tag:blogger.com,1999:blog-5465015914589377788.post1603226771324147577..comments2024-03-20T09:32:16.592-04:00Comments on Michael James on Money: Fun with Studies of the Value of Financial AdvisorsMichael Jameshttp://www.blogger.com/profile/10362529610470788243noreply@blogger.comBlogger7125tag:blogger.com,1999:blog-5465015914589377788.post-27720229943134503362020-11-03T07:34:16.777-05:002020-11-03T07:34:16.777-05:00The comment above is a reply to Promod's comme...The comment above is a reply to Promod's comment:<br /><br />Did you notice that on average people age 18-34 used advisors for fewer years than people age 65+ (page 3)? Perhaps 18 year olds would get better results if they used advisors for 20+ years :)<br /><br />Think of the resources that went into this study. At least the Private Sector Partners are shown (page 50).Michael Jameshttps://www.blogger.com/profile/10362529610470788243noreply@blogger.comtag:blogger.com,1999:blog-5465015914589377788.post-36969774273827265932020-11-03T07:33:13.173-05:002020-11-03T07:33:13.173-05:00The first reply above is to two comments from Larr...The first reply above is to two comments from Larry Elford Visual Investigations:<br /><br />-----<br /><br />Thanks Michael. Good comments. Here is what I posted about this study on my facebook group titled albertafraud.<br /><br />WOW! 51 pages of academic study called "THE VALUE OF ADVICE".<br />Notwithstanding that it was sponsored by financial industry stakeholders who earn billions by misrepresenting "product salespeople" as "professional advisors".<br />Notwithstanding that this academic failed to address even the differences between a (1) salesperson, (2) people licensed as advisor and (3) people NOT licensed but calling themselves "advisor" (see #1) and (4) portfolio manager. Here is how your money gets fooled every day. Buy an "academic" study. http://www.cirano.qc.ca/pdf/publication/2012RP-17_Presentation_Value%20of%20Advice.pdf<br /><br />-----<br /><br />Larry Elford The entire thing seems to not know, explain, or understand even the most basic premise………namely "what is the difference between a (1) financial products salespersons, and (2) a licensed and registered "advisor", and (3) real portfolio management expertise.<br /><br />I feel this entire study is bunk, because it makes the mistake of assuming that the person who calls themselves #2 above is actually #3 and helping you, when in fact they are nothing more than #1, lying and misrepresenting themselves for a commission (at least four out of five according to product sales stats)<br /><br />WTF??? Who did this study and why are they claiming expertise in areas they do not even understand?Michael Jameshttps://www.blogger.com/profile/10362529610470788243noreply@blogger.comtag:blogger.com,1999:blog-5465015914589377788.post-17568448691955570672012-10-18T10:43:25.083-04:002012-10-18T10:43:25.083-04:00@LifeInsurance: That's funny. But, at the ris...@LifeInsurance: That's funny. But, at the risk of making a serious reply to a comment meant as a joke, I don't think we can conclude from this study that advisors harm their clients. We really can't conclude much in either direction. Michael Jameshttps://www.blogger.com/profile/10362529610470788243noreply@blogger.comtag:blogger.com,1999:blog-5465015914589377788.post-57106306317145954552012-10-18T09:04:45.949-04:002012-10-18T09:04:45.949-04:00Conclusion: To end up with a million dollars, firs...Conclusion: To end up with a million dollars, first start with 2 million dollars and a financial advisor? :)lifeinsurancecanada.comhttp://www.lifeinsurancecanada.comnoreply@blogger.comtag:blogger.com,1999:blog-5465015914589377788.post-28711768538280798302012-10-17T22:50:02.326-04:002012-10-17T22:50:02.326-04:00@Promod: I think you've uncovered another poss...@Promod: I think you've uncovered another possible conclusion we can draw from the years of using an advisor data: young people value advice less than older people :-)Michael Jameshttps://www.blogger.com/profile/10362529610470788243noreply@blogger.comtag:blogger.com,1999:blog-5465015914589377788.post-25753553799591227522012-10-17T11:51:34.179-04:002012-10-17T11:51:34.179-04:00@Larry: I agree with oyu that there is a big diff...@Larry: I agree with oyu that there is a big difference between someone who just sells financial products and someone who offers advice. I didn't form any opinion on the motives of the study's authors. Perhaps you have more informaiton on this than I do. I just took the study at face value and found what I think is a serious problem that undermines one of their conclusions.<br /><br />@AnatoliN: Good one :-) A similar study would likely find that buying a yacht makes you richer.Michael Jameshttps://www.blogger.com/profile/10362529610470788243noreply@blogger.comtag:blogger.com,1999:blog-5465015914589377788.post-20477371179877756392012-10-17T09:29:07.505-04:002012-10-17T09:29:07.505-04:00Previous study of such kind investigated the relat...Previous study of such kind investigated the relation between person's income and make of the car he/she drives. Study concluded that driving BMW increases income. <br /><br />Do not blame researchers too much, in the capitalism game they make their living the best way they can.AnatoliNhttps://www.blogger.com/profile/07937984526970646627noreply@blogger.com