FA

PulIthEld

[Go Forth, Be Conquered](https://www.youtube.com/watch?v=zKlf6oay4FA)

PulIthEld

https://www.youtube.com/watch?v=zKlf6oay4FA

Nick-7-7

SEC filing. Original 20F dead line was end of Jan and IMTE barely met the timeline. Then they submitted 20FA on Mar 4th (guess they were told to revise something). So definitely NASDAQ is working on to approve them. Today is the 16th business day, after their submission. No wonder it comes today.

johnnyshots22

Its going to go again at open by the looks of it. Big buy again. Not FA .Time to double dip

highrollerlowballer

Not FA, but 650 calls would take out if it hit 660 or stop loss at 660 price and maybe hold it as a runner.

ThePermMustWait

So my FA bought them without my knowledge and they are locked in for 2 and 3 years. One is autocallabale if the market does well. I don’t like that they aren’t liquify because this is my brokerage not my Roth IRA or retirement. I was naive when I agreed to work with him but now I know better and left. 

R101C

If the market was at $100 per share of an index a year ago, it's now at 125-135. If we have a 20% correction on 130 then it's at $104. So you're still buying in higher than $100. The market drops 20% about once every 7 years. Odds are, you aren't getting a drop in time to get below $100. If you do, you got lucky. The market dumped +20% in 2022. Prior to that, 38% in 2008. In between, you've missed gains that more than made up for it. Sitting on the sidelines trying to time the market, in most cases, costs you money. Your FA is trying to time the market. He's an idiot.

Mychelly360

Just buy SPY/VONG or any other decent growth fund, and you don't need an FA. The way you setup your investing now heavily impacts the trajectory of your $$

hxrris23

Structured notes can have wildly different payout structures and costs. Impossible to give advice without knowing these details. I will say that 70% is a lot… you may be paying excessive fees on these depending on how your FA has negotiated these terms. You will want to make sure your issuer exposure is diversified as well.

ThePermMustWait

I’m 39 and my FA put $80k, about 25%, into bank notes. He didn’t explain what it was when we invested and now we are locking in for 2-3 years. I don’t like that they aren’t liquid. we have also said we want to be aggressive and he bought them anyways. We left him and went to fidelity to manage on our own for now. The bank notes thankfully transferred but we have to wait for them to mature then we will do something else. 

International_Sea869

Okay. Thanks this gives me some confidence. I’ll book a meeting with my FA and see what he’s planning. Unfortunately I got caught up in real estate at the wrong time. One property is up but the other is down. Part of me does hope property goes down though so I can buy my dream home. It’s tough being stuck with a house though

Mychelly360

That's wild. You need a new FA. Or learn about investing for yourself. Thousands upon thousands of resources for all kinds of investing.

RoboticGreg

Honestly, I invested in individual stocks once when I was young lost a lot of money and came to a realization: tiger woods doesn't practice basketball. I'm an expert in robots, I'm not an expert in finance or investing. I also accepted I work hard, I try hard, the past is the past and nothing will change it, but I hope to use my experience in the last to have a better future. I was embarrassed, but I learned. It's an expensive lesson but it is an education. I let go of the shame by telling myself letting this happen happens, that's on the world. If I let it happen again, that's on me. So I learned how to be very self aware of when I did and did not know what I'm doing. My gains since then have been very modest, but I'm not gambling anymore. I worked with an FA for a long time, they set up an ETF based portfolio and I just drive that. When I want to earn more money I consult. I buy and sell vintage watches. Etc. TLDR: Stop beating yourself up. Give yourself the space to make a mistake but give yourself a MANDATE to learn from that mistake.

Top-Tea1871

TA and FA are guides. You discovered the most vulnerable part, you. You weren’t trading, you were gambling

idkwhattowriteee

Trump did the FA but my portfolio is getting the FO 🤡

Grinch83

FWIW, my FA hammered the flash crash after “Liberation Day.” He knew Trump would TACO (and this was before TACO was even a thing.) We made a killing. He has not bought a single share since this war kicked off. That might change now that we are in correction territory, but his unwillingness to buy anything thus far is worth considering.

modder9

One of my best trades kinda happened like that. I got locked into a trade while I had to redo my 2FA cause I had just changed phones.

