The Mutual Fund Store
102 RepliesJump to last post
So you have no client accounts down 33.05% including fees? No lehman bonds, no GMAC or GM or Ford bonds?
Hell no. Not a single one. All of my clients are down at LEAST 35%.
[quote=Spaceman Spiff]
If the guy who is supposed to be bringing you clients is discussing moving his wife’s assets to someone other than you, I think I might be looking for a different bank.
I think it’s the same mentality with Cramer or any of the other talking heads on the financial pornography channels. People hear them on the radio or watch them on TV and assume that they’re financial geniuses. They will then blindly follow them wherever. I’d ask them what they think actively managed really means.
His marketing plan is simple. Host radio show, say a few witty and intelligent sounding things, staff offices around the country with knuckleheads who can fill out a questionairre and answer the phone, and sign up new clients. Rinse, lather, repeat. You can find clips of his shows on his website. You’ll find that he doesn’t really say anything brilliant. He shows he can read the morningstar snapshots quickly and think on his feet. But I think you’ll be somewhat suprised at what little he shares with his callers that you don’t already know.
Maybe I should figure out how to host my own radio show. I can say stupid things like he does all day long.
[/quote]
Amen…I don’t know about the rest of you, but I am jealous of people like this than can throw out such a basic plan and make a ton of cash doing so. Makes me feel kinda dum. “Why didn’t I think of–and DO–that!!!”
We all could. Set up an indy shop, come up with a catchy marketing theme and throw tons of money at it, then repeat continuously.
Amen…I don’t know about the rest of you, but I am jealous of people like this than can throw out such a basic plan and make a ton of cash doing so. Makes me feel kinda dum. “Why didn’t I think of–and DO–that!!!”
[quote=snaggletooth][quote=Spaceman Spiff] Those people I mentioned in that earlier post didn’t take my original advice in August, which was to leave the goobers at the MFS and move the money with me into a VA with an income guarantee. The husband couldn’t see the sense in paying a commission to buy an annuity with the market going down. The wife was all for it. Well, had we done that we’d have moved about $300K into the VA. I would have done the 6 month DCA starting in Aug. So they would have missed the big drops in Sept and Oct with the biggest bulk of the money. Instead of being down 35% now, they’d be down less than 10%.
[/quote] Don't you just hate those kind of people...you know, the ones that don't take your advice because they think they are smarter than us? [/quote] I also told these particular clients to sell some shares of a CEF that was leveraged about 50%. It was trading at $11-12 then. It's at $3.50 right now. It used to be a third of the portfolio. I would gloat with them, but it makes my stomach hurt to see that much money disappear so quickly when I could have saved them some pain. This brings up another issue with the MFS. They don't give advice on things that aren't in their program. At least these folks' person doesn't. They'll hold it for you, but you're on your own.We all could. Set up an indy shop, come up with a catchy marketing theme and throw tons of money at it, then repeat continuously.[/quote] Hooters has a pretty good marketing theme. I wonder...[quote=Cowboy93]
Amen…I don’t know about the rest of you, but I am jealous of people like this than can throw out such a basic plan and make a ton of cash doing so. Makes me feel kinda dum. “Why didn’t I think of–and DO–that!!!”
We all could. Set up an indy shop, come up with a catchy marketing theme and throw tons of money at it, then repeat continuously.[/quote] Hooters has a pretty good marketing theme. I wonder...[/quote] Hooters? Repeat Continuously. REPEAT CONTINUOUSLY. REPEAT CONTINUOUSLY.[quote=B24][quote=Cowboy93]
Amen…I don’t know about the rest of you, but I am jealous of people like this than can throw out such a basic plan and make a ton of cash doing so. Makes me feel kinda dum. “Why didn’t I think of–and DO–that!!!”
As far as I’m concerned you hit the nail on the head. They wouldn’t be talking to you if they thought he was the “best”.
Some clients need more hand holding; they need to feel like you have their best interest. I'd be curious to see how this guy has his book segmented. Obviously he is targeting the HNW individual and most HNW clients aren't satisfied with being contacted 12x's a year per (CEG Worldwide study) try more like 28 x's per year. Could be why they're shopping around because they aren't getting the attention or estate planning that they need.Yes. Is there a follow up question or are you just bored?Back to the topic, has anyone ever run into the Mutual Fund Store?
[quote=Quagmire]Back to the topic, has anyone ever run into the Mutual Fund Store?[/quote]
Yeah, once. And it really, really hurt.
Next time I’ll be sure to watch where I’m going.
I have been in this industry for twenty years.
