Updated Friday, December 19, 2014 as of 3:14 PM ET

Employees vs. Independents

At a recent dinner at a friendís house, I was introduced to a business owner who had just sold his company for $7 million dollars. The newly wealthy gentleman, letís call him ĎDave,í confessed that he had no idea how to get started investing his money. He wanted to know how advisors get paid, along with the differences between the firms and their relationships with their advisors. In other words Dave, like so many other neophyte investors, was in need of a primer on the wealth management industry, its peculiar lingo and how it works.

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Comments (4)
Good 'fake' conversation to put our business in perspective. It's informative for someone who wants to learn about the structure of our industry, however the headline doesn't fit the article. There is no mention of CFPs... but I guess we don't want a content to get in the way of a catchy title ;)

How many readers who don't already understand the structure of our industry read articles in this publication? Might this be better suited for Money magazine or Readers Digest?
Posted by Don G | Thursday, July 03 2014 at 8:32AM ET
I wonder where the CFP was going to come in. You talked about the fiduciary responsibilty part and then never tied the CFP to that higher standard and why that is so important.

The article should have the headline " Advice for the clueless investor"
Posted by Brad m | Thursday, July 03 2014 at 9:30AM ET
I appreciate the comments. Headlines are written by the "Editors" so I'll make sure that they understand that by being clever and catchy, they can also be misleading.

My point to the advisors who read this is to highlight how confusing the models are to many investors who are seeking advice.
Posted by Danny S | Thursday, July 03 2014 at 9:49AM ET
Danny, you are a sophisticated recruiter and responsible for what is written both above and below your byline. I suspect the CFP Board will be in touch.
Posted by Edgar P | Thursday, July 03 2014 at 10:48AM ET
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