ConsistentString4627

ALK did beta launch for 2FA. Youth can't steal Miles like before

Soulitare

Came here to say this, was just asked to create my 2FA with Alaska, no longer an issue

johyongil

The defensive part is a bit worrisome. But on the whole of it, it's nothing to be worried about. I'm not too familiar with Merrill Alts platform but if it's anything like my current one, it can be for a spot on the SpaceX pre-IPO position, infrastructure, airports, hedge position, long-shorts, etc. Typically large WM firms do not do any PE business with any company that doesn't already make 100MM in revenue per year. You have no idea. But typically, in order for an FA to place a client into alt investments they need to be cleared as an accredited investor first.

ChilaquilesRojo

Most likely the firm started allowing certain new funds to be sold to retail clients and they wanted to obtain your opt in for use later. Then current events played out and maybe your FA (or the firm) is putting things on hold. Unless you have a 7 figure plus networth, I'd steer clear of any illiquid alternatives

ChilaquilesRojo

If the FA has the client in Advisory, he is required to act as a fiduciary. If brokerage, Reg BI

RookieMistake101

No. The FA works at Merrill, so he’s under reg bi and doesn’t have to act as a fiduciary. That said, we do not have nearly enough info on what the advisor was recommending or offering. Alternatives are a massive massive world.

horseman5K

Based on your other comments, it’s pretty obvious you’re one of those in the field who benefits from pushing and dumping alternative investment slop onto FA clients

hoppertn

Yeah I saw this guys posts the other month and articles about people’s miles getting drained. Guess what with the new Atmos rewards, 2FA.

Ornery-Ad-2248

I got bad bunny news Alaska now has 2FA as of 4 days ago

partfortynine

FA, not TA. Maybe a spritz of QA.

TipsyFlash

Some people really just need an FA. At the very least could have put all your money into VOO and been up 70% over the last 5 years.

thepoisonpoodle

No FA, though

johnnyshots22

CJMB primed to explode on the tiny float with volume. Not FA. Good luck on all your tickers !

smart_doge

We FA with the Strait and we FO

ChampionKooky3048

Not FA

Simon_Inaki

$LRMR (Larimar Therapeutics): The Only Disease-Modifier in a Field of "Begged" Approvals If you’ve followed my previous picks, you know I don’t bet on hype—I bet on mechanism. This is my highest conviction play for 2026. Credit to /u/ijesuschrist for the deep dive on the pharmacology here. Here is the thesis on why $LRMR is the ultimate sleeper in the Friedreich’s Ataxia (FA) space. 1. The Competition is a "Begged" Approval Biogen’s Skyclarys (Omaveloxolone) is currently the only approved drug, but its foundation is shaky. • The "Inert" Truth: The molecule is chemically inert regarding the disease's root cause. It’s a KEAP1-Nrf2 activator it basically asks the cell to "defend itself" (supposedly) while it’s dying from a protein deficiency. • The Approval: Reata (bought by Biogen for $7.3B) basically lobbied and begged the FDA for a pass because there was zero competition. Global regulators are already pushing back because the clinical benefit is marginal. It’s a "placeholder" drug, not a "Standard of Care." 2. Larimar Actually Replaces the Missing Link Unlike an inert activator, Larimar’s Nomlabofusp (CTI-1601) is a direct protein replacement. • The Science: FA is caused by a lack of frataxin. Nomlabofusp uses a cell-penetrating peptide to literally deliver human frataxin into the mitochondria. • The Data: Larimar has shown they can raise frataxin levels to those of asymptomatic carriers. They aren't just slowing the decline; they are restoring the "factory" function. • The "Rocket" Catalyst: The FDA granted it Breakthrough Therapy Designation in early 2026. They’ve already agreed on an Accelerated Approval pathway using frataxin levels as a surrogate endpoint. This is a massive de-risking event and lessens the cash pressure. 3. The Valuation is Criminally Depressed • Market Cap: Currently sitting around $450M - $500M (Price ~$4.60). • The Exit Math: Biogen paid $7.3 Billion for an inert drug. If Larimar hits its BLA submission in June 2026, they own the actual cure. • Price Target: I expect a re-rate to $10+ by year-end once the market realizes the BLA is a lock. If a Big Pharma buyout happens (which is the likely endgame), $40 is a realistic acquisition price—and even then, it would be a bargain compared to the Reata deal.