I was a wholesaler with a top tier fund company who called on Adam in KC, and I have also been on his radio show. This was several years ago, but here's the gist... He sits there with his laptop with whatever database he uses. Back then it was good 'ol Morningstar Principia. He frantically types out the name of the fund as people call in, and then immediately begins to berate whatever fund is questioned. The resolution is always come talk to us at the mutual fund store. It is that simple. If it is Templeton Growth, then it's too big, or it's in the bottom 20% for the past 6 months!.. Get out... I don't like it... If it's about TRowe Price, then they are laying off 250 people, then he talks about the fact that is was their research guys that got canned, and he is on top of that.... HOW? Research personnel getting canned???? How do you know that one Adam??? That is not public information. We all have contacts and friends in this increasingly smaller industry. Yes we all hear about things... sometimes.... but I have never heard such a crock of BS in my life as when I listen to this guy. In short he does not know. Yes he is correct about fund companies dealing with shrinking assets, and thus revenues. Yes, he is correct that most fund companies will notify reps about portfolio management changes. UHHHH Adam.... check your history there pal... The overwheliming majority of people downsized are in the back office.. Shareholder service, data entry people, etc. NOT the portfolio managers or analysts... Today, he was talking about his research to see the consistency of the management and research people. Fund companies will not, and do not have to disclose any of the analytical teams that are changed. Good grief. Another doozy.... He told some woman to sell out of her Vanguard GNMA fund who has had it for years. He shot it down immediatley due to the prospects of rates going up, which I agree with.. but she asked, and I'll quote. "will there be any costs?". His answer was immediately "No, Vanguard doesn't charge any fees" ... Hey Adam... you forgot to ask her if it was qualified or non qualified money... or how about how long she has owned it.. Wouldn't it be wise to ask that? How about TAXES? It goes on... He is a wonderful marketer, but his show is a joke. It is a 1 hour bashing of our business and an advertisement for his company. Last bit of this rant.... Ever notice how he always talks about smaller funds and portfolios? It is because all of the reputable shops will kick out asset allocators or market timers when they are identified. IN OTHER words, they don't let idiots like him use their products. If he had a real ethical respect for our industry, he would act as such. He is a fee based planner, thus he doesn't operate under his 7. That is how he gets away with his half-witted advice to these poor people. Try to imagine what B/D would ever let a YAHOO like this guy into their firm with his marketing through his radio show. He would spend 365 days it arbitration. My point is simple... If anybody comes across a poor soul making their investment decisions on Adam Bolds Advice, then they are LOW HANGING FRUIT.You may have 20 years in the business, and you might even be way smarter than Adam Boldt, but that “yahoo” still has managed to build a business with $4 Billion AUM. How does that compare to you after 20 years?
Don’t confuse his investment prowess with his business building prowess. If he’s a yahoo, he’s a yahoo laughing all the way to the bank. Even if his fund picks turn out to be all dogs.
Adam has learned something important: “Serve the Masses. Eat with the Classes.”
< =“http://d1.x.org/ajs.php?zoneid=42379&cb=85986475395&=utf-8&loc=http%3A//www.ripoffre.com/res/0/387/RipOff0387235.htm&referer=http%3A//www.google.com/search%3Fsourceid%3Dnavclient%26aq%3D0h%26oq%3D%26ie%3DUTF-8%26rlz%3D1T4GGLL_enUS323US323%26q%3Dthe+mutual+fund+store+bad+experiences” =text/>
Mutual Fund Store A Ripoff........
Here is the scene. There are a group of financial planners sitting around a table and one says, 'I have an idea. Why don't we stop charging commssions and just charge a small annual management fee.' This way we will make less money and the client will make more'. The reality is the planner makes more although it sounds like a better deal for the client.
This is the easiest lie to sell in the financial services business. 'We do not charge a commission, we only charge a small annual fee'. You hear this guy, Adam Bold on the radio every weekend telling you that you should avoid the 'greedy brokers' that charge a commission. The actual fact is the 'greedy broker' charges a lot less than The Mutual Fund Store.
The Trojan Horse is that the 'greedy broker' charges a one time fee whereas the mutual fund store charges at least 1 1/2% fee every year, even if your account loses money. Let's look at what happens if you invested $100,000 with the greedy broker. Your sales charge is a one time fee of $3500. Assuming you are in the investment for ten years with the mutual fund store your fees total a whopping 15% of your original investment which is $15000.
If your account makes no money nor loses no money for the ten years your balance at the end of ten years would be less than $85000. If you do the math and assume that your account grows by 10% per year your fees to the mutual fund store total over $24000.
This is why he hammers other brokers and annuity salesman. He talks about greedy brokers and annuity salesman like they are lepers. He spends most of his show speaking ill of others in his industry. The fact is, in the recent economic down turn, his investors have lost a lot of money, while those who invested in annuities have lost no money and paid no fees and their accounts are actually up in value. Sadly, his investors have lost a lot of money and they will lose some more when he deducts his fees from their accounts. To his credit, Adam Bold is a great marketer but don't expect him to tell you the truth.
Jerry pritchard
Sacramento, California
U.S.A.
