Somebody's Doing Things

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Oct 23, 2008 5:11 pm

I keep hearing from my former associates that clients are angry and
that there is a lot of movement of assets, yet if you read this forum
you'd conclude that every advisor has 100% of  his clients assured
that all is well and they're holding on for the long haul.



Reports that the funds are encountering daily liquidations at a never
before seen rate, yet if you read what the "advisors" on this forum
have to say you'd conclude that nobody is redeeming at all.



A cynic would conclude that the truth ain't in those who post here---or
that they don't really have clients and are making it up as they go
along.

Oct 23, 2008 5:18 pm

Ever thought that there are a ton of DIYer's out there?  Or that there are other advisors than those on this forum?

 
Or, how about that people could be liquidating the hell out of their 401k's on their own?
 
I am sure some clients are mad as hell.  Oppy's muni bond fund is down 35% YTD...that's unreal.  I don't own any of that by the way.
 
By far and away, I have more clients staying the course than liquidating.
Oct 23, 2008 5:26 pm
snaggletooth:

Ever thought that there are a ton of DIYer's out
there?  Or that there are other advisors than those on this forum?

 
Or, how about that people could be liquidating the hell out of their 401k's on their own?
 
I am sure some clients are mad as hell.  Oppy's muni bond
fund is down 35% YTD...that's unreal.  I don't own any of that by
the way.
 
By far and away, I have more clients staying the course than liquidating.







Boy isn't the Internet great.  Ugly girls are beauty queens and fat boys are football stars.

Oct 23, 2008 5:35 pm

I have been re-patriating a lot of client money with the recent trend of the dollar vs. foreign currencies.  If you were to ask the international and emerging markets managers I use, they would probably agree that a fair amount of money has been flowing out the door over the past six months.

Oct 23, 2008 5:38 pm
Provocative Put:




Boy isn't the Internet great.  Ugly girls are beauty queens and fat boys are football stars.

 
And failed brokers who were forced to accept management positions or get real jobs can lecture people who actually are fighting the good fight everyday.
Oct 23, 2008 5:40 pm
Provocative Put:
snaggletooth:

Ever thought that there are a ton of DIYer's out there?  Or that there are other advisors than those on this forum?

 
Or, how about that people could be liquidating the hell out of their 401k's on their own?
 
I am sure some clients are mad as hell.  Oppy's muni bond fund is down 35% YTD...that's unreal.  I don't own any of that by the way.
 
By far and away, I have more clients staying the course than liquidating.




Boy isn't the Internet great.  Ugly girls are beauty queens and fat boys are football stars.

 
And old, washed up small dick men who molest boys are still old, washed up small dick men that molest boys.
Oct 23, 2008 6:06 pm

I have clients who have liquidating all or parts of their 401ks or DYI investments but have stayed the course with me.
I kinda think that's why some people have advisors -- to keep them invested.
Do I worry that the market will fall even further or languish for years and they'll start liquidating their stuff with me -- yes.  Do I worry that I'm doing the right thing -- yes.



Oct 23, 2008 6:07 pm

We've had a few clients liquidate their SMAs, and a few clients go to cash in the last 30 days, but it's less than 2% of our client base. 

Again, to echo Snaggs, I've heard a lot of the DIYers and Fidelity 401k clients are liquidating like mad. 


Oct 23, 2008 6:09 pm
greyhairedbrker:
 
And failed brokers who were forced to accept management positions
or get real jobs can lecture people who actually are fighting the
good fight everyday.









One of life's truisms is that those of us who succeed will always be
envied by those who do not.   Brokerage firms do NOT offer
management positions to failures, failures are terminated or left alone
until they wander off on their own.



Nonetheless that doesn't stop those who have no chance in hell of ever
being offered adult level responsibility, opportunity and mega
paypackages from suggesting that those of us who pull their strings are
not qualified to do so.



I assure you that I had the jobs that I had because I was the absolute best person among the 35,000 or so employees of the firm.



Sneering at somebody like me is like a city councilman in a town like
Louisville sneering at a US Vice President as being unaccomplished.



It is to laugh.

Oct 23, 2008 6:11 pm
snaggletooth:
 
And old, washed up small dick men who molest boys are still old, washed up small dick men that molest boys.







