tag:moneymoneymoney.svbtle.com,2014:/feedShay Siskind2014-08-04T16:08:17-07:00Shay Siskindhttps://moneymoneymoney.svbtle.comSvbtle.comtag:moneymoneymoney.svbtle.com,2014:Post/interview-with-mike-smith-financial-advisor-advanced-financial-strategies2014-08-04T16:08:17-07:002014-08-04T16:08:17-07:00Interview with Mike Smith, Financial Advisor, Advanced Financial Strategies<p>Mari: So many workshops and books on <a href="http://moneymoneymoney.svbtle.com/get-paid-to-manage-other-peoples-money-no-commission-financial-advisor-jobs">financial planning</a> seem to focus on very general advice - reduce debt and spending, increase savings etc. It’s hard to gain momentum with the very fist steps seem so big. What are some things people can do right now, say in the next 15 minutes to an hour, to improve their financial situation?</p>
<p>Mike: The very first thing you need to do before anything else is to decide what you want out of this. What do you want to accomplish? Do you want to early? Do you want to travel? Deciding that will help you make a successful plan. Don’t make the list more than three items - stay focused.</p>
<p>There is tremendous power in writing it down. Having it in writing means you’re committing to it. You’re responsible for it. Now it can look back at you and ask, “What are you doing to accomplish this?” Keep it in sight and make it really alive to you.</p>
<p>Second, find someone to talk to. Either find a professional advisor of some sort or a trustworthy confidante - but someone who has no emotional stake in your financial situation. You want to talk to someone who can be neutral and objective - someone safe to share your financial information with. Most people are really hesitant to talk to a professional and they really shouldn’t be. If the first advisor you speak with doesn’t make you feel well informed and well armed to make decisions, keep looking until you find one that does. Find someone who really listens to you.</p>
<p>Third, pay attention to where your money is going. Many people don’t really look at where all of their money is going. They pay attention to the utility bills, the cable bill, the phone bill - but where they really need to look is at the lifestyle choices. How many times do you eat out a month? How often do you go to the movies? That sort of thing. These aren’t required bills - these are choices. They key is to pay attention to the things you choose. If you need to eat out do to schedules or something, that’s fine - just make those choices consciously.</p>
<p>Fourth, make a plan. This is part of being an adult about finances. The way you live is a choice. This is the perfect time to down with a professional and make a plan. The most automatic plans are the most successful.</p>
<p>One important note during the planning process - don’t spend a lot of time beating yourself up about bad financial decisions you’ve made in the past. You spent the money you saved on something else - that’s okay. We save me to, at some point, spend it on something. Start [making better money decisions] now. There is always time to do something. You’re far more powerful than you think you are. Even the month before you retire, there are things you can do to get in better financial shape. That’s why you find a professional who’s gone through the process over and over. You’ll retire once (probably) - your financial advisor has retired (others) dozens even hundreds of times.</p>
<p>And remember, we’re all completely free to do whatever we want to do. What we are not free to choose are the consequences. Don’t lose site of what consequences your choices today will bring you down the road.</p>
<p>Debt</p>
<p>Mari: Now, what can you tell me about dealing with debt? Other than the obvious -reduce credit card spending etc.</p>
<p>Mike:<br>
Never take anything at face value. Educate yourself on the terms of all of your debts.<br>
Negotiate everywhere you can. Call your lenders and ask them for a better rate - but act in good faith. You have to have built up some credibility to ask for them to reduce interest rates etc. Pay on time every time.<br>
Learn to live on cash. Stop adding to the cards and break the habit of living on credit.<br>
Buy used, especially big ticket items that instantly loose value.<br>
Live within your means. For example, don’t buy the bigger house just because your real estate agent says you can.</p>
<p>Historical Perspective<br>
A little bit of background on our psychology of investing. Most people investing today have only experience success in the market. We’re on the longest bull run in history - over 25 years. The dot.com bust was only 2 years. There have been, twice in our country’s past, periods of time (somewhere between 1932 and 1964) where the markets fluctuated but overall didn’t gain. We’re all kind of fooled by this constant increase. We don’t always get the concept of investing for a lifetime. We have a very spoiled mentality in a way. We always figure that when it comes to saving we can always make it up, instead of acting consistently.</p>
