We provide performance reporting on all account above 250k and on ALL Accounts if I access it manually.

I'm not saying C shares are better than a wrap account...no no.  I'm saying they have many advantages over A shares when paying a sales charge.  And, I personally like them better.

You can still do well with A shares these days (in fact better in many cases) and I doubt any ethical hard working broker's days are "numbered" regardless of what direction they choose. 

C shares @ a 31% payout are tough but I’m doing it as well as my wrap accounts for the long term. Sure hurts the gross.

EZ- It’s even tougher at 30% but if it is right for the client that is where you gotta go…

Zacko..... I hated to make that comment, but truth hurts.  You can be an ethical & hardworking transactional broker and it won't matter.  Margins are being squeezed pretty hard industry wide.  A lot of firms pay you less for individual transactional business.

And I would bet that most transactional brokers can't beat the performance of a good managed account.  By the way, if you are calculating their performance manually, you are wasting valuable time that you could spend promoting your business.

Iconsult, the big indys have unbelievable technology.  I have the ability to calculate and graphically display performance of an individual account or group of accounts by YTD, trailing twelve, since inception or pretty much any metric I want, and once it's set up for a client, I can generate this report in 15 seconds.  I'm sure Zacko has something similar.  With this kind of technology at hand, one can review a significant number of portfolios in a very short time.

Frankly, a transactional broker can beat the money managers pretty handily in many cases.

What's the TOPIC?

Topic: EDJ back on top

Let's see, they pay their IR's 38% depending on the type of share, could be as low as 30%....GP's get paid way too much.......They have still never told their clients the TRUTH about Doug "3 Mil" Hill, and how the GP's ripped off their clients, but they are on top of covering-up?

Back on Top of what?

According to Doug "3 Mil" Hill"Our clients don't read the WSJ, they are just good hard working folks" Translation: They are "stupid" !

 But, does that mean you can take advantage of them, it seems so to Edward Jones IR's, except the ones that are leaving............

What percent of Jones IR's have less than 3 years experience?  Looking a lot like the National Banks Brokerage business, hire inexperience they will sell & buy whatever you tell them, if not fire and hire.

There is an office every 5 to 10 blocks, usually within a half mile of each other, they never get lonely that way, but they are getting market share.

Who has more locations, Edward Jones or 7 Eleven?

Is there a difference?

And they are on TOP of what?

EDJ Legends in their own minds...A mind is a terrible thing to waste..............................but they keep coming on here bragging about being on TOP , how superior and ethical they say they are? It's called "HYPOCRITE" 

As long as they keep doing it,  I will keep calling them out

The TRUTH will set you FREE.............

Other than you, Player, who cares?

[quote=Starka]

Frankly, a transactional broker can beat the money managers pretty handily in many cases.

[/quote]

Come back to planet earth will ya...  Are you that arrogant to think you can do better than teams of P.H.D's?

In a word, yes.

[quote=iconsult100][quote=Starka]

Frankly, a transactional broker can beat the money managers pretty handily in many cases.

[/quote]

Come back to planet earth will ya...  Are you that arrogant to think you can do better than teams of P.H.D's?

[/quote]

I regularly do MUCH better for my clients than the "P.H.D's".  You must mean the CFA's.  Either way, it doesn't matter.  There is so little originality of ideas and thought coming from that gaggle of Wall Street groupthink, it is not all that hard to significantly outperform them on a regular basis.

Sooth, you must be pretty good. Can I send you 500 or so? You must be doing better than my def comp…Outpacing all the CFAs at Captal, wow, that is impressive, Where do I send my check ? And your fee ?

iconsult: PHDs?? You old enough to remember Long Tem Capital “Management”. Not only PHDs, but Nobel Laureates. Damn near wrecked our economy in 1998 until Greenspan excersised on of his “puts” to save the system. I DO NOT want PHDs touching MY money.