Wendy888Nyc

Thanks. Yeah, I’ve decided to keep the 3 years of cash equivalents. (taking SS into consideration) I’m a bit torn about bonds. My Fidelity FA (now in unmanaged acct) says 40% bonds while others suggest a bond portion as an absolute dollar amount required to cover a specific number of years of living expenses (e.g., 3–5 years of expenses). I don’t have multi millions so the bond method might not matter so much. I see validity in both methods.. I have to look into this more. I’m planning to retire in 2 years. I’m at 40% bonds now and considered selling some to buy equities to instead cover just 5 years of expenses. The political climate is making me nervous even though it probably shouldn’t. I may just stay as is for now. Any suggestion on the bond allotment?

_Fibbles_

The market is finally starting to come to terms with there being no way for 🥭 to escape the FO stage after the initial FA

johnnyshots22

RNWF and ECOX I'm telling you man, buy and hold stress free and watch tje magic happen this year. This is a hold people not a flip. You can downvote me all you want but you will be laughing to the bank by years end. Not FA . Due your own DD. Best vibes your way from johnnyshots ! 👊

TreeofLibertyFood

🚨 I am not a bot. Thank you for the FA. 🚨

Independent-Tree-985

eheheheh Been there, its fun to FA but sometimes we also have to FO

johnnyshots22

ECOX and RNWF have a look. And I got downvoted 🤦. This forum has done alot for me . Trying to give back. Keep an eye on these 2. Lots of room to keep running.  Not FA. Best of luck to all !

J_da_CPA

He FA and you are going to FO

johnnyshots22

ECOX so little can make you alot if buy and hold. Not FA . Good luck to all !

Apprehensive_Rub3897

I don't think they think in terms of *neighbors.* The thing about FAFO is figure out is you're FA or the FO.

Coloradodreaming1

Outstanding! Investing is so fascinating to me the directions it can go given time in the market. The few winners really make the difference like an AAPL. I remember in 2012 asking my Ameriprise FA if I was allowed to buy individual stocks vs the SMAs and mutual funds I was always pitched to buy. She said of course and instructed her buy AAPL with my entire SEP IRA contribution that year. Thats my AAPL story.

version-two

Not FA. NTR.

J_da_CPA

🥭 FA but not yet FO lmao

johnnyshots22

Called out RNWF 3 weeks ago at .022 cents. Sitting at .05 cents today. This will be .10 cents by the end of the month. If you want a stress free ticker with massive potential that will keep rising, this is it. I won't spam this so here is your opportunity.  Not FA do your own DD. Best of luck to all ! 

ButtStuffingt0n

And you've yet to respond to the argument that you're wrong on both FA and TA wrt gold.

wanseer18

?? I honestly don't know if you're trolling at this point you actually don't know what FA vs TA is lol

BigDaddyVagabond

He can be as chicken as he wants, he can't back out of this one. The die is cast, the genie is out of the bottle, he now is in a position where he HAS to follow through to the end, or the blowback will end in constant terror attacks on us assets in the region. And on top of it all, he and his entire family will probably have to look over their shoulders for the rest of their lives for the death of Khamenei. For once in his miserable life, Trump gets to be the one to go from FA to FO.

inconsistentsavant

No TACO FA YOUUUU

believe1182

I think Micro will continue to move upwards in the long-term, it's a solid company. The problem with your entry point is you are buying in during high volatility, uncertain times that are progressively getting worse, and MU is still trading pretty high, and entering falling knife mode with a lot of other stocks. We may gap up on Monday, we may gap further down, but the stock isn't going break out until investors are comfortable with the state of geopolitics and the general U.S economy. I think these calls would print, but why not just wait until things become more certain. You may miss a 5-10% initial jump in the market once investors are more confident rotating back into growth stocks but you would still capture great profits on your positions you have set above. Just an opinion though, not FA.

