Dr Rachael Tay was featured in 20th Jan 08 "The Sunday Times".
She is currently the Director in GYC, an independent advisory firm.
There are 2 quotes that caught my attention. I like to share with you.
1) My Primary strategy is now buy and hold, and rebalance once a year.
2) I was a novice investor then so for part of our children's education planning, we went with an education endowment. I am kicking myself for accepting the low yield of such policies.
2 comments I like to share:
1) How many people knows how to buy, hold and rebalance? They thought that by buying an investment plan once a while is proper investment.
2) How many people knows that Education inflation is often higher than the yield of an education plan? Anyway, for such group of people, it is still better than if they choose to save in the bank.
Tuesday, January 22, 2008
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2 comments:
What are you for? Are you a salesman or an adviser? That will determine the plan that will be recommended.A traditional endowment is usually sold by a salesman. it is a one off and it is left to flourish or die. After that is not the salesman's business any more, right?
An adviser is different. He is the partner of the customer. He is alongside to see till the end.
Dr. Tay, before coming to this business she was as blur as any customer. She may have a PhD. Don't think she is smart when it comes to finance, right?
So you see, it is the job of the adviser to tell the customer what they need and not the customer to tell you what they need.Is the customer an adviser to himself or herself.? Even a PhD does not know. What about the rest of the customers out there. They are worst. If you see from this perspective then you will see your worth in the equation.
Adrain, remember this and you will see your role differently.
All the best to you.
Statement 1: To make a recommendation without fact find analysis is a salesman.
Statement 2: To recommend endowment policy without fact find is a salesman in action.
Statement 3: To recommend buy-term-invest-the-rest without fact find is also a salesman in action.
Statement 4: Only a professional adviser makes a recommendation after a fact find process.
There is more and more sales people in Statement 3 in the market place. The wrap fee to "invest" the rest is more rewarding to the salesman then an insurance product. The public must be wary of the salesman. Just because everybody sings the same tune does not mean the tune is correct. The client must employ an adviser, not another salesman.
- Wilfred Ling
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