Is An Investment Adviser Committed To Your Financial Success?
Many money managers/advisers lack credibility. They are motivated by something other than mutual financial success and their intentions are far from sincere.
When investors are considering introducing a new investment to their portfolio, most will conduct hours of in depth research before deciding whether or not to proceed. For some, this process will include relying upon a financial adviser to help manage their portfolio. Others seeking investing options will use investor reviews to help them choose investments. In both instances there is a great dependency upon other people to provide information.
The information investors are seeking is available in investing forums/communities and on financial advisers’ blogs. Both resources are easily accessible, however the concern for many is the source’s credibility. How credible are the sources being used to support a decision to invest or not? After all, isn’t it possible that people will publish bias or untrue reviews in an effort to influence the reader? In some instances, a fund or money manager will fabricate information to discredit other offerings, and make their own investments or strategies appear more appealing.
In instances where money managers misinform and misguide investors, it is (most often) done with the intention of persuading investment-seekers to move their attention toward funds managed by the reviewer. By establishing themselves, in the eyes of investors, as a credible resource, they are able to influence an investor’s decision-making. Does it sound cunning? It is.
Sometimes, as with the attack on Davenport Laroche by Alexis Assadi, the fund manager will provide information that is intended to confuse investment-seekers. Once investors are distracted, the reviewer is able to introduce products from their own fund and portfolio. This is similar to the illegal practice of “bait-and-switch.”
Make no mistake, there is information available that is not intended to confuse investors. The warning here is to be aware that there are advisers and managers who are motivated by something other than mutual financial success. In most instances, these predators lack credibility and their intentions are far from sincere.
The solution to finding credible information is to focus on well-established sources, such as Jim Cramer, The Street, etc., that have proven they have your best interests at heart and offer no hidden agenda. These assets can be relied upon to provide dependable insight and information that will truly benefit investors in their search for investments.