ButtonPale2635

Hey there, FA here. You can cut your lawn yourself. But what if you invested that time into your professional growth instead? You can also do your own taxes. But can you be confident they’re done **right**, updated with changing regulations, and optimized for your situation? Financial planning is similar. It’s not about capability, most people *can* do it themselves. It’s about where your **time, focus, and energy** are best spent. Additionally, it's important who you choose, because our job is to stay up to date with markets, learn from industry experts, and apply that knowledge thoughtfully to help clients make better decisions. You don’t hire a planner because you can’t do it yourself. You hire one so you can focus on what matters most — while knowing your financial decisions are handled with care and clarity.

GruntledGary

Orange menace is FA and all of us get to FO because about half the country was too stupid to pay attention or read.

snotick

You're making some assumptions. Both in your previous post and this one. It's as if you're taking the good and leaving the bad. However, you don't have total control over that. Whether or not an index fund or stock goes up or down is out of our control. We can only plan, diversify and adjust as time goes by. Nobody knows what the market is going to do. Therefore the basis of long term investments is diversity. That leaves us with a few options. The ones being discussed here are index funds vs individual stocks. The clarification needs to be made, are you owning exactly the percentage of individual stocks that could be owned in an index fund? If not, then the discussion changes. And could be made moot. Why? Because they won't perform the same way. So, that leaves us with owning the exact same amounts of individual stocks that the fund holds. With the option to tax harvest, however, it doesn't leave us as diversified after we do that harvesting. And I would argue that the people managing the index funds are doing that already in order to maximize the bottom line, I'm just not seeing the tax advantage, instead I'm seeing better overall gains. Looking at your example: >Lets say you have an index of 10 stocks. Say two of them double. One of them crashes to zero. The other seven stay flat. Average gain in this portfolio is 10%. >If you want to trim positions and sell: >If you own the ETF, anything you sell has 10% gain and you pay the tax on the gains associated with whatever you sell. If you sell the individual stock that offsets your gains, are you still following your plan of diversification? You sold two stocks that doubled and you offset those gains by selling one stock that lost. You don't give any dollar amounts, you just say it was 10% gain. What if there is no stock that crashed to zero? How are you covering those gains? I understand the ability to hold and sell individual stocks for the offset, but that's counterintuitive to the process, which is to build gains, not losses. And in the case of my parents, they have mutual funds that have gained. The FA even made sure to highlight how well the funds have done. And in the end, I don't think it applies to anyone in their mid 80's, simply because diversification is a key maintaining wealth for a relative short horizon. Index funds are going to be safer (less volatile) vs the individual stocks.

johnnyshots22

I wouldn't.  It should go up again. Not FA.

Quant_Smart

CD is locked and your FA gets a commish. Buy a Bills ETF like SHY or a Repo based ETF like JPIE. You get liquidity, above CD yield and relatively safe

johnnyshots22

NAGE no debt, cash on hand, steady revenue. In at $4.97. Earnings after the bell today. I am expecting great earnings and a nice jump AH, PM and tomorrow. Not FA. Good luck on all your tickers of choice.

BigBankAdvisorSpy

Holy shit man I feel sorry for you… I’m working 20 hours a week maybe and making 400K-500k a year and a couple mills in my 401k and brokerage accounts at the age of 40… also do a lot of blows and fucking around… with a family and house and cars… shit man I wish I can buy you a shot and a lap dance. I’m sorry to hear. Or offer you to be one of my bankers $100K a year easily… I’m a FA with the biggest bank tho.

Aggressive-Essay-984

Robinhood is fine for basic buys, but I don’t trust them for serious money. Outages, weird restrictions, and support gaps happen. Use limit orders, enable 2FA, and keep a backup broker.

Nuqqets

I guess you could try to get the trade bussed and speak to a manager saying you made an honest mistake and can pay the fees to bust the trade? I know for sure fidelity has a way to bust trades through their clearing firm NFS, I just don’t know if they’ll do it if it’s a client error versus FA error.

CMTTrader

You better 2FA your trading account or else "she" will suck you DRY!!!!

cuntysometimes

All depends on FA

johnnyshots22

I am in heavy on RNWF at .022 and called it out about 2 weeks ago. I absolutely love this play . This will melt faces and create wealth for those who get in ealy imo. And it's still early. This is only getting started.Not FA. Best of luck to all.

