I am currently using Edward Jones but I'm less than impressed with my advisor. Currently have an individual account and a Roth account. I have a rough idea about investments, but I'm definitely still learning. What are some recommendations?

First, use a fiduciary only. They are required to serve you first, not their own bottom line. They do not sell on commission, and truly tailor an investment package based on your needs.

If you were military, I heartily recommend First Command. I've been with them for almost half a century.

Cody, if you are in the west Michigan area, send me a message. I’ve interviewed four of them in the past year in this area to work for me on my investments. From interviewing those four, and researching a bunch more, I have two that I would highly recommend.

Never trusted them. Every time I get approached tell them the same thing:

I will give you 35% of the profits you make for me above and beyond all fees and commissions. If you don't make me any money then I don't owe you any fees.

Never had one accept this arrangement.

The end result is you portfolio should follow the market. The bottom line is you will get what ever level you get in at. Executive management starts at +500k. The free company stuff will get you a selection of turds. Check to see what index they track, if any.

well probably noone accepted that arrangement because it is against the law.

Didn't know that. But even more shocked none of them told me that!

Fiduciary doesn't work like that rocky. They still get commissions and they still have favorite products.

So you're largely giving away their fee.

Find a dave Ramsey elp for investment. They do check their people and they have guidelines for what they do. That's about the only way I can think of that people in my industry are truly held to a standard.

Messaged you

Look up Fee Only Advisors in your area. They have no products to sell. They have a 1-800 phone number.

It would be helpful if you told us about how much money you are investing, its purpose, your time horizon, and what you don't like about he Edward Jones advisor.

Start an online account with Fidelity, Ameritrade, etc., and do it yourself. It's hard to beat index funds.

Why is that?

I spent 12 years in the insurance and financial services industry and had my series 6. I still bought vanguard sp500 index funds and a nice big life policy and that's really all most of us need.

That index fund did 26% in 2019. That'll do.

You didn’t ask the right folks. Try a Hedge Fund. That’s the way that they do business but most do it for 20%.

Also, look into Fisher Investments.

Those will sign you up like pronto.

All of the above is if you’re really determined to invest that way.

You are already smartening up.

The Edward Jones advisor that handled my in law's money ought to be in prison.


There ought to be a bounty on them. Seriously.


Do your own research and manage your own money.

Agree with this. Schwaab advisors do not make commissions but the advise of using index funds is spot on.

Should also add that as you get more "educated" the sky is the limit with how you invest with little or no fees. Schwaab has a slate of ETF's that allow one to target segments of the market if that is your thing....

Roughly 50k in the Roth, and about 25k in the individual account. Have more to invest but am holding off until I am comfortable with where the money is invested.

I left Edward Jones and have an account with fidelity.

My wife has blossomed planning her funds it is awesome!

However in these times of trump it's pretty easy to make money.

About 80% of the holdings in the individual account are mutual funds, the remainder is in exchange traded and closed end funds. The Roth is about 90% mutual funds with the remainder being exchange traded and closed end funds.

Rockinbbar nailed it. Edward Jones has a terrible reputation. My local Edward Jones agent is a failed car salesman turned investment adviser. His female partner came straight from the county courthouse Administrators Office. Awesome resume, huh?

Your last sentence nails it pretty good. About the only sure way to have lost money would been to have shorted the market.

Stifel has a good reputation locally, but probably varies by location. There are some very savvy older people that retired around here, and they are just about all Stifel customers.

Ask some local well-to-do folks for recommendations. Seriously.

They don't usually abide schmucks.

Good luck,

FC

In the last 5 years, they managed to lose money on about a $4M portfolio...

Of course there was lots of buying/selling/fees and commissions paid.

The only one that got rich was that Edward Jones financial Advisor.


Taking advantage of an old couple in their 90's... Sorry POS sumbitch.

You are wise getting away from Edward Jones. What they do should be considered criminal!

If you care to handle this yourself look at Vanguard or Fidelity. I'm happy with Wells Fargo Advisors. Not to be confused with Wells Fargo Banking. But I have known my Wells Fargo advisor for a long time and trust him.

If any advisor is associated with a ‘Wrap Account ‘ then run, screaming into the night.