<p>An example:<br>
Say you, at 20 years old, saved $3000 a year for five years (which works out to be $250 a month to end at $15000) and then stopped - put no more money in at all and just left it making about 10% (the S&P 500 has been around 11% for example), for forty years. You would have $1.6 million dollars at 65. The same principle that’s making your debt go up, can make your savings go up as well.</p>
<p>Basically, the key is sacrifice a little now to be more secure later. Our grandparents are reaping the rewards of consistent saving, and so can we. Their children, the baby-boomers, have done sort of a hodgepodge of different financial strategies. Generally, they’ve saved a bit, though not as much as their parents usually, and they tend not have been as consistent. Now, those people in their 20’s - 40’s has been even more inconsistent and add to that more debt. They also tend to be much more skeptical of the financial advice they get. The key to financial success [in that situation] is small, consistent actions.</p>
<p>Most financial advisors will advise a broad, diversified portfolio that’s market based. This advice is based on the market continually going up as it has been. Well, this is the market being up. There are more options than just the market-based products for investors who want something with a guaranteed return. Still, the point is to do something. It’s the habit that counts more than the dollar amount.</p>
<p>It’s also a smart idea to have good tax advice - the new tax laws have changed things considerably and if you don’t understand the impact, it can cost you money and power. Make sure any advisor you get (tax or financial) informs and empowers you. You want to be empowered with information not just told information.</p>
<p>Mari: Thank you so much for your time, Mike.</p>
tag:moneymoneymoney.svbtle.com,2014:Post/more-tips-on-saving-money2014-08-04T16:07:18-07:002014-08-04T16:07:18-07:00More Tips on Saving Money<p>There are so many ways to <a href="http://moneymoneymoney.svbtle.com/get-paid-to-manage-other-peoples-money-no-commission-financial-advisor-jobs">save money</a>. I just wish people would take action on all the information out there.</p>
<p>I’ll start with my decision to cut the cable. I bought a converter box and a digital antenna, and now my TV shows are free. The primary reason for this decision was not to save money; I determined I was not getting value for my money. Gone are all the duplicate channels, and the shopping channels, and the foreign language news from the former Soviet Republic of Georgia, and the ever-increasing cable bills. I figure over my lifetime I will have saved enough to buy a new car.</p>
<p>Here are some innovative ideas: the guy who parks his RV in front of his business with a sign on the side. He’s saving the monthly storage fee for that RV and attracting business at the same time. I know another guy who pays someone to house sit and pet sit when he goes on trips. Costs a bit less than doggie daycare and boarding; the pup is happier at home, and the house is better protected.</p>
<p>Money Magazine is a great resource for family finances. I never fail to find something in each issue which is worth passing along to my financial planning clients. Technology has opened all sorts of doors so you can save money. You can take a picture of a price code with your smart phone and find out how much the item costs in nearby stores. Before you shop, google “your store and coupons.” Information on saving money is everywhere on the Internet. We even have daily coupons and deals sent to us.</p>
<p>PikesPeakontheCheap.com sends me an email each day. Lot’s of good information. Couple weeks back they had an article on a topic near and dear to my heart: Are we drinking ourselves into debt? No, not cocktails, but coffee and water. Americans drink just over 3 cups of coffee a day. If made at home, the cost is 13 cents a cup, but we tend to splurge and spend $1500-$2800 a year on coffee, that $1.50 to $2.50 a cup. And many spend much more. A glass of water from the tap is virtually free, but Americans spend about $1400 each year on bottled water. Time to be smart when we order a coffee or drink a glass of water.</p>
<p>The options to save are out there. We just need to do a little planning before we buy things.</p>
