[manaboutown]

After spending many hours researching several and interviewing a few fee-only RIA firms I am resolved to continue as a DIY investor as long as I am able to do so. To say I was underwhelmed by the level and quality of education, intelligence, proposed risk vs. performance, off the shelf software Monte Carlo simulations and their "holistic" - the latest buzzword they all overused - approach would be an understatement. On top of it all their fees are enormous for the time they actually spend and what they do once one is set up with them. I spent a great deal of time researching the performance vs risk of the portfolio I developed over the past three years which was highly beneficial so I do not feel I wasted too much time. Actually, I am quite happy with how the portfolio has done and where it now stands.

Still passing my sleep at night test!

[Stu from NYC]

Good for you.

I always ask so called advisors about their education and work experience and very often find the answer very underwhelming.

Especially their charts about performance in the stock market how they manage to find 20 years of poor performance to convince people that annuities are so wonderful.

[spinner1001]

Originally Posted by Stu from NYC

Good for you.

I always ask so called advisors about their education and work experience and very often find the answer very underwhelming.

Especially their charts about performance in the stock market how they manage to find 20 years of poor performance to convince people that annuities are so wonderful.

Another question to ask an advisor is ‘how do you invest your own money’.

Having some past insight into advisors at a big financial institution, I learned what they say as advice to clients and prospects (often pushed by their bosses) differs from how advisors invest their own money.

[raananh]

I am a savvy investor, but not an expert.

I would recommend AI for general money management advise and general investment advise (not specifics, like specific stocks). I checked it.

Unlike with a human advisor, as expert and as qualified that human advisor can be, AI has infinite patience, you can spend as much time as you want with it, at a pace that is comfortable for you, "free", ask to explain every little detail, question the suggestions, argue back (AI will never get upset at you), ask for more details and ask for advise as often as you want as conditions changes in the market, etc.

Take your time with AI ! Digest and think about its advise. No pressure. Come back to AI and ask more information about any little worry or doubt you have. Enjoy and learn(!!!) from this experience.

AI has no motivation to cheat you, scam you or give a semi-descent advise that benefit it more than you. Human advisors, most of them(!!! but not all of them) are the exact opposite. Most human advisors and advising companies are not at your side, for you and for your success. They make money off this business and are experts in maximizing their profits.

Actually try this: take the advise from your human advisor and give it to AI to analyze.

All the best with your investments and money handling!

[retiredguy123]

Originally Posted by raananh

I am a savvy investor, but not an expert.

I would recommend AI for general money management advise and general investment advise (not specifics, like specific stocks). I checked it.

Unlike with a human advisor, as expert and as qualified that human advisor can be, AI has infinite patience, you can spend as much time as you want with it, at a pace that is comfortable for you, "free", ask to explain every little detail, question the suggestions, argue back (AI will never get upset at you), ask for more details and ask for advise as often as you want as conditions changes in the market, etc.

Take your time with AI ! Digest and think about its advise. No pressure. Come back to AI and ask more information about any little worry or doubt you have. Enjoy and learn(!!!) from this experience.

AI has no motivation to cheat you, scam you or give a semi-descent advise that benefit it more than you. Human advisors, most of them(!!! but not all of them) are the exact opposite. Most human advisors and advising companies are not at your side, for you and for your success. They make money off this business and are experts in maximizing their profits.

Actually try this: take the advise from your human advisor and give it to AI to analyze.

All the best with your investments and money handling!

Agree. I hate humans. They are the worst. LOL.

[Methos]

Originally Posted by retiredguy123

Agree. I hate humans. They are the worst. LOL.

I put a third of my assets with Fidelity. Will see how they do in a year.

[FredMitchell]

Will you know when you are not doing it well anymore?
If that happens, what is your plan?
Who will manage or select a manager?
Is the 0.5 to 1.5 percent of assets under management that you are saving critical to your future requirements?
Do you have professional investment experience?

Getting hung up on "holistic" or the educational background of the "sales" guys suggests that you are "the smartest guy in the room." Can you really do a better job than the software written by professionals that not only fully covers the markets, but also structures a plan tailored to your risk-reward tolerance, financial position, and expected future?

I have had a financial planning firm for years. Well worth it. They recommended an excellent lawyer to help me terminate alimony. Assist with tax questions and planning. We probably touch base two to four times annually.

Do what you want, but selecting one and trying it is not a forever commitment.

[Babubhat]

They can’t beat the market without additional risk and/or alternative investments. Low cost ETF the way to go.

[spinner1001]

Originally Posted by raananh

I would recommend AI for general money management advise and general investment advise (not specifics, like specific stocks).

Even if one gets sound money and investment information from an AI chatbot (a big assumption), implementation is a hurdle for many ordinary people. Many won’t act on this kind of AI information for psychological and practical reasons.

Financial advisors know this.

And I would not call AI investment information ‘advice’ as stated by this poster for multiple reasons.

[SaucyJim]

Originally Posted by FredMitchell

Do what you want, but selecting one and trying it is not a forever commitment.

NOT selecting one and trying things on your own is also not a forever commitment. The bottom line for me? The last person I am going to ask about a car is a car salesman. My AI "friend" has no horse in this race.

[Efuchs]

I have always handled my own investing and feel I have done a credible job. It's rare I beat the S&P but I have more net worth now, than when I retired 8 years ago.
I do worry about the future as my wife has little interest in getting involved. We just inherited an IRA under management. I decided to leave it there and see how it goes. If I feel they bring some value I may roll other assets in. At some point, I won't be around or won't have the capacity to deal with it.

[TomPerry]

I was a CPA/Financial Advisor with over 40 years experience. Under my Financial Advisor hat, managing money was the easy part. Managing clients’ emotions and expectations was the hard part. There are two forces that govern financial markets, Greed and Fear! Under my CPA hat, I had many DIY Investor clients with TONS of Loss Carry Forwards!

[cjky2k]

I have been reading and mostly following Fidelity Monitor and Insight for decades. They first became welll known for putting together a model portfolio of 5-6 Fidelity funds that met or beat the returns of Magellan with less risk. Remember Magellan? Anyway - worth the $200 a year to me and keeps me comfortable that my balance is good. Talked to my CPA about having Fidelity manage instead and he said that as long as I have a plan and enjoys managing myself, I should continue to do so. It’s a lot less than the management fee and helps keep my brain sharp.

[Christine1964]

Originally Posted by Efuchs

I have always handled my own investing and feel I have done a credible job. It's rare I beat the S&P but I have more net worth now, than when I retired 8 years ago.
I do worry about the future as my wife has little interest in getting involved. We just inherited an IRA under management. I decided to leave it there and see how it goes. If I feel they bring some value I may roll other assets in. At some point, I won't be around or won't have the capacity to deal with it.

You have to withdraw an inherited IRA within 10 years, so you may want to do a tenth each year.

[MikePgh]

Originally Posted by Stu from NYC

Good for you.

I always ask so called advisors about their education and work experience and very often find the answer very underwhelming.

Especially their charts about performance in the stock market how they manage to find 20 years of poor performance to convince people that annuities are so wonderful.

If they are trying to sell you an annuity, that’s not an advisor. That’s an insurance salesman.