Si1 Posted May 27, 2017 Share Posted May 27, 2017 Wailing in the telegraph "I understand finance" Telegraph.co.uk: 'Poor financial advice lost my mum £117k – and there's no comeback' http://www.telegraph.co.uk/investing/funds/poor-financial-advice-lost-mum-117k-and-no-comeback/ Quote Link to comment Share on other sites More sharing options...
spyguy Posted May 27, 2017 Share Posted May 27, 2017 15 minutes ago, Si1 said: Wailing in the telegraph "I understand finance" Telegraph.co.uk: 'Poor financial advice lost my mum £117k – and there's no comeback' http://www.telegraph.co.uk/investing/funds/poor-financial-advice-lost-mum-117k-and-no-comeback/ I thought this would be moneybox. Quote Link to comment Share on other sites More sharing options...
spyguy Posted May 27, 2017 Share Posted May 27, 2017 (edited) SIPPish. They need to get rid of ifas. They just dont work. Developer registered in the Marshall islands, middle of Pacific. Why in fcksake do unregulated schemes not have a huge warning printed on the prospectus? Edited May 27, 2017 by spyguy Quote Link to comment Share on other sites More sharing options...
Si1 Posted May 27, 2017 Author Share Posted May 27, 2017 (edited) 8 minutes ago, spyguy said: SIPPish. They need to get rid of ifas. They just dont work. Developer registered in the Marshall islands, middle of Pacific. Why in fcksake do unregulated schemes not have a huge warning printed on the prospectus? Being unregulated should be the clue. But it was properdie init. My guess anyway. Edited May 27, 2017 by Si1 Quote Link to comment Share on other sites More sharing options...
Peter Hun Posted May 27, 2017 Share Posted May 27, 2017 His mother has dementia and the advisor gave the money to some developer via an off shore account. The advisor told them that it was in a low risk, easy to access investment. Blatant fraud on the part of the advisor, I don't think you can blame a old woman with dementia for the fraudulent actions of an advisor. Quote Link to comment Share on other sites More sharing options...
Si1 Posted May 27, 2017 Author Share Posted May 27, 2017 8 minutes ago, Peter Hun said: His mother has dementia and the advisor gave the money to some developer via an off shore account. The advisor told them that it was in a low risk, easy to access investment. Blatant fraud on the part of the advisor, I don't think you can blame a old woman with dementia for the fraudulent actions of an advisor. The clue should still be in the fact that it was an unregulated fund. Awful advice but not fraud. Moon on a stick. Can't lose with property Quote Link to comment Share on other sites More sharing options...
Peter Hun Posted May 27, 2017 Share Posted May 27, 2017 2 minutes ago, Si1 said: The clue should still be in the fact that it was an unregulated fund. Awful advice but not fraud. Moon on a stick. Can't lose with property The advisor lied about where the money was invested Quote Link to comment Share on other sites More sharing options...
TulipsFromThreadneedle Posted May 27, 2017 Share Posted May 27, 2017 (edited) £65k a year to look after a dementia ridden 89 year old. Yet the MSM are up in arms about people only being left with 100K from a house that on average costs about 220k. The daughter got greedy with her mothers money she had POA and thought she found a way to make a quick buck. It wasn;t poor financial advice that lost her mothers money it was her greed. Edited May 27, 2017 by TulipsFromThreadneedle Quote Link to comment Share on other sites More sharing options...
wish I could afford one Posted May 28, 2017 Share Posted May 28, 2017 11 hours ago, spyguy said: ... They need to get rid of ifas. They just dont work. ... If you want your wealth to actually generate a sensible real return that you someday might be able to live off I can't see how you can do anything but take some self responsibly and go DIY. By my calculations if you use a financial adviser or investment manager you could be losing up to 94% of your real return. Source of calculations. The book Where Are the Customers' Yachts? springs to mind. Of course I'm not licensed to give any sort of advice so DYOR on all that. Quote Link to comment Share on other sites More sharing options...
Si1 Posted May 28, 2017 Author Share Posted May 28, 2017 11 hours ago, TulipsFromThreadneedle said: £65k a year to look after a dementia ridden 89 year old. Yet the MSM are up in arms about people only being left with 100K from a house that on average costs about 220k. The daughter got greedy with her mothers money she had POA and thought she found a way to make a quick buck. It wasn;t poor financial advice that lost her mothers money it was her greed. No, she said she's in advertising and understands finance. Quote Link to comment Share on other sites More sharing options...
TulipsFromThreadneedle Posted May 28, 2017 Share Posted May 28, 2017 18 minutes ago, Si1 said: No, she said she's in advertising and understands finance. She's lacking in self awareness as well as being greedy ... a real keeper is this one!. Quote Link to comment Share on other sites More sharing options...