tag:moneymoneymoney.svbtle.com,2014:Post/understanding-money-ten-characteristics-of-bad-financial-advisors2014-08-04T16:06:28-07:002014-08-04T16:06:28-07:00Understanding Money: Ten Characteristics of Bad Financial Advisors <p>There are people and entities out there that can only be defined as financial con artists. They promote or create programs designed for one thing only, to steal your money. Don’t get them confused with the usual rip off artist types though. I am referring to people and entities that pee on our legs and tell that it’s raining with their overpriced products, services and programs.</p>
<p>They may even wear the title of <a href="http://moneymoneymoney.svbtle.com/get-paid-to-manage-other-peoples-money-no-commission-financial-advisor-jobs">financial planner or advisor</a>. However, make no mistake that they usually plan to take as much of your money as possible. If you let them advise you into a financial sink hole they think it’s your fault. Their primary objective is to make the biggest commission that they can off of you. So what if the product or service they sold you is trash.</p>
<p>Their offerings create regular shortfalls and setbacks for Joe Public and their customer’s income growth objectives. By design the overall goal of these cons is to destroy the financial future of those they serve and rob them of their retirement dollars. No, they won’t tell you this up front because most of them do not look further down the road to see what they are doing. They choose blind ignorance so they can deny all guilt and responsibility later.</p>
<p>The major trick to their deceptive magic show is to make it do what it does without Joe Public ever being the wiser to their ploys or devices. It’s like they have you watching them take the rabbit out of the hat over here, so you are unaware of their other hand riffling through your wallet or purse.</p>
<p>They think out their deceptions very thoroughly and hope you don’t notice the fluff over the shine of their buff job. I have outlined 10 things you must understand when dealing with one of these legal yet unethical snakes.</p>
<ol>
<li><p>They do not care about your family or your financial future</p></li>
<li><p>They want your time so that they can get more of your money</p></li>
<li><p>They think you are ill informed or financially illiterate (the concepts they teach you will induce more financial ignorance)</p></li>
<li><p>They will offer the most expensive programs or strategies for your family and won’t take what’s in your best interest into consideration ever</p></li>
<li><p>They use by any means necessary processes to steal as much of your money as possible each and every month</p></li>
<li><p>They do not care how their inferior products will impact your life</p></li>
<li><p>They will lie, cheat and even forge your signature to get what they want from you</p></li>
<li><p>They are experts at reading your body language, facial expressions, and non-verbal cues</p></li>
<li><p>Their interest in your family is fake and superficial</p></li>
<li><p>They will pay you complements to soften you up so that they can sell you more of their products or services at higher amounts</p></li>
</ol>
<p>When you have been done over by one of these types, you may feel very much like you have been financially raped. You may discover that you want out of the deal the next day (buyer’s remorse). After all they make their offers so irresistible that you “must invest” in their suggested products or services immediately or risk losing something all together. Sound familiar?</p>
<p>Their programs may be legit but when stacked up against genuine solutions they fall short. Their income busting advice won’t land them in jail so you must be prepared to compare apples to rotten apples. You have to know how to look for evidence of worms.</p>
<p>The next time one of these con artists sets his or her sights on you, I challenge you to be prepared and less trusting. Ask if the item or service on offer is something they would proudly recommend to one of their loving relatives or friend. Then, wait for an answer. If you are met with silence after this little test, I suggest you run and politely tell them that your decision is final.</p>
tag:moneymoneymoney.svbtle.com,2014:Post/do-i-need-a-professional-money-manager-keep-calm-and-carry-on-with-a-wealth-manager2014-08-04T16:05:29-07:002014-08-04T16:05:29-07:00Do I Need a Professional Money Manager? Keep Calm and Carry on -- with a Wealth Manager<p>When you go to a <a href="http://moneymoneymoney.svbtle.com/get-paid-to-manage-other-peoples-money-no-commission-financial-advisor-jobs">professional money manager</a> the very first step in the interview process should be assessing your needs carefully, with regard to risk, reward, liquidity needs, tolerance for risk, process you’re currently using and how that is working for you and a process that would be acceptable to you and your family to use and then after that an Investment Policy Statement should be created. Now this all sounds very fancy and foreign to some but it is simply an asset allocation plan and process that is acceptable to you, your spouse and your advisor. And in times of panic and emotion like our 500 point drop it is an excellent time to come back to the very beginning of the plan and read the IPS.</p>