Tons of good advice here. You will find countless articles online that claim upwards of 70% of money managers can’t beat their index. That is why some of the folks above recommend going into an index fund DIY. I switched to self directed investments over 12 years ago and wished I’d have done it sooner. Had to do a little legwork on my own, but my average returns over that time have doubled that of the market. This is the singular reason I am able to retire before I turn 60. The reason an individual can do thus is one can cherry pick investments. If you have time on your side you should do just fine. Gotta have the stomach for the short term ups and downs

This is the way it should be. Once again, why is it illegal?

It takes away their License to Steal.

Ha! That's the only reason that makes sense.

i have been investing since 1987. i have been screwed one way or the other by every financial advisor i ever used. i started learning all the ins and outs (its not that hard) of investing 25 years ago. when i got a 6 figure portfolio on my own, i got nervous and got help. he was a rip off insurance salesmen, selling me a whole life policy. when i did my research i dumped him and got another guy who also was the only one who made money between the two of us. i went my own way for the next 10 years or so and then used one of dave ramseys ELP's. another screwing. he made me some money but he sold me into an "executive" plan that had him making more than me. i complained to dave ramsey and they were no help. i dumped his ass and just went with straight vanguard index and target date funds. razor thin costs and i have more than doubled my money since.

bottom line, learn how the stuff works and don't try to squeeze every last dime out of it. index funds make it easy. vanguard makes it cheap.

Unless you are an analytics junkie and enjoy trying to squeeze every last penny out of an investment, this is the best advice you’ll receive.

You are looking at the best financial advisor you'll ever find when you brush your teeth, and the only one who will have the best interest for the safety and prosperity of your wealth. You just need to ensure he acquires the needed knowledge to manage it.

The vast knowledge on the internet alone is huge, and investment clubs can be good if you can locate a good group.

Here's some financial advice...you're looking at a stock market bubble, larger than the banking fiasco of 2008. There are presently a higher number of mortgages and auto loans in default, and credit card debt is higher. The only thing keeping the economy afloat is the over-night window allowing the banks to unload their bad collateral in exchange for low interest cash which they turn right around, and put into the stock market to make their numbers. The US Government has now taken on the risk. The maximum over night window loan term is 2 years, just enough time to keep this Ponzi Scheme of an economy running until after the election...they hope.

The Corona Virus might end their plan prematurely, when the business model of JIT inventory blows up, because these traitors have stripped this country of its manufacturing capabilities.

You might be wise to go all cash until we see 100% verifiable truth as to China's ability to re-start their slave production lines, at what capacity, and getting true facts, like ships showing up with 100% of ordered product.

Growing wealth is all about seeing the future, and that entails the ability to understand finance, economics, business cycles, geopolitical issues, et.al, and knowing when to fold a bad hand while you still have a nice stack of chips, because you can't bluff the stock market.

Index funds are always really popular at the tail end of a raging bull market.

#1 Edward Jones is trash.
#2 NO ONE is more concerned about your money doing well than you are.

Cody, most here are right. A lot depends on your age. If you are young, you could ride this bubble. I had 3 'advisors" the 1st one was a nice young man., The second was ok, the 3rd was a disaster. I decided to do it myself and started doing better the month I went on my own. Dont be intimidated, you will beat most advisors. There are good ones out there but by the time you find out they already took you for a ride and much of your profits are gone. Much also depends on your income. You will pay taxes on your capital gains in your taxable unless you and your wife make more than $77,000 per yr. If you dont make that after your capital gains, you dont pay taxes on the gains. Then put them in index funds . There are MANY index funds however and can even diversify index funds. Target date funds are very easy. One thing I cant stress enough is, many advisors dont know what they are doing. Rigth now, I dont see how you could loose on an energy sector ETF. Mine pays 4% dividends and energy stocks are REALLY LOW. Fidelity energy ETF charges .084% fee. You are likely paying 15 times that at Edward Jones.

Rocky nailed it. You want a Registered Investment Advisor (RIA), they are required to act as a fiduciary, ie only in your best interest.
They generally work for a fee only, no commissions.

How is Ameriprise

A good friend started working with a mentor in financial
advisor work. Was thinking of a career change and wanted
to try it out. After a month of weekends and evenIng work,
he walked away.

"I could see how you could make great money doing it,
But, either for the customer, or yourself. Your interests
are divided. Serve your own. Or the customer. It doesn't
work for me".