Abstra616 Posted May 28, 2017 Share Posted May 28, 2017 12 hours ago, TulipsFromThreadneedle said: £65k a year to look after a dementia ridden 89 year old. Yet the MSM are up in arms about people only being left with 100K from a house that on average costs about 220k. The daughter got greedy with her mothers money she had POA and thought she found a way to make a quick buck. It wasn;t poor financial advice that lost her mothers money it was her greed. I agree. Offspring can go slightly bonkers seeing their inheritance burned by the care home. Was she was actually trying to put it out of reach of the authorities. I saw a property porn episode where the Son in Law 'Clive' was steering the Granny to invest in property, what for 25 years? She'd be long dead. It wasn't her interests at heart, it were his own, he couldn't take his eyes off of it. She was going along with it though. Quote Link to comment Share on other sites More sharing options...
Abstra616 Posted May 28, 2017 Share Posted May 28, 2017 7 minutes ago, Abstra616 said: I agree. Offspring can go slightly bonkers seeing their inheritance burned by the care home. Was she was actually trying to put it out of reach of the authorities. I saw a property porn episode where the Son in Law 'Clive' was steering the Granny to invest in property, what for 25 years? She'd be long dead. It wasn't her interests at heart, it were his own, he couldn't take his eyes off of it. She was going along with it though. I just come across this bit 'Alchemy Wealth Management'. LOL. Would you... LOL! I'd burst out laughing. Quote Link to comment Share on other sites More sharing options...
Peter Hun Posted May 28, 2017 Share Posted May 28, 2017 1 hour ago, Abstra616 said: I agree. Offspring can go slightly bonkers seeing their inheritance burned by the care home. Was she was actually trying to put it out of reach of the authorities. I saw a property porn episode where the Son in Law 'Clive' was steering the Granny to invest in property, what for 25 years? She'd be long dead. It wasn't her interests at heart, it were his own, he couldn't take his eyes off of it. She was going along with it though. The daughter did NOT choose the advisor it was her mother who used the same one for 15 years. The advisor should NEVER have put the money in an unregulated investment, the mother wasn't a sophisticated investor. The mother is entitled to be protected against bad advice, which why she paid for professional advice. That professional LIED to the mother and daughter as to where the money was invested. Stop blaming the victim, the IFA is entirely at fault. Quote Link to comment Share on other sites More sharing options...
Bruce Banner Posted May 28, 2017 Share Posted May 28, 2017 Personally, I've never sought advice from an IFA, if they knew what they were doing they'd be doing it with their own money. Having said that, I used an IFA when I bought my annuity, as they have access to databases not available to the public, the IFA got me 7.5% and the best I could find was about 6%, a huge difference with an annuity purchase. Quote Link to comment Share on other sites More sharing options...
Si1 Posted May 28, 2017 Author Share Posted May 28, 2017 49 minutes ago, Peter Hun said: The daughter did NOT choose the advisor it was her mother who used the same one for 15 years. The advisor should NEVER have put the money in an unregulated investment, the mother wasn't a sophisticated investor. The mother is entitled to be protected against bad advice, which why she paid for professional advice. That professional LIED to the mother and daughter as to where the money was invested. Stop blaming the victim, the IFA is entirely at fault. Yeah but it was properdie init Quote Link to comment Share on other sites More sharing options...
Peter Hun Posted May 28, 2017 Share Posted May 28, 2017 31 minutes ago, Bruce Banner said: Personally, I've never sought advice from an IFA, if they knew what they were doing they'd be doing it with their own money. The reason you use a IFA is to be protected (insured) against bad/criminal investments. Puting a client's money into a development scheme in Wales via a offshore fund isn't bad advice - its criminal. Quote Link to comment Share on other sites More sharing options...
Peter Hun Posted May 28, 2017 Share Posted May 28, 2017 4 minutes ago, Si1 said: Yeah but it was properdie init No it wasn't. They were never told what the investment was. Quote Link to comment Share on other sites More sharing options...