<p>Here are some things to consider even if you are smart and responsible with your money. Can a professional manager help me to be less emotionally involved with my portfolio and keep me from making rash decisions about my money at the wrong time? Can an advisor help me to attain better and more consistent returns with less risk then I have been taking on my own? Spending tons of hours doing spreadsheets and planning is one thing, but am I pulling the trigger into the right plan, at the right time and making changes when needed?</p>
<p>I had a good friend who hired one of the top money managers in the southeast United States and she was up for the year 4%. The benchmark S&P and several other indexes had closed down for the one year period. So she said to me “But the manager only has me up 4% it is hardly worth hiring someone for that return.” And I said to her, “No he has prevented you from losing -15% if you had simply just thrown your money into an index fund.” The fee for an experienced professional is only an issue when there is no perceived value in the relationship. My friend did not perceive any value to her portfolio manager and I encouraged her to call him and discuss exactly the numbers she and I had discussed and go back to her Investment Policy Statement.</p>
<p>An investment in financial management provides peace of mind by ensuring your best odds of permanent wealth and comfort. This planned approach to success is the result of a multi-step process. You must:</p>
<p>Set achievable financial realistic goals.<br>
Assess your current financial health by examining your assets, liabilities, income, insurance, taxes, investments and estate plan<br>
Develop a realistic, comprehensive plan to meet your financial goals by addressing financial weaknesses and building on financial strengths<br>
Put your plan into action and monitor its progress<br>
Revise your plan to accommodate changing goals, changing personal circumstances, changing financial opportunities, and changing market and tax laws<br>
The planning process requires skill, knowledge, due diligence, and discipline, but great reward makes it well worth the time and effort.</p>
<p>What will I get from a professional money manager or wealth advisor?</p>
<p>A financial professional provides the emotional discipline required to make sure plans are implemented. They do not have a crystal ball on their desks and they are not able to tell you where the next 1000 point run up in the market is going to occur but they are able to offer you experience and discipline and a sounding board for educated ideas about your investments.</p>
<p>Be sure to also check things out yourself with Advisors. Here are some good resources.<br>
The FPA’s web site allows you to search by ZIP code for a certified financial planner (CFP) in a number of different specialties.</p>
tag:moneymoneymoney.svbtle.com,2014:Post/so-you-want-to-be-a-financial-advisor2014-08-04T16:04:11-07:002014-08-04T16:04:11-07:00So You Want to Be a Financial Advisor<p>I recently had the pleasure of speaking with a <a href="http://moneymoneymoney.svbtle.com/get-paid-to-manage-other-peoples-money-no-commission-financial-advisor-jobs">Financial Advisor</a>. I am always interested in learning what entices different individuals to pursue a certain career. She explained that she had always been interested in money and what it can do. There are a lot of people who don’t know how to control and invest their own money. As a financial advisor, she enjoys assisting those individuals in achieving their financial goals, both now and in their golden years. She finally made the decision to become a financial advisor six years ago after her retirement from being a school teacher.</p>
<p>This particular financial advisor is now employed by Legend Equities after a six year stint with Met Life. A financial advisor’s services often include financial planning, life insurance, and long-term care insurance. She works with educators in the 403B marketplace advising them in the area of retirement plans.</p>
<p>One of the most common misconceptions is that annuities are the best place to invest your money. 403B and qualified plans are already tax-deferred vehicles. Therefore, the better place to invest your money would be in top-rated mutual fund families.</p>
<p>A financial advisor must enjoy meeting people, be able to assist them in reaching their goals, and earn their trust, respect and loyalty.</p>
<p>But be aware that competition is often fierce, and many representatives misrepresent the products they are selling.</p>