Lousy.
With the OP's amount of money, do what others have said and get Vanguard of Fidelity index funds. If you're smart enough to figure out guns, scopes, calibers, etc., you can figure out the basics of investing very quickly.

Looks like I'll be doing some research. Also need to figure out how to transfer the Roth account. I can sell off everything in the individual account and cash that out easily.

Indeed! And, get this book and read it until you understand it. https://www.amazon.com/Guide-Winning-Investment-Strategy-Youll/dp/0312339879

I think that I'll look for a motor oil thread, information is about the same level.

YES, YES, YES!

Then enlighten us all.

I would recommend you start here with a Dave Ramsey Entrusted Local Provider. His ELP's are specially trained to have the "heart of a teacher" rather than being a pushy salesman. They will help you learn about investing and how to develop an investing plan that meets your coals.

I was my own financial adviser and put my money in the appropriate Vanguard Target Fund. It worked out (and still works) VERY well for me. Very happy I did it on my own and never felt the need to pay a financial adviser 2 points a year to tell me how and where to invest my money.

I'm hesitant using one of his elp's. I attempted to use one of his real estate elp's and she started telling other agents a price for my home before we had even talked about it. I realize that's just a bad experience, but it's left a pretty sour taste in my mouth.

Has anyone tried USAA Investment Services? Their fees are pretty low. You can have a retirement or investment account with them and make your own decisions on ETFs, stocks, mutual funds, etc. All without a trip to Edward Jones.

there are a ton of regulations connected to having a series 6 or 7 securities license. strictly prohibited, and generally most firrms require an annual attestation that you are not doing this. think FINRA for the regulation.

When Bernie Madoff asked Rush Limbaugh if he would like to invest, the response was, "No thanks, I can lose my own money."

Rush was into AAPL before Forrest Gump was, and the IPhone happened since Forrest Gump.

I have made over 20% compounded annually since 1994 [MSFT, GOOG, AMZN], and I would guess Rush [AAPL] has done better.

Not so interested in how you make money in this economy.

I'm real interested how you make money when the economy is turning or has turned down. That's what separates a good adviser from a bad.

Wise, TR, very wise. The answer as always is dollar-cost-averaging. That means you continue to put in fixed amounts, whether the market is up or down. When it's up, you buy fewer shares but they're worth more. When it's down, they're worth less but you buy more of them. The market has always gone up over the long term (50 years ago, the DOW was at 600 or so!) so in the same timeframe, your holdings will increase. At compound interest rates, they grow very rapidly after you pass a certain threshold.

So, a financial advisor that manages to lose your money for the past 5 years is REALLY a POS...

No. I've been using Fidelity for a long time (but have been using USAA for insurance for 33 years) - https://www.nerdwallet.com/blog/investing/usaa-brokerage-review/

Fidelity vs Vanguard here - I'm sure there is a constant juggling for position but it's a framework to look at. Note that it says no on Fidelity providing financial advice but when you get to a certain level they do.

https://www.doughroller.net/investing/vanguard-vs-fidelity/

Tax loss harvesting is an expectation too.

Fidelity did these transfers for me. I just called and asked, and they said “no problem!”

For the Record: USAA investments was bought out by Schwab, which is an upgrade in service and capability IMO.

Just to add my $0.02: you still have to your homework, even if you choose to use an advisor. How else would you know if he’s doing a good job?

you're wise to be skeptical. i trusted one and he made more money than me. if you do use one, make sure you understand what he suggests. don't get sucked into the "load funds make more money than noload" bullschit. no load, low cost, appropriate mix of stocks & bond funds and dollar cost averaging.

To give you a primer on the stock market, when I was just getting started, I found this little book to be one of the best for a broad view of the stock market for the inexperienced investor.

clic book for more info

Bought both the the books mentioned in this thread so I'll start by reading those. I also got contact information from a forum member for an advisor local to me, and another member contacted me about his experiences. Should be a good start.

And I thought utility companies were the only one's guaranteed to make money.

Cody, dont cash out your taxable account cause you will pay capital gains if there are any. Any firm like Fidleity will transfer your account. if there is a loss on your taxable funds, then sell them and get a tax write off on the losses and put it in an index fund instead of a mutual fund.