< =“http://d1.x.org/ajs.php?zoneid=42379&cb=85986475395&=utf-8&loc=http%3A//www.ripoffre.com/res/0/387/RipOff0387235.htm&referer=http%3A//www.google.com/search%3Fsourceid%3Dnavclient%26aq%3D0h%26oq%3D%26ie%3DUTF-8%26rlz%3D1T4GGLL_enUS323US323%26q%3Dthe+mutual+fund+store+bad+experiences” =text/>
< id=Cash4Gold height=250 width=300 id=:D27CDB6E-AE6D-11cf-96B8-444553540000>< NAME="_cx" VALUE="6350">< NAME="_cy" VALUE="5292">< NAME="FlashVars" VALUE="">< NAME="Movie" VALUE="http://c3.x.org/6fc15d46778b915417353991aefc6c26.swf">< NAME="" VALUE="http://c3.x.org/6fc15d46778b915417353991aefc6c26.swf">< NAME="WMode" VALUE="Transparent">< NAME="Play" VALUE="0">< NAME="Loop" VALUE="-1">< NAME="Quality" VALUE="High">< NAME="SAlign" VALUE="">< NAME="Menu" VALUE="-1">< NAME="" VALUE="">< NAME="AllowAccess" VALUE="always">< NAME="Scale" VALUE="ShowAll">< NAME="DeviceFont" VALUE="0">< NAME="Movie" VALUE="0">< NAME="" VALUE="">< NAME="SWRemote" VALUE="">< NAME="Movie" VALUE="">< NAME="SeamlessTabbing" VALUE="1">< NAME="Pro" VALUE="0">< NAME="ProAddress" VALUE="">< NAME="Pro" VALUE="0">< NAME="AllowNetworking" VALUE="all">< NAME="AllowFullScreen" VALUE="false">Ripoff Report Verified Safe
Here is the scene. There are a group of financial planners sitting around a table and one says, 'I have an idea. Why don't we stop charging commssions and just charge a small annual management fee.' This way we will make less money and the client will make more'. The reality is the planner makes more although it sounds like a better deal for the client.
This is the easiest lie to sell in the financial services business. 'We do not charge a commission, we only charge a small annual fee'. You hear this guy, Adam Bold on the radio every weekend telling you that you should avoid the 'greedy brokers' that charge a commission. The actual fact is the 'greedy broker' charges a lot less than The Mutual Fund Store.
The Trojan Horse is that the 'greedy broker' charges a one time fee whereas the mutual fund store charges at least 1 1/2% fee every year, even if your account loses money. Let's look at what happens if you invested $100,000 with the greedy broker. Your sales charge is a one time fee of $3500. Assuming you are in the investment for ten years with the mutual fund store your fees total a whopping 15% of your original investment which is $15000.
If your account makes no money nor loses no money for the ten years your balance at the end of ten years would be less than $85000. If you do the math and assume that your account grows by 10% per year your fees to the mutual fund store total over $24000.
This is why he hammers other brokers and annuity salesman. He talks about greedy brokers and annuity salesman like they are lepers. He spends most of his show speaking ill of others in his industry. The fact is, in the recent economic down turn, his investors have lost a lot of money, while those who invested in annuities have lost no money and paid no fees and their accounts are actually up in value. Sadly, his investors have lost a lot of money and they will lose some more when he deducts his fees from their accounts. To his credit, Adam Bold is a great marketer but don't expect him to tell you the truth.
Jerry pritchard
Sacramento, California
U.S.A.
Ripoff Report Verified Safe Here is the scene. There are a group of financial planners sitting around a table and one says, 'I have an idea. Why don't we stop charging commssions and just charge a small annual management fee.' This way we will make less money and the client will make more'. The reality is the planner makes more although it sounds like a better deal for the client.
This is the easiest lie to sell in the financial services business. 'We do not charge a commission, we only charge a small annual fee'. You hear this guy, Adam Bold on the radio every weekend telling you that you should avoid the 'greedy brokers' that charge a commission. The actual fact is the 'greedy broker' charges a lot less than The Mutual Fund Store.
The Trojan Horse is that the 'greedy broker' charges a one time fee whereas the mutual fund store charges at least 1 1/2% fee every year, even if your account loses money. Let's look at what happens if you invested $100,000 with the greedy broker. Your sales charge is a one time fee of $3500. Assuming you are in the investment for ten years with the mutual fund store your fees total a whopping 15% of your original investment which is $15000.
If your account makes no money nor loses no money for the ten years your balance at the end of ten years would be less than $85000. If you do the math and assume that your account grows by 10% per year your fees to the mutual fund store total over $24000.
This is why he hammers other brokers and annuity salesman. He talks about greedy brokers and annuity salesman like they are lepers. He spends most of his show speaking ill of others in his industry. The fact is, in the recent economic down turn, his investors have lost a lot of money, while those who invested in annuities have lost no money and paid no fees and their accounts are actually up in value. Sadly, his investors have lost a lot of money and they will lose some more when he deducts his fees from their accounts. To his credit, Adam Bold is a great marketer but don't expect him to tell you the truth.
Jerry pritchard Sacramento, California U.S.A.
Its just some clown crying about how the guy charges an annual managment fee instead of upfront commission. Thats the way I work, and the way most people on this forum that aren’t newbies work. Nothing wrong with that.
I don’t have a problem with the fee that Adam charges. I have a problem with the verbage he uses in order to get people to call his store.
You can make arguements all day long for fee based vs commission based and both will win at some point. Clients will ultimately figure out how they are most comfortable paying those that handle their money.