http://disqus.com/by/BLuts/enThu, 08 Jan 2009 11:08:49 -0000http://registeredrep.com/newsletters/wealthmanagement/market_upsets_biz0107/#comment-4988174<p>Unfortunately, I would disagree with this article. The problem is not the fee based account approach, rather the training and expertise of the so called financial planner or wealth manager. Most people in our industry have no clue how to manage risk. You can not expect your clients to know how to manage risk. This is why they are a client and not a financial planner. If we put ourselves out there to run money for people, we need to be trained on how to make a call to go to cash or bonds when we think it is going to be bad. On the other side of that coin you have to make a call to move to equities when you think it will be good. You need to be able to do this with total flexibility and no additional cost to a client and the fee based approach is the best tool out there. Now I am not saying that you buy 4 or 5 managers and hope they make that call. They can't. You have to. You are the financial planner and you have to create the allocation and you have to make the calls to be on defense or offense. Stop whining and do your jobs. The clients who say they don't want to pay a fee while their assets are going down are the clients who see no value in what you do, because you do nothing. This has been a brutal year and it may stay tuff for a bit longer, so hike up your boots and get to work, and earn it.</p><p></p>BLutsThu, 08 Jan 2009 11:08:49 -0000