Lots of people trusted this man with their money, but more on that later …
First, I want to tell you about The Finance Buff who wants to offer you personal finance advice … he also wants to know how much you’re prepared to pay, claiming that there’s an under-serviced market here for inexpensive, unbiased personal finance advice:
Usually an under-served market exists when there is a big gap between what customers are willing to pay and what it costs to produce what they want. I suspect that’s the case in the financial advice market.
[But,] I’m willing to help others with their personal finance questions. I don’t necessarily have to make much money from it (my full-time job covers my living expenses), but I do want to at least cover my cost of regulatory compliance and liability insurance.
With most things, you pay peanuts and you get monkeys …
… and, that may be the case here:
I am not a financial advisor. I do have personal opinions, sometimes strong, ignorant, or biased. Everything you read here on this blog is the author’s personal opinion, not financial advice. I am by no means an expert on anything. I don’t intend to mislead, but my facts, figures, and calculations can be incomplete, inaccurate or plain wrong.
Of course, that’s just his legal disclaimer … because, after reading the quality of The Finance Buff’s blog, that may not be the case at all … it could indeed be quality financial advice at a bargain price! 🙂
On the other hand, looking for a top-of-the-town advisor and paying the commensurate high price may not get you the kind of quality financial advice that you would expect, either.
Alberto Vilar [pictured above], 68, co-founder of Amerindo Investment Advisers, faces up to 20 years in jail after being found guilty on all 12 counts of fraud and money-laundering against him. Hailed as heroes by their clients, they made fortunes for themselves in management fees. [But,] their fortunes plummeted at the same time as the dot-com bubble burst. They were arrested in May 2005 after a client, heiress Lily Cates, claimed they had stolen $5 million from her.
Price [does not equal] Quality when it comes to personal financial advice.
For that reason, I don’t recommend that you put your money into the hands of any advisor; in fact, I recommend that you do not seek a personal financial advisor at all … rather, you should look for a personal financial mentor.
There is a difference:
1. one who gives advice.
2. Education. a teacher responsible for advising students on academic matters.
3. a fortuneteller.
1. a wise and trusted counselor or teacher.
2. an influential senior sponsor or supporter.
Would you rather trust your financial future to the book-learned “fortuneteller” who will promise to give you a bucket-load of fish …
… or, would you rather trust it to yourself, with the support of the self-made “wise and trusted counselor” who will teach you to fish?
[ AJC: There is another difference: a true mentor won’t ask you to pay for anything more than a lunch or two 😉 ]
Whether you are looking for an advisor, or a mentor, or you don’t care which because you think the difference is moot, after satisfying yourself of their integrity and character, here is what I would look for:
1. If I know my Number and Date, then I would look for a mentor who has made 10 times as much in about half the time, and
Choosing an advisor and/or mentor by asking these typical ‘financial advisor double-speak’ questions can’t do you any good; you see:
They can’t be aligned with the way you think … instead, they need to be aligned with the way you want to think.
I’m having a hard time finding advisors and mentors who can move me to Making Money 301 (protecting my wealth) … now do you see why?