<p>Be well-versed and knowledgeable about the products and services you are offering. Make it your first priority to give full disclosure regardless of the product or service involved. Always keep your client’s best interest at heart above anything else. Their needs must be met. The more trust and loyalty you gain, the more referrals you’ll receive and the more successful you’ll become.</p>
<p>Building a successful financial practice is dependent on constant, ongoing service. The size of your book of business is not nearly as important as the service rendered to clients. Be available to your clients at all times.</p>
<p>Many individuals pursue a career as a financial advisor later in life, as a career change or after retirement from another profession. Most companies will train you if they feel you have what it takes.</p>
tag:moneymoneymoney.svbtle.com,2014:Post/10-things-a-teen-should-know-about-money2014-08-04T16:03:15-07:002014-08-04T16:03:15-07:0010 Things a Teen Should Know About Money<p>I am a <a href="http://moneymoneymoney.svbtle.com/get-paid-to-manage-other-peoples-money-no-commission-financial-advisor-jobs">Financial Advisor</a> in part because I want to help other peoples’ kids learn how to handle their money (my own three kids got off to a slow start managing their money). I was thrilled when I received an email from an 18-year old who had seen a video of me talking about teens and money. Following, for teens everywhere, is my response to his query about what he should do about his future finances.</p>
<p>Here are 10 things you should know about money:</p>
<p>Number 1 - Being good with your money has a great deal of sex appeal. Demonstrate to the opposite sex such things as saving, investing, frugalness, and she or he will be attracted to you. Also, seek a partner with good money habits.</p>
<p>Number 2 - Your best investment is a good education. Learn as much as you can for every minute in the classroom. If you can’t afford a four-year university, take appropriate classes in a Community College for two years and then switch to the university.</p>
<p>Number 3 - Never, ever spend more money than you make.</p>
<p>Number 4 - Think before you use a credit card. You must already have the money in the bank before you buy something with a credit card. If you cannot pay your credit card balance at the end of the billing cycle, you are in deep financial trouble. Avoid deep financial trouble.</p>
<p>Number 5 - Track your expenses monthly or each pay cycle. If you know where your money goes, you can set priorities.</p>
<p>Number 6 - Save at least 10% of your earnings. Start saving for retirement when you land your first real job. Also, put some of your earned income in a Roth IRA, the younger you are when you start, the better will be your future.</p>
<p>Number 7 - Get a job. The majority of financially savvy and successful 20 and 30 somethings I know started working outside the home in their early to mid teens. The money they earn buys things not available under the family budget and gives them valuable experience on how to handle money.</p>
<p>Number 8 - After you buy something, label it: “Needs” (food, shelter, transportation, insurance); “Wants” (video games, more clothes than you will ever wear, eating out); “DH” or Dangerous to your Health (tobacco products, alcohol, drugs, sugary foods, processed foods with unpronounceable ingredients). Review your list of purchases. Then next time you buy something, ask yourself, “Is this something I really need?” Use common sense when you buy stuff.</p>
<p>Number 9 - Do not loan money to friends.</p>
<p>Number 10 - Understand that you and you alone are responsible for your money. Take charge of every dollar.</p>
tag:moneymoneymoney.svbtle.com,2014:Post/does-your-financial-advisor-help-you-manage-your-debt2014-08-04T15:59:14-07:002014-08-04T15:59:14-07:00Does Your Financial Advisor Help You Manage Your Debt?<p>Your <a href="http://moneymoneymoney.svbtle.com/get-paid-to-manage-other-peoples-money-no-commission-financial-advisor-jobs">financial advisor</a> should not only be managing your assets and investments; your financial advisor also should be managing the money that you owe. In today’s world debt management is extremely important. Is your financial advisor doing his/her job for you and your family?</p>
<p>Money Coach warning: Please do not confuse a financial advisor who provides financial advice for a fee with a mutual fund salesman, an annuity salesman, or a life insurance salesman. Do not compare a financial advisor to a transaction broker who facilitates the purchase and sale of financial products. I recommend strongly that you do not purchase a financial product from anyone who makes a commission on the recommendation.</p>
<p>Your financial advisor (or yourself, if you act on your own behalf) should address the following areas of debt:</p>