Happy_Discussion_536

Look it's terrible morally. I'm just stating that they definitely FA.

Happy_Discussion_536

I don't agree with timing and execution. But you're a fucking retard if you think enriching uranium nonstop is not FA. We even said they can buy as much as they want, just can't make it themselves. Only real red line. But they refused. Now they FO.

Happy_Discussion_536

When you FA against the USA, you truly FO in vicious fashion. >Supreme Leader Ayatollah Ali Khamenei killed. >Defense Minister Amir (Aziz) Nasirzadeh.​​ >Chief of Staff of the Armed Forces (reported as Mohammad Bagheri or Abdul Rahim Mousavi) >IRGC commander-in-chief Mohammad Pakpour.​ >Senior security/intelligence adviser Ali Shamkhani. And 40 other top officials killed.

annoyed_meows

Wonder if any can get close to 🥭 it would be crazy if a lifetime of FA leads to an Iranian FO.  The day I no longer have to see or hear him plastered everywhere will be a good day for me, most Americans, and most of the world. 

Spatula_of_Justice1

you need an FA to stop you from doing stupid shit. Manipulative media clouded your judgement.

Happy_Discussion_536

This had to happen. They don't need to enrich uranium or keep funding terror in the region. FA and now Ali is in the FO stage. It should be a quick operation and this is good for the market.

Happy_Discussion_536

Khamenei kept going commando in his robe, hands behind head and helicoptering his dick. FA and now he's in the FO stage.

Amazing-Selection494

Well, thank God this nitwit FA doesn't have free reign, then.

composer98

I read here a lot of absolute criticism of the FA, but .. one opinion .. it seems ok. The person is trying to do what your parents are requesting; you ask for an honest opinion, and the answer seems pretty good. Be less conservative, as, just an example, a value stock like XXX . So 80's parents, presumably hoping to live fine and pass on an inheritance, maybe a good timeline is not really "10 years", but better "30 years" or something like that .. in other words, less conservative but not gung ho all in. So .. a vote for the FA.

ScoobDoggyDoge

Ya, that FA is strange then lol.

snotick

TL:DR Don't use a financial advisor. I believe my parent's accounts were manipulated so he could charge another year of fees. This is a continuation of my post from a couple of days ago. Yes, my parents are paying an FA 1.5% to manage their 3 accounts (yes, I know this is dumb) Each has an IRA and and a shared brokerage account. I've been involved for the last few years. I'm trying to convince my parents to move away from him. I may have found a reason and it may be unethical, but not sure if it's illegal? My parents are both 85 years old. They have enough money in the 2 IRAs to cover their costs for the next 20 years. She doesn't want any risk and wanted the money put in CDs. The brokerage account is just "extra" in case they need assisted living, etc. I've been trying to get their FA to drop their fees. He said that once an account has all CDs, they would not incur the 1.5% fee on that account. Here's the rub, I think he kept a minimum amount of mutual funds in their IRAs in order to continue to charge them 1.5% on all three accounts through 2025. I have an email from November 2022, where he recapped the meeting and stated their desire to move as much as possible to CDs in every account. We discussed that the IRAs will have no tax issue, so those can be moved right away. I went back through their transactions and found the following. Both of their IRAs were handled this way: 2023 - Sold 5 tranches of mutual funds and bought 3 CDs. 2024 - Sold 35 tranches of mutual funds and bought 4 CDs 2025 - Sold 4 trances of mutual funds and bought 5 CDs. The total amount invested in mutual funds at the start of the 2025 was a little over $3000. Yet he didn't sell the last tranche until December. He mentioned at the meeting that they would incur one more fee in March. I suspect that's why he sold the last trance in December, so that it would trigger the fees for the 1st quarter of 2026. 2026 - Both IRAs are 100% in CDs. The investment plan for converting mutual funds to CD started in 2023. He drug out the process for two years. Why? There was no tax issues. Why did he sell so much in 2024, but didn't sell near as much in 2025? Why did he not sell the remaining $3000 in CDs in 2025? I suspect it's so he could charge a fee through 2025 on the total balance of all three accounts. I'm wondering what other people think. Is this just unethical? As a fiduciary could this also be illegal? Sorry for another post around financial advisor drama. Thanks.

lMexl

I'm by no means a pro, but I think adding a small cap etf makes a lot of sense. I would skip the dividend ETF at your age. I made my portfolio last year with the help of a FA and we built one very similar to yours but with the addition of a small cap ETF. And no uranium lol. Kinda feels like VT with extra steps, but I guess it's nice to be able to rebalance yourself if you want.

