Critique Financial Planner's Plan

[vnatale]

Just what I was looking for. You're a mind reader Vinny

Far from it! Many times this year I have had to tell the women on the coed softball team that I coach that I am NOT a mind reader, that they have to directly tell me when they are unhappy with how I have been handling their playing time.

But glad that you found what I provided of value to you.

Vinny, I'm afraid your sarcasm detector broke on this one.

Yes. I am Mr. Literal with little ability for the figurative in almost any form.

[Xan]

Just what I was looking for. You're a mind reader Vinny

Far from it! Many times this year I have had to tell the women on the coed softball team that I coach that I am NOT a mind reader, that they have to directly tell me when they are unhappy with how I have been handling their playing time.

But glad that you found what I provided of value to you.

Vinny, I'm afraid your sarcasm detector broke on this one.

Yes. I am Mr. Literal with little ability for the figurative in almost any form.

Well, sometimes you could approach it from this angle: "am I likely to be lauded and praised for my urine-related posts on a thread about Smithy becoming a landlord, or am I more likely to be ridiculed?"

Such an analysis might inform your reading of any responses.

[vnatale]

Just what I was looking for. You're a mind reader Vinny

Far from it! Many times this year I have had to tell the women on the coed softball team that I coach that I am NOT a mind reader, that they have to directly tell me when they are unhappy with how I have been handling their playing time.

But glad that you found what I provided of value to you.

Vinny, I'm afraid your sarcasm detector broke on this one.

Yes. I am Mr. Literal with little ability for the figurative in almost any form.

Well, sometimes you could approach it from this angle: "am I likely to be lauded and praised for my urine-related posts on a thread about Smithy becoming a landlord, or am I more likely to be ridiculed?"

Such an analysis might inform your reading of any responses.

It might. Though Dualstow brought the topic into here and then you amplified it with your response.

[Smith1776]

One thing that is dovetailing nicely with this potential plan is the fall in recent Canadian real estate valuations.

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[I Shrugged]

This is the most unique and possibly the most interesting forum I’ve ever been on. I wish some of those who left would have been better able, or willing, to ride the waves.

[Smith1776]

This is the most unique and possibly the most interesting forum I’ve ever been on. I wish some of those who left would have been better able, or willing, to ride the waves.

[boglerdude]

Some posters were perma-banned, which should've been shorter cool-down bans.

> I have had to tell the women on the coed softball team that I coach that I am NOT a mind reader, that they have to directly tell me when they are unhappy with how I have been handling their playing time

Boss. And he benches more than me.

[dualstow]

Apologies, Vinny. When you mentioned having a problem with your toiliet, it just seemed apropos.
Back to Canadian real estate…

[joypog]

I'm not sure where you got that impression but this is a right leaning forum nowadays.

Look at the balance in the recent guns and abortion conversations. There's hard right folks and moderate Dem's. I don't think there is a progressive in sight.

I'm most likely the closest to a prog and my main podcast listens nowadays are Jonah Goldberg and David French.

[Smith1776]

I have to say I love Vinny's posts.

[dualstow]

Is this the dumpster fire you all want?

My 2 cents:
As long as the posts are neatly contained in a single thread, they are easily avoided by those who don’t like it and enjoyed by those who do.
Remember when we, at least for a while, had mathjak limiting his pp-bashing to a single daytrading thread? Same deal.

[flyingpylon]

This was a different place 2 years ago.

It was a different place prior to 2016 as well. The good ol’ days.

[joypog]

I'm not sure where you got that impression but this is a right leaning forum nowadays.

Look at the balance in the recent guns and abortion conversations. There's hard right folks and moderate Dem's. I don't think there is a progressive in sight.

I'm most likely the closest to a prog and my main podcast listens nowadays are Jonah Goldberg and David French.

With all due respect, this is a delusional take on this forum. You didn't join until late April 2022, so you weren't around during the 2020 election era with the corresponding fireworks where several right leaning members who were regular and valued contributors got banned, pushed out, silenced or mostly disenfranchised. This was a different place 2 years ago.

I agree, I'm too new to talk about the past. But I didn't dispute what the forum was. I'm just saying what it is "nowadays".

If you think this is anything other than a right leaning forum today, then you are the delusional one.

[Smith1776]

Switching gears a bit.

Do any of you guys use a financial planner? If so, why or why not?

Would you be willing to pay 150 basis points on AUM? Seems awfully steep to me. The planner was proposing two 90 minute meetings per year in exchange for that 150 bps. The minimum investment is $250,000, so that works out to about $3,750 per year in fees at least. It feels like a scenario where I would be paying over a thousand dollars an hour for this fellow's time.

[dockinGA]

Switching gears a bit.

Do any of you guys use a financial planner? If so, why or why not?

Would you be willing to pay 150 basis points on AUM? Seems awfully steep to me. The planner was proposing two 90 minute meetings per year in exchange for that 150 bps. The minimum investment is $250,000, so that works out to about $3,750 per year in fees at least. It feels like a scenario where I would be paying over a thousand dollars an hour for this fellow's time.

