? About Financial Advisor

[IntenseOperator]

I've been having a gentleman set up my retirement portfolio for about the last 8 years or so. I had a small account set up before with a few mutual funds and this guy put some of my money into a few REITS. He's a registered rep of Sigma Financial Corporation.

My question is

He only charges me $30 a year. How else does he benifit by having people go through him? Were does the rest of his income from the situation come from?

 

[dawgball]

From what I understand, any new money you give him he gets commissions on when selling MFs.

 

[IntenseOperator]

Thanks Dawg

Guy seems to get pretty solid info on future Class A properties around the country. I don't have much money with him in total. But he sure gets pretty pumped about making moves. Nobody is this interested for $30 a year.

 

[selkirk]

Intense operator Dawgball is correct on the mutual funds, the advisor will get a percentage (trailer fee) if you stay in a fund, each year.

this amount is very small, also when you buy into a fund there is often an amount that goes to the firm and advisor.

some advisors also need a certain amount of clients to stay with the firm... no that a large mutual fund company in Canada, Investors group, wanted (person had to ) have 300 clients in the first year. the amount of money did not matter...

some firms go on total assets...

chances are he is only making a small amount on the (purchase of funds and traler fees), on funds and other products.

thanks
selkirk

 

[IntenseOperator]

Thanks Sellkirk

He's more into REITS than mutual funds.

 

[dawgball]

Nobody is this interested for $30 a year.

No doubt that you are correct on that one! :scared

 

[Skins1080]

I don't see any value in buying funds with loads like this. Reducing your costs and fees by looking on your own will save a huge amount of money over the long term.

If you're going to go with a financial planner IMO, get one that charges by the hour but doesn't make commission by selling loaded funds.

 

[IntenseOperator]

I don't see any value in buying funds with loads like this. Reducing your costs and fees by looking on your own will save a huge amount of money over the long term.

If you're going to go with a financial planner IMO, get one that charges by the hour but doesn't make commission by selling loaded funds.

Skins

I'm not sure your everyday Joe can be exposed to the REIT investment properties that this guy comes across. At least I'm not sure how I could right now. Like I said, he's not a mutual fund guy.

 

[IntenseOperator]

On another note....

My gf sat down with an old co-worker recently and was pitched on getting involved in a company called World Financial. They are an Aegon Company. I've never heard of this and neither had one of my financial guys, even though he deals with much the same stuff as they do.

Has anybody heard of them or had any axperience with them?

The company is based on the idea of many people using their sphere of influence to expose those they know and come across to the company. It's a lot like MLM, but not. You can also look into all the financial and insurance packages they offer. They carry products from many outfits such as Prudential.