<p>Credit card - Know well that if you cannot pay off your credit card debt at the end of the month, you are in financial trouble at this very moment. Immediate action is required to fix this problem. You need a plan and you need to take action to implement that plan.</p>
<p>Credit score - Your credit score is extremely important. It affects everything from the interest rate on your new home to your auto insurance premium. You must know the components of your credit score - the two most important of which are paying your bills on time and keeping your debt level low compared with the credit limit on the account. Your goal is a score of nothing less than 720 (FICO).</p>
<p>Your home - Your home is one of your largest assets and, in most cases, the place which holds your largest debt. Decisions must be made on whether to pay down that debt (only sometimes a good idea) or take on more debt (most often a bad idea, but there are exceptions).</p>
<p>Interest rates - Interest rates on your debt must be compared to interest rates on your savings. It makes little sense to have money in a CD earning 0.75% while you pay 4% on your Home Equity Line of Credit or 29% on your credit card.</p>
<p>Managing Credit - Common sense dictates that you don’t try to buy a car on credit between the time you applied for a home loan and the date you close on your mortgage. Every money move you make to manage your debt must take into consideration the pros and cons of that decision.</p>
<p>Just starting/no credit? - Does your financial advisor know how to create “non traditional” credit.</p>
<p>These are some of the areas that your financial advisor should be helping you with. Does he?</p>
tag:moneymoneymoney.svbtle.com,2014:Post/financial-advisers-why-you-need-one2014-08-04T15:58:15-07:002014-08-04T15:58:15-07:00Financial Advisers: Why You Need One<p>After nearly 50 years of managing my own money and building what many people would consider a fairly large nest egg I reached the conclusion that the world of finance and money management had become so complex that I needed professional help. Moreover, in my retirement years, why would I want to spend my time, even more valuable than money, on dealing with all the decisions and paper work?</p>
<p>If only I could find a professional I could trust, then I could not only make my life simpler, but also do something for my wife. What a terrible situation spouses find themselves in when the mate who handled all the financial matters dies. Think of getting a financial adviser as an act of love for yourself and your spouse, if you have one.</p>
<p>So I spent a lot of time attending financial seminars and meeting <a href="http://moneymoneymoney.svbtle.com/get-paid-to-manage-other-peoples-money-no-commission-financial-advisor-jobs">financial advisers</a>, but nearly all of them failed to impress me enough to sign on with them. Eventually, however, my wife and I met someone we liked, respected and trusted. There has to be very positive chemistry between you and an adviser.</p>
<p>Here is my best advice to others. What you want to aim for is getting a professional with many years of experience who helps you preserve, grow and enjoy your money.</p>
<p>The older you get in this highly fast paced and uncertain world the more you see the need to put the highest priority on preserving whatever wealth you have accumulated, especially when you have stopped working. This is all about risk management. It takes wisdom and intelligence.</p>
<p>But you also want to grow your nest egg to some extent, mainly because inflation is always eating away some of your money. Plus you never know how something may happen that can hit your savings hard, perhaps a terrible medical event. The best advisers are wise enough not to chase the highest returns on investments, but still find opportunities that deliver more growth these days then the ridiculously low rates on what banks and government bonds offer. One critical thing I learned after I got an adviser is that there are investment opportunities that only the best professionals have access to, not the general public.</p>
<p>That third goal of helping you enjoy your money does not get enough attention by either most advisers or consumers. In addition to giving you more free time and reducing stress, the best advisers act as life coaches assisting and motivating you to better enjoy your money. They will help you feel comfortable in spending whatever money is necessary to fulfill your strongest desires while at the same time making you feel that you in no way are risking your wealth and long term financial needs. Since getting an adviser I spend considerable more money on travel and entertainment than I ever did. At the same time my wealth has increased from sound money management and investments.</p>
<p>All these positives can only result from a strong personal relationship and the ability to have as much time with your adviser as you want and need.</p>