Professional money managers are little more than mutual funds with individual equity holdings in the client's account.  You can just as easily screw up allocations there as you can with mutual funds.   You gain some tax advantages and the "institutional style" management we like to gloat about. 

[quote=Guest1]Sooth, you must be pretty good. Can I send you 500 or so? You must be doing better than my def comp..Outpacing all the CFAs at Captal, wow, that is impressive, Where do I send my check ? And your fee ?[/quote]

Actually, I am very good.  I don't know if you remember other threads about H&R Block's financial services unit, but I have said several times on this forum that I am short that stock (HRB)--not because of the financial services business, but because of their sub-prime lending business.  I first shorted the stock at $54, then doubled down at $59.50.  The stock briefly went above $60 on news that it was splitting 2 for 1.  Check out the price today.  Meanwhile, the PhDs, CFAs, and whoever else continue to be long.  Many of my clients have benefitted from this "falling star."  This is just one example. 

BTW Guest, did you catch the data point on Friday that Annaly Mortgage (NLY), one of the oldest and best run mortgage REITs slashed their dividend by 64%.  If you caught that, you're ahead of the PhDs.  Go back and read their comments about just how tough the mortgage business is right now.  In addition to HRB, I have been short Accredited Home Lenders (LEND), New Century Financial (NEW), and NovaStar Financial (NFI) for more than four months now.  Go check out those charts, and see how me and my clients are doing.  There are still plenty of opportunities in those shorts with the exception of LEND.  I am having to cover parts of most positions right now simply because the stock cannot be borrowed.  So, the PhDs are sniffing out the problems with the stock at 37.  I sniffed them out at 50.  I guess they missed the easy 26% return that was sitting on the table.  I do not know of a single analyst who recommended a short or had a "Sell" rating with the stock at or near its highs.  In fact, many had "strong buy" ratings.  So, as the herd arrives to the realities of LEND and is dumping the stock in an all out panic, they pass me and my clients already riding out of town with a rather tidy (and fat) profit.  I could go on, and on, and on about other present holdings, but you will beg for all of the times I have screwed up.  There has been one that stands out in my mind.  I shorted Apple (AAPL) in the Fall of '04, and covered in December, and got whipped pretty good.  But on the whole, I have had far more winners than losers. 

I’m shorting Soothsayer and going long on Guest1 with a hold on Zacko. And yes, I’m good too!!

[quote=noggin]I'm shorting Soothsayer and going long on Guest1 with a hold on Zacko. And yes, I'm good too!![/quote]

Go ahead and long my shorts, and short my longs.  You'll have your head (noggin) handed to you my friend!

Wasn’t there some PhD who thought the Dow would be at 36,000 by now?  How do I get that guy to run some of my money?

[quote=noggin]My observation was not against C shares of which I do a good percentage but rather pointing out the fact that i think a C share serves the interest of both client and advisor more equally than does the wrap account. Does that make sense?[/quote]

Not to me. Unless your client is buying tiny nibbles A shares are cheaper to own and even B shares at least have a conversion feauture. I see no reasoning for C shares being "good" for any client with reasonable assets.

A wrap account, otoh, allows for shifts across fund families and buys A share or even institutional level management fees. Most return any 12b-1 fees to the client.

[quote=Starka]

Frankly, a transactional broker can beat the money managers pretty handily in many cases.

[/quote]

Sorry, I'm not buying that one. Brokers have too many other things to do to beat, year in and year out people who can focus exclusively on money management. You have the further problem of style definition.

Styles go in an out of favor, and who knows when. Are you a large cap growth manager, a small cap vaule guy? An interest-rate sensitive bond buyer. Or do you, possibly worst of all, abandone one style and shift to the next on a whim? Can a great first baseman be a great catcher AND pitcher AND left fielder? It's possible, but I wouldn't bet money on it. 

Not to be insulting, but I prefer style pure managers in asset allocation models I can taylor.

It doesn't matter whether you "buy" it or not; it's still true.