The world of finance sometimes comes with a big elephant in the room – is your adviser trustworthy? Unfortunately, we sometimes see stories about financial advisers (or people in positions of power or influence in financial institutions) who have misappropriated funds for their benefit (i.e. they’ve stolen money from their clients).
Recently, Michael caught up with a friend who works as an accountant. A long discussion about the two professions got Michael thinking: do listeners of the Money Over 50 podcast (and people in general) know the difference between an accountant and a financial adviser?
When Dallas was younger, he was a keen martial arts student. After each fight, his coach would give him a Post-It note with three things on it that he needed to fix. These three points helped Dallas focus on what he needed to start working on. According to Dallas, he probably had a lot more than three things to work on, but the coach was adamant on only giving Dallas three at a time.
Whenever we tell people we’re financial advisers, the first question we get asked is ‘what is a good investment?’ or ‘what should I invest my money in?
When Michael was at the tile shop looking for renovation ideas and being asked to choose between an assortment of different designs, he left in a haste and joined his kids in watching a Disney show instead. When it came to choosing tiles for his new bathroom, Michael was overwhelmed – and simply couldn’t envision what the tiles would look like on a wall. All credit goes to his wife Suzie, who has done all the hard yards and put up with him at the shop.
Everyone knows Roger Federer is one of the best tennis players of all time. But he still has a tennis coach! It’s the same for a financial adviser. Despite how good they are, they still benefit from financial advice. At Money Over 50, while we are well equipped to deal with our own finances, we still value input from other advisers. Michael is Dallas’s adviser; Dallas is Michael’s.
We’re going to get a little philosophical here and make this statement: people in the modern world want lots of choice in their lives. They want options when it comes to making decisions. And with modern technology, information is abundant – providing so many options for everything we do.
Whenever we meet with someone for the first time, our first appointment is predominantly spent discussing their goals, objectives, and priorities. While some people know their financial goals, many people don’t. In addition to this, we also find that sometimes people think they have clear financial planning goals, when in reality they have what could be more accurately called a ‘wish’ or a ‘dream’.
Dallas Davison, Michael Hogue and Ali Hogue.