Sounds like a great deal for him.

[Smith1776]

Switching gears a bit.

Do any of you guys use a financial planner? If so, why or why not?

Would you be willing to pay 150 basis points on AUM? Seems awfully steep to me. The planner was proposing two 90 minute meetings per year in exchange for that 150 bps. The minimum investment is $250,000, so that works out to about $3,750 per year in fees at least. It feels like a scenario where I would be paying over a thousand dollars an hour for this fellow's time.

Sounds like a great deal for him.

Exactly. But I do think financial advice is worth something.

Even Ken French, the noble prize winning economist who is the co-author of many famous papers in our area of interest apparently uses a financial planner.

The question is how much should one be willing to pay.

[Xan]

Why not consult a fee-only planner?

[Smith1776]

Why not consult a fee-only planner?

Good idea. I'll look into some in my area.

[dualstow]

If I did, I would use a one-time deal like Allan Roth https://mobile.twitter.com/dull_investing/with_replies
I have only used family members, but they’re not getting any younger.

[dockinGA]

Switching gears a bit.

Do any of you guys use a financial planner? If so, why or why not?

Would you be willing to pay 150 basis points on AUM? Seems awfully steep to me. The planner was proposing two 90 minute meetings per year in exchange for that 150 bps. The minimum investment is $250,000, so that works out to about $3,750 per year in fees at least. It feels like a scenario where I would be paying over a thousand dollars an hour for this fellow's time.

Sounds like a great deal for him.

Exactly. But I do think financial advice is worth something.

Even Ken French, the noble prize winning economist who is the co-author of many famous papers in our area of interest apparently uses a financial planner.

The question is how much should one be willing to pay.

I think it is a matter of how much an individual knows and how you value your own time. For me, I know exactly what I want to do and how I want to do it. There is little to nothing that a garden variety financial advisor would be able to tell me that I haven't already considered for myself. However, each month I spend a considerable amount of time evaluating finances and determining what needs to be purchased or sold or moved. I'm just too cheap to pay anyone else to do that but for other people they may arrive at a different decision.

[vnatale]

If I did, I would use a one-time deal like Allan Roth https://mobile.twitter.com/dull_investing/with_replies
I have only used family members, but they’re not getting any younger.

EXACTLY who I was going to recommend.

Did anyone else read his "Third Grader" book? I did plus several items on his web site.

Here is his philosophy.

Investing should be simple and his goal is to move you to investing in just three Vanguard Index funds. I believe they are Total Stock Market, Total Bond Market, and Total International Market. It's been a while since I have been to his web site.

He says that the bulk of his time is unwinding all your bad investments in the best way to get to that simple investing plan.

Then his job is done. Until something in your life changes and then you consult with him again.

I put someone with a huge financial planning group. They charge 1% plus. If someone has $1,000,000 invested that way you are paying out $10,000+ a year.

Roth had been charging $350 per hour. Maybe more than that now?

That would buy 30 hours a year from him compared to that 1%. I don't think those who charge the 1% are dedicating 30 hours a year to one account. They like to conduct their quarterly reviews in and out in an hour.

Therefore I would not be held back by Roth's hourly rate. I'm almost certain it would be less in the long run for someone who charges 1% for a sizeable portfolio. What does hold me back from Roth is his age. I think he might be in the neighborhood of 70 years old. There does not seem to be anyone else who works with him so he seems to be a one man show. When he decides to work no longer than you all too soon need to conduct yet another financial planner search.

About 10 years ago I tried to engage who I think is hands down THE best financial planner in the entire world - Michael Kitces. But when I contacted him about ten years to take on someone I was working with he said he was not available and wanted to refer me to someone else in his firm.

[dualstow]

Btw, someone here used a financial planner and wrote about it.
I think it was Kevin.

[snedgar]

As my wife and I are closing in on retirement, I went to see a fee-only financial planner for a sanity check. I told him I was confident in our situation and plan but I wanted him to give it a sanity check and poke holes in it where he could.

We met virtually a couple times so he could understand our situation, goals and temperaments. Then he went through our investments and the rest of our financial life carefully.

For about a thousand dollars, he confirmed our plan was reasonable and gave us three or four actionable suggestions. One of those was related to longevity planning for the case where I died early and wife lived long. I had not considered this case adequately and he showed me how taking a different option in my upcoming pension would cover that risk while costing almost nothing to my early retired income. This suggestion, alone, was worth the cost of admission!

But don't go to someone who stands to make money by talking you into doing something. Buy your cars from those people when you must; but don't let them near your investments!

[vnatale]

This is who I put someone with:

https://purefinancial.com/

I listened to a lot of their podcasts and have interacted with Alan Clopine several times via phone and email. Last I knew he was CFO & co-CEO and the organization had $3 billion under management.

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[boglerdude]

Go to someone who will also do your will/trust