Looking Back, Looking Forward: Full Disclosure in Dollars and "Sense"

Last Updated:
June 30, 2021
Ken Browness
Time to Read:

So far in 2016, we have witnessed the return of uncertainty to financial markets to a degree we have not seen for a few years. The "Brexit" votes this past June added a major dose of uncertainty, meanwhile the ongoing US election is also contributing to this environment.

Additionally, we are seven years removed for the last bear market in stocks.

It is not wonder that the nerves of some investors are being tested!

In such an environment, one of the valuable roles an advisor plays is more psychological in nature: counseling against the human urge to abandon your long-term plan and move everything into cash.

Of course, before being counseled against abandoning a long-term plan, one has to be there to abandon!

This is the primary focus of a financial planner - not the abandoning, but working with you to develop a financial plan reflective of your unique circumstances. Part of the plan involves suggesting suitable investments, which may involve suggesting appropriate mutual funds.

As an investor, to what extent do you value the services a financial planner provides?

This question was brought into focus in January 2017 when the first account statements disclose the amounts paid by mutual fund companies to Mutual Fund Dealers, such as Investia Financial Services Inc., in dollars and cents.

Monies paid to the Dealer include the commissions payable to the representative, both for any sales charges (if applicable) and ongoing servicing and advice of the representative.

These charges are disclosed on the most recent Fund Facts document for a given fund.