You should not be so tough on yourself--a positive self image is key to your success.

Oct 23, 2008 6:13 pm
buyandhold:

I have clients who have liquidating all or parts of
their 401ks or DYI investments but have stayed the course with me.
I kinda think that's why some people have advisors -- to keep them invested.
Do
I worry that the market will fall even further or languish for years
and they'll start liquidating their stuff with me -- yes.  Do I
worry that I'm doing the right thing -- yes.





Refreshing honesty in this land of liars and posers.

Oct 23, 2008 6:15 pm
gvf:

We've had a few clients liquidate their SMAs, and a few
clients go to cash in the last 30 days, but it's less than 2% of our
client base. 

Again, to echo Snaggs, I've heard a lot of the DIYers and Fidelity 401k clients are liquidating like mad. 






How do you hear about what is happening at Fidelity?

Oct 23, 2008 6:18 pm

FYI...my clients have liquidated little.  However, I have several 401Ks.  The plan participats are liquidating A LOT.

Oct 23, 2008 6:29 pm
Provocative Put:
snaggletooth:
 
And old, washed up small dick men who molest boys are still old, washed up small dick men that molest boys.



You should not be so tough on yourself--a positive self image is key to your success.

 
Oh come on man...if you can't laugh at that, then you are truly bitter.
Oct 23, 2008 6:35 pm
NOVA:

FYI...my clients have liquidated little.  However, I
have several 401Ks.  The plan participats are liquidating A
LOT.





With my own "serious" money I have been holdiing also--so has my wife,
althought she did buy a few things yesterday.  She's a fan of
Fortune Brands and did some serious averaging yesterday--not enough to
have to report her holdings, but it's by far the largest individual
holding in our family at this time.



My mother inherited a large position in GE--70,000 shares in
2006.  She also has about 75,000 shares of "Big Oil"--COP, XOM, BP
that sort of stuff.  In 2006 my brother and I got her to sell
30,000 GE.  We tried to get her to sell half of the oil stocks but
she declared that the GE was enough for her to tolerate at one
time.  She feels that it's betraying her parents to sell things
she inherited from them--my brother and I have not allowed ourselves to
be so burdened.



The taxes on her sale of the GE in 2006 pissed her off and she has
declared that she will do nothing else---that once we inherit we can do
whatever we want but that there will be no more selling.



It's good to delay incuring a tax obligation.  If you hold long enough you can convert gains into losses.

Oct 23, 2008 6:40 pm
snaggletooth:
Provocative Put:
snaggletooth:
 
And old, washed up small dick men who molest boys are still old, washed up small dick men that molest boys.



You should not be so tough on yourself--a positive self image is key to your success.

 
Oh come on man...if you can't laugh at that, then you are truly bitter.







I did laugh at it, but I find it oddly pathetic that somebody would be so down on themselves.

Oct 23, 2008 6:49 pm
Provocative Put:

Boy isn't the Internet great.  Ugly girls are beauty queens and fat boys are football stars.


And bitter old brokers can become investment gurus and superstar prognositcators.

Oct 23, 2008 8:03 pm
Provocative Put:

Brokerage firms do NOT offer management positions to failures,...

 
Sure they do. That's exactly where a failing broker who wants to stay in the business seeks to hide. It's also the failures that ended up in management that tend to be the most bitter towards those who've succeeded.
Oct 23, 2008 8:10 pm

agree

Oct 23, 2008 8:44 pm

I can tell you, I have been asking many of my clients how their colleagues are handling the crisis. By a landslide, I am being told that they are shifting their entire 401K balances to whatever the "safe" option is (fixed account, MMKT, GTD bucket, whatever). Most of them are people that don't yet use advisors. My clients have mostly held where they are based on my recommendations - mostly because it seemed to me (and most advisors) to be too late to "get out". All those DIY'ers got out of their 401K's in September and October, and probably won't get back in (because of inertia) until the market has already re-captured the upside swing. So my clients (like many advisors') will likely end up about the same or better, as the DIY'ers, but in very different ways. Mine will have captured more of the downside, but also all of the upside. The DIY'ers will miss some of the downside, but also miss some of the upside. Hard to tell yet, but few of us will escape "unscathed" by all this.