No one under 60 should give financial advice? That's just stupid, says advisor

No one under 60 should give financial advice? That's just stupid, says advisor

No one under 60 should give financial advice? That One advisor is calling a remark from a renowned U.S. investment strategist suggesting that retirement savings advice should only be received from a financial planner over the age of 60 'stupid.'

In an article posted to Wealth Professional's website on Tuesday, Magnus Heystek of Brenthurst Wealth, is quoted as saying in a Moneyweb article: “Think about it: would you take golf lessons from someone who has never played golf, or see a sex therapist who is still a virgin? That’s why I say: don’t take retirement planning advice from anyone under the age of 60."

The WP reader, under the name Markus, challenges Heystek's point of view asking: "How is a 60-year-old financial planner supposed to advise a client throughout retirement when they themselves are retiring shortly?" in WP's comment section.

Markus asserts that an advisor, at any age, has the ability through training and certification to provide financial advice, as well as connect and share life experiences with their clients - be they steps or year away from retirement.

"The benefit an advisor of any age can provide is living vicariously through their retired clients and sharing that experience (ie: goals, pitfalls, etc) with their pre-retired clients. A 30-something financial planner can do all that as well as advise their retired or pre-retired clients for the rest of their lives," he wrote. 

Another advisor, Renee Rebelo, who was quoted in the article, agrees with Markus, calling Heystek's comments ‘blanket’ statements. Rebelo however, suggests that new recruits take the time to get to know themselves as advisors and seek the guidance of an industry veteran.

“Find an advisor that you look up to, who is aligned with your values and morals to help you meet other financial people in the industry and build your client base too,” says Rebelo, owner of Life Coach Financial in Grimsby, Ont. “They (mentors) can give you the work experience you need and if they have a succession plan, help you move into that too.”

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  • Bob White 2014-04-26 3:02:09 PM
    I am soon to be sixty, started in the business at 23, and I can assure you that I did not know everything that the retire people would experience and the needs they would actually have. That said I did know the math and the simple concept if they did not save for the time they would no longer be working, they would have the funds required for the basic life need such as food.

    How does one get the experience at age 60 to provided the higher level of advice? Oh! they had to live, learn, experience and growth up through the ranks to accumulate all the knowlege and skills.

    You can not turn 60 and jumpo onto the financial services industry and become a specialist in retirement planning, when you may not know the difference in CARR and capital gains vs. interest taxation.

    So the comment that a younger advisor should not give advise is in simple terms is "CRAP" Financial and retirement planning is putting together a great number of factors that are learned. Dealing with Financial strategies, legal issues, taxation and social and emotional conditions. Unless the younger advisors family members all die when they were born, they experience all the issue of the parents, grandparents, aunts, uncles etc.

    If we listen to the advice of Magnus Heystek, then you should not sell life insurance until you experienced death, not practical advice.

    All this said, the senior advisor has lots to offer junior advisors through knowledge, experience and skills.

    In my 38 years in the business I have and still see people of many years in the business who hold them self out as advisors who have less skill set to help people than younger advisors, because they are product peddlers.

    Any one can hold out as an Financial Advisor, we needs to address that issue, before regulators do that for us.

    Magnus Heystek, should sit back in his rocking chair and dream up some other stupid comments that we can all take shots at.


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  • Ryan Grant 2014-04-28 12:32:15 PM
    Makes perfect sense: I never use a lawyer that hasn't been to jail and I always ensure my physician has a serious illness!
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