PaperHandsTheDip

You can do all the TA, FA, research, etc you want - but at the EOD the only thing that actually matters is if it goes up or down. It went up meaning any bets against it were just wrong. The only thing I actually care about in markets is making money. The rest is all fluff

mildly_enthusiastic

I’d bet the FA works at a wirehouse like Morgan Stanley or Merrill Lynch

snotick

It's all good. I was trying to help her understand that the brokerage account (not the IRAs) was "extra" money. Since their IRAs will cover their current expenses for 20 years. I think it's okay to take a little more diversified risk in the brokerage account. It's also why I asked the FA about international funds. Which he didn't recommend? It feels like his idea of diversification is multiple mutual funds that hold tech stocks. Last year, he pitched the idea of setting aside 5 years worth of funds and putting the rest in an LLC. That way once their money runs out in 5 years, they would have Medicaid pay for their living expenses. I thought it was kind of shady, but I let my mom decide on her own. She wasn't comfortable giving up control of 3/4ths of their wealth. I didn't push her to do it. And it was the very first thing I spoke about at the meeting yesterday. I told him that's not going to happen because she doesn't want to do it.

snotick

I'm not sure what you're ranting about? Your comment doesn't really relate to the question in my post. I asked other poeple about FA's investing money in individual stocks over mutual funds. With that said, I will give you another concern I have in response to your claim that he isn't ripping them off. In 2024, the plan was clear that she wanted to move out of the market and into safer investments. I was at that meeting and we discussed the fees. He told us, when an account only holds CDs, he would not be charging his 1.5% for those accounts. In 2025, both of their IRAs were 100% in CDs. When I asked him about it yesterday, he said that those accounts would need to be moved to a different account to remove the fee. He sent email summary today about everything we talked about yesterday. Excerpt from that email: *As discussed in the meeting, your IRA accounts will be converted to traditional brokerage accounts in 2026, and no further advisory fees will be assessed for our services.*  I was confused by the terminology, so I asked for clarification, because the nomenclature suggests that he's closing out their IRA accounts. His respone: *The only change is between “Advisory” and ‘Traditional” and that means that the “Advisory” accounts had a 1.5% annual charge whereby the “Traditional” accounts do not have that charge.* In both cases, the account will remain IRAs.  So the question remains, the plan was discussed in 2024, the IRA transition to CD's was done before 2025, because there was no tax implication to sell equities held in those accounts. Yet he didn't make the switch and they incurred 1.5% throughout 2025. He also said that they will continue to incur the fee until March. After that, they won't incur fees. Note the terminology he used "converted to traditional brokerage accounts in 2026". Not right now, after March.

creeia11

The FA is likely referencing a combination of ETFs and Single stocks. The ETF wrapper affords tax advantages that aren’t available in mutual funds. In actuality, the bulk of the largest asset managers, Capital Group, etc aren’t even launching new mutual funds, because of that fact. So all the folks bashing the FA for being an idiot, should take a look in the mirror. Because they are writing the govt checks every year when they don’t have too.

Frenchyyyy4166

Can’t believe there was a furu on X selling an hour of his time for $15K and his biggest FA was buy Duolingo and hims -80% Since Lmao !

ScoobDoggyDoge

Oh, I misread. I thought OP asked what the FA would do with OP's money.

snotick

Lol. You're so helpful. Not that it matters to him (or anyone else) but, based on all their assets, if they were to die today, the FA will have received more money from my parents than any of us 5 children will receive from the estate. I'm fully aware that he may have been the reason they have that money at all. However, I'm in my late 50's. I've built our portfolio that surpasses theirs, and I've never used an FA.