<p>You also want to look for an adviser that has some well known and respected accreditations, such as CERTIFIED FINANCIAL PLANNER, probably the most impressive one. It must be an accreditation earned through serious examinations. The Financial Industry Regulatory Authority offers useful information on selecting a financial adviser. Personally, I was always turned off by marketing efforts from large financial companies; most of the time the people were too young and inexperienced and I felt that they were using a formula approach for all their clients, rather than providing the most personal service and plans.</p>
<p>Lastly, after you spend at least 5 to 10 hours in one-on-one meetings with a potential adviser. Also meet all their colleagues and staff. You should get a list of current clients and call several of them to have a conversation about what they like and dislike about the adviser. Put the emphasis on learning about the ease of meeting frequently with the adviser and how your financial plan and performance will be updated and reported, respectively. Most advisers charge a small percent of what money they manage for you and may offer other benefits, such as covering the costs of a tax preparation and estate planning documents.</p>
<p>If you make the best choice, your quality of life will improve and you should avoid getting stressed out about financial security no matter what is happening on Wall Street, with the stock market or the craziness of the political world. You will be mystified why most of your relatives and friends do not have a financial adviser. The people I know who think they are smart enough to manage their own finances seem not smart enough to see the benefits of sound professional support. Just like you see the need to get the very best medical help, you need to see the wisdom of seeking the best financial expertise. In some ways it really is a question of life and death. With less financial stress you will be healthier.</p>
tag:moneymoneymoney.svbtle.com,2014:Post/not-listening-to-my-dads-financial-advisor-saved-my-nike-stock2014-08-04T15:56:45-07:002014-08-04T15:56:45-07:00Not Listening to My Dad's Financial Advisor Saved My Nike Stock<p>When I turned 16, my father bought me my first shares of stock. After I ripped through all of my presents that night, my father handed me an envelope. I opened it to find a certificate for 50 shares of Nike stock. The year was 1995. The economy was booming. The dot.com’s hadn’t quite become the rage. And given a choice of stocks, I wanted Nike because I was sporty and grew up in the “Be Like Mike” generation. For a 16-year-old, that was a pretty good reason to hold shares in Nike.</p>
<p>Just over a year later, my father changed <a href="http://moneymoneymoney.svbtle.com/get-paid-to-manage-other-peoples-money-no-commission-financial-advisor-jobs">financial advisors</a>. I clearly remember the night the advisor came to our house. As I watched the television, they sat several feet away at the kitchen table. After an hour or so, my father called me over. “This is so-and-so; he’s our new advisor. He wants to discuss selling your Nike stock. He thinks that Nike will never go beyond $60.00 a share. He’d like to invest it in something with more room for growth.”</p>
<p>At 17, I was far from a financial guru. I was smart. I did well in school. And yet, I knew nothing about financial affairs. I knew my father watched his American National stock like a hawk each day. I knew he had computer programs that allowed him to create a laundry list of stocks that he planned to buy. He occasionally talked with my sisters about their Merck and Disney stocks. Nevertheless, I was clueless. The stock section of the newspaper might as well have been in Egyptian hieroglyphics for all I cared. And I sure as heck couldn’t find much information on the internet. The days before Google were dark ones, indeed. I can’t even remember if our Prodigy service had a real internet search engine back then.</p>
<p>Even though I had little background in financials, I was uncomfortable by my parents’ comments about Nike. When asked about getting rid of the Nike stock, I immediately questioned the advisor’s motives. I looked at my parents and said, “I don’t think so. I think Nike will go up; it has to. It sure isn’t going down any time soon. I mean, everything at school is Nike. There’s no way this stock can’t grow.”</p>
<p>Fortunately, I still have those 50 shares of Nike. I did have 100 shares and sold half of them right before the economic downturn of 2008. The stock recently split and I again have 100 shares. If Nike climbs back to where it was before it split a few months ago, I will have $10,000 in just Nike stock in my portfolio. Sure, it’s not a fortune. But I’ll take it. Ironically, if it was up to the financial advisor, I would have ended up with MCI or something with “more potential for growth.” Unfortunately, he later convinced one of my sisters to buy up some MCI stock right before it went bust. But that’s another story.</p>
