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Wealth Professional | 13 Nov 2015, 09:00 AM Agree 0
He was last seen going for a bike ride and hasn’t been seen since
  • Kathy Waite Your Net Worth Manager | 13 Nov 2015, 11:04 AM Agree 0
    So he hasn't " disappeared" with their money he has lost it in the market. I find this really sad and an indictment of the industry. He was a professional sportsman and they are encouraged to use their reputation / fame to get into the business for prospecting purposes ( ahem a certain local football team that wears green ) but may not have the academic background to really manage money. Advisors buy into the PR hype and marketing of active funds and managers reputation ( a cult of personality abounds ) that don't beat the market and then take the rap for their choices. Was he taught to " plan" or just " sell" and its clear he targeted friends and family ....sure sounds like "project 100" the entry criteria for many career shops. This guy is probably having a nervous breakdown and needs support before its a suicide. His compliance department have failed if they let him get to this. Feel for his clients but assuming its not a ponzi scheme they have been getting statements from his dealer since 1999 this didn't happen over night .
    I also think being paid on commission encourages reps to put people 100% in the market. If you are paid for your time and advice you can tell people to pay down debt , keep a cash position etc none of that makes commission or hits a sales target though with most firms.
    In the 2008 correction there is a famous case in saskatchewan guy who had done the same , all family and friends in his firms own brand product and he ended up divorced and broke, handed his laptop in and walked away. Reps need to know how to weather the storms for their clients and themselves.
  • Debbie | 16 Nov 2015, 10:02 PM Agree 0
    Kathy makes a very important point when she says "I also think being paid on commission encourages reps to put people 100% in the market. If you are paid for your time and advice you can tell people to pay down debt , keep a cash position etc none of that makes commission or hits a sales target though with most firms." This is exactly why this industry needs an overhaul.
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