one now that completely turned things around for us.
You have to watch what Deane mentioned about various firms,
but it ultimately comes down to the person and building a trusting relationship.
Don't accept escuses, don't give them too much rope & don't wait too long to pull the plug on them.

Good luck!
A good FA is worth their weight in gold; literally!

 

^My pleasure Wayne. I could tell from your reply above mine that you knew what you were doing and looking for. Fee for service is just another option. This might help your search as well. http://www.advocis.ca/content/find-ad-form.aspx

So many of these people are just mutual fund salespeople and not really "financial planners". Definitely look for a Certified Financial Planner or a Chartered Financial Planner designation. I got part way through mine just for my own personal interest. Maybe some day I'll finish it.

 

Thanks Ian. You're spot on and I'm glad to hear of your success story. Many of us have been down that horror road. Fortunately some of us recognize it and course correct with someone else or like in my case... DIY.

 

Depending on how much money you have to invest they have excellent managed programs. Model portfolios are based on your risk/objectives ect. The programs are fee based and they are negotable depending on the amount of money your investing (usually 1.5-2.5%). You would probably need a minimum of $150K. Every bank has a different name for them but they are mostly the same.
Nick

 

Swivelman,

I am sorry you're having problems w/ your FA. I too was a victim of an advisor who didn't know what he was doing. Try Fidelity Investments.

I was lucky enough to find a great one, I have my investments w/ Fidelity. Before I brought my investments w/ my current FA, she wanted my business and I told her the only way I'll trust and transfer my business is if she gives me something for free. She reviewed my portfolio, gave me her free advice, I followed it and saw my investments go up significantly within 3 months.

That was 10 years ago and I haven't left her since.

Good luck.

 

True. I know RBC and TD are two well regarded ones. One major benefit is the advisor gets paid on the actual value of the plan so growth is their motivator versus switching investment buying/selling etc. What you usually also get is some real "financial advice" such as an actual plan, goal setting etc. that goes along with managing your portfolio.

This one set fee is becoming a much more common approach.

 

Thanks guys and girls, much appreciated. I have and will continue to have individual stocks, a few mutuals, bonds and strips, sadly a couple of income trusts, and other various vehicles, so I'm well-diversified and managing my portfolio should pique the interest of a decent FA. If I can get some time set aside, I'll interview a couple bank-based ones (thanks for the recommendations) plus some specialty advisor firms.

 

^good stuff Wayne. I've got some income trusts too that I picked up after the Halloween trick. I'm very happy with them.

 

Our company has just recently hired a financial planner ex of TD Canada Trust. I can ask her for a recommendation - maybe for my own use.