At one time I worked as a financial adviser. That was a failure.
I quit because I felt more dirty and dishonest than the drug dealer down the street. In fact, the drug dealer was probably providing a better product, a better service and was being more honest than I was.
I was one of the worst agents of the firm.
My boss suggested that I should pitch my friends and family to sell them life insurance, mutual funds and other crap full of hidden fees that would have never made any significant gains.
As you can imagine, my career as a financial adviser was short. I quit after almost one year of screwing strangers out of their money ( I was never able to do that to my friends and family). After I quit, I lost my working visa and I would have been deported if it wasn’t for my girlfriend at the time who accepted to marry me. Thank you ex-girlfriend, I will always be grateful to you.
Did you know that most mutual funds under perform the market? (“The Market” is the average value of a bunch of companies, which as a group, represent the health of the country’s economy.)
Here are some statistics borrowed from Forbes Magazine: “In 2012, 66% of all domestic equity mutual funds under performed the market. In 2011 a swollen 84% were laggards, while in 2010 “only” 57% did worse than the averages.”
On top of that, most people pay 2% of their hard-earned cash to someone who would do worse than the average. Hell, you can do that yourself and spend that 2% on beer and food.
Here is the moral of this segment. Do not buy mutual funds. Do not diversify. Do not trust your financial adviser. They are there to suck the savings out of you, little by little, like a parasite who will eventually kill its host.
At one time I wanted to have a career, climb the corporate ladder, study at night and work during the day. Fortunately I never passed the CFA exam that would have made me a financial knight. A person with authority would have granted me the power to ask high fees for my bull shit opinion (most mutual fund managers have a CFA certificate and their performance is below mediocre, see quote above).
I live in Quebec, a French-speaking province where the government is constantly trying to shovel the French language down the throat of anyone who is not a francophone.
I became an entrepreneur mostly because my French sucks… I would get lots of job interviews because my name “Alain Guillot” is French and employers believed that I would be one more white guy sharing the office space with them. As soon as they saw me and heard my Spanish accent they would say: “we’ll call you, don’t call us… ” whatever.
Can you imagine? I’d be sitting in an office, 8 hours per day, kissing ass and answering “Yes, Sir!” every week, for 30 years, so that at the end I would get a pot of gold and permission to start living my life. I was so lucky not have been hired.
Many people believe in the system. They believe the lies that they are told every day by the media. They debate with so much passion whether one politician will be better that the other. In 2008 the U.S. people were at the peak of believing the lies of one more politician.
Obama! Obama! Obama! — they would cry. He will bring peace, he will enforce labeling of GMO on foods, he will close Guantanamo, he will fix the economy, blah, blah, blah… and so many of us believed the lie.
- Don’t believe financial advisers and don’t believe politicians.
- Do not diversify. If something is working, focus on that something and get the best out of it.
- Create an outlet to express your opinion and try to be a critical thinker.
- Be skeptical of everything that you see and hear.
- Throw your T.V. in the garbage and ignore the frenzy of the media. They will always tell you distorted truth carefully scripted by the highest bidder.