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2019 Money Magnet Symposium - Discover how to make, and keep, more money and achieve a financially empowered future
Viewing 18 posts - 21 through 38 (of 38 total)
  • Profile photo of v8ghiav8ghia
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    @v8ghia
    Join Date: 2005
    Post Count: 871
    Evolve wrote:
    If you are crazy enough to enter the financial planning industry (v8ghia I am looking at you) then you need to have thick skin and hopefully the ability to provide (and more importantly SHOW) true value.  Possibly the worst job in the world.

    Oh well – Got to the age where I need to do the third career change,and as I like finance, and helping others, and don't want to stay in a lending role I reckoned FP was the go……. Would love an outside job or something more community service oriented but with a couple of past motorbike injuries and not enough 'qualifications on paper' those two options are out…….I'll give it a good shot, but surely there are worse jobs?   Poo man? (used to know a septic cleaner that had that on his pump out truck number plates – priceless!) Night watchman at a soap factory in the UK? Green Corps? Parking Cop? Commonwealth Bank?

    Profile photo of number 8number 8
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    @number-8
    Join Date: 2010
    Post Count: 333

    V8ghia,

    Let me say, talking and making a difference in the life of Mum and Dad Australia is a joy. I love breaking down financial walls and restraints to show people how to save a dollar. But like I keep saying to my family and friends it is difficult to charge someone on a pension, or with two children and husband has left etc etc.

    http://www.birchcorp.com.au

    Profile photo of Richard TaylorRichard Taylor
    Participant
    @qlds007
    Join Date: 2003
    Post Count: 12,010

    V8ghia

    If you make comment about the number of grey hairs when you see the article i wont talk to you again !!!!!!

    Richard Taylor | Mortgage Broker helping investors build their wealth thru property
    http://www.mortgagecapitalaustralia.com.au
    Email Me | Phone Me

    0-40 Properties in a decade with a unencumbered portfolio value in excess of $40M. Ask me for a copy of my API Interview.

    Profile photo of TerrywTerryw
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    @terryw
    Join Date: 2001
    Post Count: 16,173

    Very good Richard. Do u have a PDF of the article you could share? or maybe there are copyright restrictions.

    Terryw | Structuring Lawyers / Loan Structuring Pty Ltd
    http://propertytaxbook.com.au/
    Email Me

    Lawyer, Mortgage Broker and Tax Advisor (Aust wide) http://propertytaxbook.com.au/

    Profile photo of Dan42Dan42
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    @dan42
    Join Date: 2008
    Post Count: 620
    number 8 wrote:

    Let me say, talking and making a difference in the life of Mum and Dad Australia is a joy. I love breaking down financial walls and restraints to show people how to save a dollar. But like I keep saying to my family and friends it is difficult to charge someone on a pension, or with two children and husband has left etc etc.

    http://www.birchcorp.com.au

    This is the issue the industry will have when the commission taps are turned off. One way or another, the client pays for the advice, at the moment it is through the fee structure of their superannuation or managed funds investment. Charging them directly for advice is a more honest and open way of doing it, and it's the way other professions charge their clients. 

    Hopefully the banning of commissions will weed out some of the rogue operators, and stop mum and dad Australia being placed into businesses like Westpoint and Fincorp, and losing their money.

    Profile photo of itsandrewitsandrew
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    @itsandrew
    Join Date: 2007
    Post Count: 294

    Interesting thread.  A question from a non finance person.  If FP's can no longer earn commissions, and if giving advice should be free, where do they  make their money?

    Andrew

    itsandrew

    Go as far as you can see and you will see further.

    Profile photo of EvolveEvolve
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    @evolve
    Join Date: 2009
    Post Count: 66

    Thanks for additional info Number8 – it does put a totally different spin on what you have said and it looks like I did something I typically don't like doing – making an assumption!

    Thanks for giving some constructive criticism and acknowledging that in certain areas I do personally provide value and answer a few questions here and there – rather than just blasting me for incorrect making an assumption about your business.

    I also would mention that I have HUGE respect for anyone who has competed in ironman competitions and triathlons – I understand the huge commitment and discipline it takes.  It is good to see you transfer that commitment and discipline to your business and give something back at the same time! KEEP UP THE GOOD WORK!

    Richard – I will grab a copy of API sometime this week!

    Thanks for all the other comments and discussion – genuinely enjoyed reading this thread!

    SM

    Profile photo of EvolveEvolve
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    @evolve
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    Post Count: 66
    Dan42 wrote:
    Hopefully the banning of commissions will weed out some of the rogue operators, and stop mum and dad Australia being placed into businesses like Westpoint and Fincorp, and losing their money.

    I have seen way too much of this in my professional career thus far. 

    Trying to prevent honest hard working people from getting ripped off is huge motivating factor for me – it is one of the few things that gets me fired up and want to do something about it!

    Hopefully the regulators will get it right without making good quality financial advice too costly for the average punter.

    SM

    Profile photo of lifesjourneylifesjourney
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    @lifesjourney
    Join Date: 2006
    Post Count: 40

    Richard,
    I Have the July API didnt see you in it.
    Cheers
    Matt

    Profile photo of number 8number 8
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    @number-8
    Join Date: 2010
    Post Count: 333

    Evolve,

    I appreciate your remarks, thank you for your kind words- very professionally responded. 