Darby Ram Posted May 28, 2017 Share Posted May 28, 2017 28 minutes ago, Peter Hun said: The daughter did NOT choose the advisor it was her mother who used the same one for 15 years. The advisor should NEVER have put the money in an unregulated investment, the mother wasn't a sophisticated investor. The mother is entitled to be protected against bad advice, which why she paid for professional advice. That professional LIED to the mother and daughter as to where the money was invested. Stop blaming the victim, the IFA is entirely at fault. + 1 The trouble is, people are more vulnerable to investment scams because the vested interest of the asset management industry has never been tackled. For the last few decades, IFAs have directed clients into products that, because of the fee structure, have underperformed. This is a big part of where the "pensions are a rip-off, the stock market is a gamble, property is a sure-thing" mindset comes from in the UK. If that's how 'honest' IFAs, and regulated investments, have done then, inevitably, it opens up space for outright fraudsters to sell people snake oil. Changing that environment would technically be pretty easy, since the government already has a pension scheme set up (Nest). It could take that, open it up to everyone as the default pensions plan and use a robo-advisor that put savings in the equivalent of Vanguard funds and perhaps a sovereign wealth fund. If the asset management industry thought it could do a better job then it would have to compete with those low fees and win customers, rather than relying on being the incumbent pension provider for an employer or bamboozling uninformed investors. Quote Link to comment Share on other sites More sharing options...
Si1 Posted May 28, 2017 Author Share Posted May 28, 2017 3 minutes ago, Darby Ram said: + 1 The trouble is, people are more vulnerable to investment scams because the vested interest of the asset management industry has never been tackled. For the last few decades, IFAs have directed clients into products that, because of the fee structure, have underperformed. This is a big part of where the "pensions are a rip-off, the stock market is a gamble, property is a sure-thing" mindset comes from in the UK. If that's how 'honest' IFAs, and regulated investments, have done then, inevitably, it opens up space for outright fraudsters to sell people snake oil. Changing that environment would technically be pretty easy, since the government already has a pension scheme set up (Nest). It could take that, open it up to everyone as the default pensions plan and use a robo-advisor that put savings in the equivalent of Vanguard funds and perhaps a sovereign wealth fund. If the asset management industry thought it could do a better job then it would have to compete with those low fees and win customers, rather than relying on being the incumbent pension provider for an employer or bamboozling uninformed investors. Yes. But during a boom anything goes and few people listen to words of caution. Quote Link to comment Share on other sites More sharing options...
Darby Ram Posted May 28, 2017 Share Posted May 28, 2017 4 minutes ago, Si1 said: Yes. But during a boom anything goes and few people listen to words of caution. I agree, which is why most people should not have to deal with an IFA at all to sort out their finances - it's an extra layer of cost that's unnecessary unless you're extremely wealthy and adds an extra "someone does something really stupid or fraudulent" risk into the mix. The default option for people's money should be "direct it somewhere cheap and sensible, then do nothing". Then if a member of the family starts getting the idea to invest in a banana plantation in Ecuador, it should be obvious that something unusual is going on because most people just...do nothing. Basically, my plan to reduce IFA fraud is to make as many as possible of them unemployed. Quote Link to comment Share on other sites More sharing options...
spyguy Posted May 28, 2017 Share Posted May 28, 2017 1 hour ago, Peter Hun said: The daughter did NOT choose the advisor it was her mother who used the same one for 15 years. The advisor should NEVER have put the money in an unregulated investment, the mother wasn't a sophisticated investor. The mother is entitled to be protected against bad advice, which why she paid for professional advice. That professional LIED to the mother and daughter as to where the money was invested. Stop blaming the victim, the IFA is entirely at fault. I agree. I mena, FFS, the mothers 80+. Investment at that age is pretty simple - cash + near cash. Quote Link to comment Share on other sites More sharing options...
MARTINX9 Posted May 28, 2017 Share Posted May 28, 2017 On 27 May 2017 at 9:35 PM, TulipsFromThreadneedle said: £65k a year to look after a dementia ridden 89 year old. Yet the MSM are up in arms about people only being left with 100K from a house that on average costs about 220k. The daughter got greedy with her mothers money she had POA and thought she found a way to make a quick buck. It wasn;t poor financial advice that lost her mothers money it was her greed. I think most people have no idea what an extortionate rip off care is these days. £65k to look after one person in a home? That is the real scandal - not the inheritance/dementia tax nonsense the press has got excited about. Quote Link to comment Share on other sites More sharing options...
CunningPlan Posted May 29, 2017 Share Posted May 29, 2017 7 hours ago, MARTINX9 said: I think most people have no idea what an extortionate rip off care is these days. £65k to look after one person in a home? That is the real scandal - not the inheritance/dementia tax nonsense the press has got excited about. Agreed. Assuming you had a spare room I would have thought you could get a live in Filipino nurse and extra cover for less than half that. Quote Link to comment Share on other sites More sharing options...
Peter Hun Posted May 29, 2017 Share Posted May 29, 2017 8 hours ago, MARTINX9 said: I think most people have no idea what an extortionate rip off care is these days. £65k to look after one person in a home? That is the real scandal - not the inheritance/dementia tax nonsense the press has got excited about. And care homes are going bust, because its not enough. The number of dementia patients is going to increase 40% over the next few years where is the money coming from? Quote Link to comment Share on other sites More sharing options...
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