Wealth Management: The Middle Class Millionaires of Today.
Waterbury Financial Strategies Inc CEO / Founder Rahim Thawer post this week “Wealth Management: The Middle Class Millionaires of Today.”
We have created a dynamic economic model and the changes are very rapid on a daily basis and there are constant updates on the technology side to keep the models even more complex, such as flash trading, etc. One of the integral parts of the system that is lacking intelligence is the financial advisors. I have spent over five years in the Venture Capital industry and have met a number of advisors and wealth manger. I would say only 5% of them have the right formula.
Wealth Management today is much different then what we saw a year ago when Lehman Brothers was still around. After the collapse of the giant, the world has changed drastically and it is still evolving and not necessarily recovering but finding new avenues to capitalize on. A number of middle class millionaires have seen their portfolio vanish away and left them with very little or no retirement funds. it may very well be in the best interest of these powerhouses to grow their clients portfolio but isn’t it also there job to forecast the storm? Many portfolios did not drop 80-90% in one day, rather over a period of few months. So why did these financial advisors fail to channel these investments into a safer product?
If these financial advisors are failing middle class millionaires and collecting 1-2% portfolio management fee, what good are they? Middle class millionaires have worked most of their lives to get to this point and then they meet a financial advisor and within a year’s time they transfer their whole portfolio into the hands of some rookie.
If you are seriously considering becoming a financial advisor, this is the right time. America will grow again very slowly and many of these industries and businesses will be backed by no other then the middle class millionaires. We are going to see the middle class slowly emerging again and in this disruptiveness, we have to seek opportunities and start all over again regardless of what your background is. The mindset of the old financial advisors needs to be re-engineered and new ideas need to be cultivated.
My Thoughts: We are going back to the fundamentals, show me the numbers. Relationship building is all good, but what good is it if you can’t deliver? So my dear financial advisors, I hope that you don’t get me as a client, because if you did, you better be prepared. In the meanwhile, do the best job you can and standout. Do your homework not necessarily on your client, but on the market and investment strategies. Pick up new ideas and creativity in your field and show us what you can do before we invest a penny!
Let’s Create More Millionaires!
Rahim Thawer / CEO of Waterbury Financial Strategies Inc http://www.waterburyfs.com
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