snotick

I would agree with you, except you're taking that question out of context. It was part of a conversation in regards to my mom's risk threshold and desire to have everything in CDs. I mentioned this in the OP: ***My mom wants very low risk investments, since they have enough money to cover their expenses for 20 years.*** *But, when I asked what the FA would do with the money if he had free reign, he said he would not have money in any mutual funds (they are currently in some mixed funds and bond funds.) He said he would do all individual stocks.* I asked that question as part of the discussion around her desires. I asked because I was expecting him to say "you have enough money to cover your expenses for the next 20 years in the 2 IRA accounts, therefore, I think we can have some exposure to the market in your brokerage account via mutual funds that have a combination of bonds and blue chip stocks" Instead he went down the path of individual stocks.

johnnyshots22

ALBT might be ready to go again. Been holding steady above the .90 's . Not FA

BlindTreeFrog

What do you think those words mean? > I asked what the FA would do with the money if he had free reign, What did you really think you were asking here. Because it seems like how you understand that question and how I understand that question are completely different. And that is likely your confusion with his answer. "free reign" means to do whatever you want without limitations.

snotick

No, my mom has her idea of what she sees as being low risk. I asked him what he would do if he had free reign. This is my exact words in the op: *But, when I asked what the FA would do with the money if he had free reign, he said he would not have money in any mutual funds* I'm giving him the benefit of the doubt. But, he may have been speaking about what he would do for himself. But, then it raises the question, is it what he would do for himself at his current age, or what he would do for himself if he was 85? That's why I asked. I don't agree 100% with my mom's total CD or bonds approach. But, I would never recommend someone invest only in individual stocks at 85 years of age.

Obligation_Still

I really appreciate that and maybe could even benefit from having someone like you in my life as well. I'm 41 using an FA. I went through a bit of a stretch with my own corp, now direct employed so tax strategies became an important factor. My fees paid are a percentage and work out to just under 2K a year. My own investments are simply VEQT and VGRO which have both trended well over time, as the market has. Where I get a little worried is managing the downs. On my own I had a tendency to spook easily and sell or not invest at all where as if I have someone to talk things through then I stay the course, it's a practice of discipline that I struggle with personally. This year for instance was trying to figure out the TFSA vs RRSP contributions for tax benefits, my accountant is great but he's very cautious as well like me. I've certainly seen the figures of how much I could save over a lifetime by investing independently but I also could save a ton of money by not having car insurance...But that one time things go real bad I'll feel it, is my argument. Happy to have you burst that bubble.

BlindTreeFrog

> But, when I asked what the FA would do with the money if he had free reign, he said he would not have money in any mutual funds You asked a specific question of "if you can do whatever you want, what would you do?". Sounds like he would increase risk so as to attempt to increase gains. Had you specified the goal, he likely would have given a different answer. The role of the financial advisor is to advise how to achieve your goals, not simply to ignore what the client wants and try to maximize gains.

snotick

When you say "fees are quite low" is it a flat fee or are you paying a percentage? Being younger, you have time in the market to weather any storms. But, in the end, you should calculate the fees to see what it will cost you over your lifetime. When I created a spreadsheet, with the intentions of showing my parents that the RMDs just from their IRA accounts will cover their expenses for the next 15-20 years, I also included the fees that he would make during that time (I didn't go back from when they started using him, just the projected), I also included what he would charge on the brokerage account as well. It was over $400k. You even mention that your own investments often do just as well as his. So, you have to look at the big picture. Do you need an FA now? Could you invest that money and save on the fees. Then when you're close to retirement, you can seek out a flat fee fiduciary to help you with the transition. Just my 2 cents. And my personal approach.

radicalbot

Sounds like a solid strategy and you know what you’re doing. I recently did a FR with my mother and she’s in her 70’s and I’m advising her to get into safer investments as well. I think the individual stock picks are always based on fundamentals and income generation. Though I don’t really know the market is trading based on fundamentals… My FA is annoyingly risk averse and retirement focused, while I have more risk tolerance and include emerging markets in my tax advantaged accounts for example. I think it all comes down to what you want to get out of the stock be it dividend income, low entry cost, growth etc. Their philosophy is that when you buy index funds you’re also buying a large number of losing stocks and they want to avoid that. And to be clear they have made some bad picks like Adobe and Uber but also great ones like Alphabet at avg cost of $152. Overall though it’s been a decent strategy and I’m comfortable giving them a portion of my portfolio to manage, and I definitely understand your reservations about it and your strategy for your parents at this stage seems reasonable. I would probably be mostly in bonds at 85 myself. I’m sure they appreciate having you around and hope they also recognize how much work it can be.