<p>Looking back, I now know that my teenage mind made an assessment that has helped to create a great, budding stock portfolio today. When it comes to consumer stocks, common sense usually shows if it’s selling and growing, then you shouldn’t immediately sell it. And sometimes, your gut instinct is more valuable than the conjectures of a man or woman who has the title of “financial advisor.”</p>
<p>In the end, the stock market is a gamble; nothing is ever certain. And sometimes you have to make a decision on your own. Just because a man on T.V. espouses the merits of a stock over one you currently own doesn’t mean that you should immediately sign onto Scottrade or some other site to liquidate a part of your stock portfolio.</p>
<p>Ultimately, the biggest secret in the stock world is this: in a free market, no one holds the reins. No one can predict exactly what a stock is going to do. Anyone who professes that he or she knows the exact trajectory of a stock is a false prophet. And you will never profit with that approach.</p>
tag:moneymoneymoney.svbtle.com,2014:Post/get-paid-to-manage-other-peoples-money-no-commission-financial-advisor-jobs2014-08-04T15:54:49-07:002014-08-04T15:54:49-07:00Get Paid to Manage Other People's Money: No Commission Financial Advisor Jobs<p>Careers that remain stable regardless of prevailing economic conditions are rare. <a href="http://topfinancialadvisor.org/">No commission financial advisor</a> careers qualify for this categorization. If the economy is healthy and thriving, people need advice on how to increase their assets and make good investments. If the nation’s economy spirals downward, people need guidance on how to protect investments or require recommendations on selling or diversifying investitures.<br>
Career Paths</p>
<p>Those pursuing no commission financial advisor careers have a wide choice of paths to take. Concentrate on providing only personal or business advice or choose to serve both sectors. Financial advisors differ from financial analysts in that the advisor typically provides recommendations on a wide range of investment options. Financial analysts commonly analyze and advise on specific investment sectors and industries as desired by the clients, which are more inclined have more diversified and prosperous portfolios.</p>
<p>Financial advisors have different titles depending on the institution for which they work. They are also called personal bankers, personal finance advisors, financial planners, lending analysts or portfolio managers. A significant portion of financial advisors work for financial investment companies and banks, while others dispense their advice from home offices.</p>
<p>No commission financial advisors charge a flat fee for their services. New client relationships usually begin with a meeting at which the advisor reviews the client’s assets and liabilities and asks questions to determine their long- and short-term goals. Based on this information, they provide the client with a range of investment options and explain the risks and advantages of each. Subsequent meetings are billed at rates discussed in advance with the clients.<br>
Skills</p>
<p>To excel as a financial advisor requires good communication skills, discretion and the ability to instill clients with trust and confidence in the provided advice. The counsel a financial advisor provides is grounded in his knowledge of current economic conditions as well as well-researched and educated predictions for short- and long-term financial climates. The success of his career depends on the soundness of the advice he provides to a diverse client base as much of his work comes from client referrals.<br>
Education and Training</p>
<p>A financial advisor is usually required to have at least a bachelor’s degree, preferably with a concentration in business administration, accounting or finance. Some employers prefer a master’s degree in a related field. No special licenses or certificates are required although some financial advisors obtain certifications though professional organizations to enhance their knowledge and professional credentials.<br>
Salary and Advancement Opportunities</p>
<p>Obtaining a master’s degree in finance or business administration increases a financial advisor’s chances for promotion into managerial positions. Securing licenses to market and sell stocks and bonds can increase salaries and advancement opportunities. Based on information provided at payscale.com, the annual average salary range in the United States in 20110 was between $39,711 and $92,470.</p>