Pay very special attention to this documentary if you are not a sophisticated investor. The reality is most financial advisors are NOT very educated about the financial markets themselves. I had a bad experience myself with a dumb financial advisor at a major Canadian bank.
The majority of financial advisors have no idea about market timing and they usually are just salespeople wanting to sell you financial products so they can collect either commissions or residual income as long as you keep your money in the investment vehicle they recommend.
Just before the 2007-2008 financial crisis / crash many retirees said that financial advisors were recommending they keep money in equities or stocks. They say things like invest for the long-term , employ “buy and hold” strategy. The result was that a large portion of retirees or people almost about to retire lost 30-60% of their retirement savings.
Remember, financial advisors are NOT technical market traders, so they have no clue of market timing. In short they don’t understand or know how to read intermediate to long-term charts.
So, if pays to be safe and educate yourself as much as possible before talking to financial advisors so you don’t get duped. Be especially careful when they don’t discuss fees and also when they plow you with talks of huge percentage returns.
by Das Brain
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Tags: CBC Marketplace, Documentary, Financial advisors, Hidden camera, information, investigation, Warning