Obligation_Still

I use an FA as a millenial, I'm not strong with investing, I've historically been very scared of money and I don't have the time or interest to research and his fees are quite low. The agency I work with would be considered SRI I guess? But we consistently hit market numbers and slightly higher, I have a few ETF's that I invest in on the side and my FA beats them often by a couple points. I like having an FA personally but I know not everyone does, I look at it like insurance for my money. My FA does not go stock picking or anything like that, the company has a full division that actively manages the entire portfolio to help their clients, I like it.

snotick

I think part of the issue with FA's is that they spend so much time chasing the gains, that they have a hard time recognizing that my mom will sleep better at night knowing she has very little risk of her investments being cut by 25%. She turns 85 next month and my dad is a year older. They don't need the growth, just don't want any loss. Could they put their money under their mattress and be just fine for the rest of their life? Probably. So, anything they gain above the mattress is just a bonus. Investing for a 5-10 year window is much different from a 30-40 year window. And while I recognize the personal gain that could end up producing more for the heirs by investing more aggressively, it's not my money. They saved their whole lives to die with their financial needs met. Now, if it was of my other siblings, they would have pushed for them to put their money in an LLC, invest heavy and not care about what my parents want. I think that's why they want me involved. They know I don't need any of their money after they die. I haven't told them, but we have more in retirement savings than they do. None of my other 4 siblings are anywhere close. One was taking money from our parents for years to pay off credit card debt. My mom was reluctantly still giving her money every month (you know mothers). I put a stop to that because she didn't want to be the bad guy.

econguy85

FA here. Your parents should run for the hills if he’s recommending investing in individual equities. A very important role an advisor has is reviewing the client’s risk tolerance regularly (generally annually) and investing their funds within those parameters. FA’s are bound by suitability and we can find ourselves in legal and career trouble if we deviate from that. Most advisors invest in a mix of mutual funds, ETFs, and annuities depending on risk tolerance and objectives of the client.

snotick

Same. But, I'm late 50's. I've met with a couple of FA's through the years, but all of them seemed shady. So, I've managed all of our investments up until now. Less than 3% is in individual stocks. It's been that way for most of my investing life. If I live to 85, I expect my approach will be similar to my parents.

radicalbot

Early 40’s. I should mention I also manage a portion of my portfolio myself (~60%) in Vanguard and mostly index funds (and occasional single stock funds if I have a good reason to have conviction). But my FA is at Morgan Stanley and they specialize in domestic markets so I let them do it as a way to diversify. They buy what I would consider odd picks sometimes like Home Depot and Chlorox that has a high dividend yield. Not on my radar but seem to have worked out so far. I’m not advocating for this strategy as everyone’s financial goals and time horizons are different, just adding a data point for you to evaluate.

snotick

Do you mind me asking your age? I've met with a couple of financial advisors over the years, but didn't like any of them. Now that we are in our late 50's, I'm thinking I need to find a flat fee FA to prepare for next steps.

snotick

You're lucky, your mom is a set it and forget it. One thing I pushed for at yesterday's meeting was to give up the paper statements. She gets stuff in the mail every week. She understands none of it, except the bottom line. If the balance drops she's asking me "why". I visit them at least once a week at their retirement home and she always has mail for me to look at and explain it to her. Some are prospectus'. Which I tell her to throw away. Some are just dividends or CDs that matured. But, then she starts wondering if that money has been reinvested in a CD. If it sits there for more than 2 weeks, she starts to worry she's not earning interest. She's the person you hear about that checks their retirement every day. I get it, she's a worrier. She's at a point where she knows they can't work and earn any more, but she also knows that end of life, and the required care, is barreling down on them. I've tried to calm those nerves and help as best I can. But, having a FA takes some of that burden off me. I just don't think his fees are worth it when a flat fee FA could do the same.

johnnyshots22

HCWC and CURX possible plays of the day  Not FA good luck on your tickers ! 👊

NorthStarTX

Your parents don't have an FA, your parents have a day trader who wants to trade with someone else's money.