    Terryw,

    For the record, I think you knew this would get me going……… My next post will be on trusts and legal structures as some pay-back (I will have the think of something controversial).

    http://www.birchcorp.com.au 

    Profile photo of TerrywTerryw
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    hi No. 8. I thought I would get a response out of you.

    But also I was interested to know if people would be willing to pay upfront fees once commissions are abolished.

    Terryw | Structuring Lawyers / Loan Structuring Pty Ltd
    http://propertytaxbook.com.au/
    Email Me

    Lawyer, Mortgage Broker and Tax Advisor (Aust wide) http://propertytaxbook.com.au/

    Profile photo of EvolveEvolve
    Member
    @evolve
    Join Date: 2009
    Post Count: 66
    lifesjourney wrote:
    Richard,
    I Have the July API didnt see you in it.
    Cheers
    Matt

    Try the August issue – pages 44 to 48

    Worth a read. 

    You will see a pattern with all the guys featured – I will give you a clue – starts with 'cash' and ends with 'flow'

    This is the first time I have actually bought API magazine – it seemed a good read – I just had to ignore the gaping holes in the article about buying (geared) property with your super on pages 78-79.  I guess editorial considerations need to be taken into account!

    Sorry – off topic!

    Profile photo of Richard TaylorRichard Taylor
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    @qlds007
    Join Date: 2003
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    Sorry Terry just late in reading up on old posts.

    Yes i do not have a PDF on the API article and am happy to send it to anyone who wants to read it.

    Richard Taylor | Mortgage Broker helping investors build their wealth thru property
    http://www.mortgagecapitalaustralia.com.au
    Email Me | Phone Me

    0-40 Properties in a decade with a unencumbered portfolio value in excess of $40M. Ask me for a copy of my API Interview.

    Profile photo of TerrywTerryw
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    @terryw
    Join Date: 2001
    Post Count: 16,173
    Qlds007 wrote:
    Sorry Terry just late in reading up on old posts.

    Yes i do not have a PDF on the API article and am happy to send it to anyone who wants to read it.

    Hi Richard – do not have or have?

    Terryw | Structuring Lawyers / Loan Structuring Pty Ltd
    http://propertytaxbook.com.au/
    Email Me

    Lawyer, Mortgage Broker and Tax Advisor (Aust wide) http://propertytaxbook.com.au/

    Profile photo of Richard TaylorRichard Taylor
    Participant
    @qlds007
    Join Date: 2003
    Post Count: 12,010

    Sorry mate YES I DO HAVE A COPY.

    Is your email address the same ?

    Richard Taylor | Mortgage Broker helping investors build their wealth thru property
    http://www.mortgagecapitalaustralia.com.au
    Email Me | Phone Me

    0-40 Properties in a decade with a unencumbered portfolio value in excess of $40M. Ask me for a copy of my API Interview.

    Profile photo of JaythesailJaythesail
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    @jaythesail
    Join Date: 2010
    Post Count: 3

    I have started last year to have a financial advisor. The way I see it, I pay $3000 a year to have 2 guys I can go to with all my questions and for things I need advice in. Is it worth it? While I’m young and stupid, I think so.

    Hopefully in a few years I have made some friends in the right areas so I can have these discussions at the pub rather than in an office. I think the cost of doing it either way would be about the same over a year…

    Profile photo of Richard TaylorRichard Taylor
    Participant
    @qlds007
    Join Date: 2003
    Post Count: 12,010

    Hi Jay

    Depending on the sorts of questions you want to ask why not float a couple of questions on the forum here.

    $3000 buys you a lot of books to read and educate yourself rather than using a FP.

    Usually good test is to ask your Financial Planner how many properties he/she owns.

    Normally a FP wont make any money in recommending you buy an IP and will want to push managed funds and direct shares.

    Cheers

    Yours in Finance

    Richard Taylor | Mortgage Broker helping investors build their wealth thru property
    http://www.mortgagecapitalaustralia.com.au
    Email Me | Phone Me

    0-40 Properties in a decade with a unencumbered portfolio value in excess of $40M. Ask me for a copy of my API Interview.

    Profile photo of bumskinsbumskins
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    @bumskins
    Join Date: 2010
    Post Count: 34

    A lot of people on this site are strictly "Property Investors", this is counter intuitive to good Financial Planning advice. Therefor it is no wonder that many would not seek the services of a Financial Planner (even a good one) as it doesn't gel with their mantra.

    A financial planner should be looking at and giving weight to all investment classes.

    The biggest problem for Financial Planners in my point of view, is the strength of Australian Property over the last 10+ years, a lot of people have done really well out of it and it's meant that a lot of people have forgotten all other asset classes and just choose to invest in property. A financial planner just can't add enough value in this area to make it worthwhile, any advice they did add is likely to be ignored by the majority anyway. 

    While there has been some skill involved in investing in property over the last 10+ years, there also has been a lot of luck. We all know what happens when someone gets lucky to often over a long period of time, they begin to define it as the norm and look at it as a normal market characteristic or even begin to believe that they somehow greatly outskill the market. (Much like the way the GFC started).

    If there is a slow down in property, or a lot of people get burnt. And property doesn't become such an obvious or the only choice in the future. Financial Planner's will be able to add a lot more value. At this time, I believe people will be much more satisfied to make payment for financial planning services. Obviously the industry has some cleaning up of its own to do first.

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