Author Topic: Fired the Financial Advisor  (Read 3684 times)

Lyon

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Fired the Financial Advisor
« on: December 22, 2015, 08:11:07 AM »
Breaking the seal here (after months of reading the blog).  Seems like an awesome community of very intelligent individuals!  After the math played itself out I took MMM's advice, and said see ya to my FA.  Here is the problem:

I have about a 160k portfolio to manage, and I'm fairly green to all of this.  I'll note that I played in the stinky pinkies for a couple of years, and came out nicely ahead (i followed the right people I guess).   Any feedback on the positions/strategy would be amazing!  Also, I don't mind selling larger positions as I'll need to move money into my wife's SEP anyway.  Here are the positions and share count:

BK-235   WRB-210   EXPD-200   FNV-115   MKC-81   NSRGY-187   PX-34   SNY-246   SE-480
BDX-50   DEO-80   ESRX-188   ITC-255   MSFT-59   PM-130   RGLD-212   SLB-75   SYY-105

Just for mindset purposes: I am 32, 60% of the time I'm allergic to work all the time, and I fully expect this investment account to be worth multi-millions after the community has shared their wisdom - no pressure.   Just kidding, and seriously, thank you/y'all in advance!

matchewed

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Re: Fired the Financial Advisor
« Reply #1 on: December 22, 2015, 09:15:44 AM »
Buy low cost index funds that reflect your desired asset allocation?

http://jlcollinsnh.com/stock-series/

Eric

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Re: Fired the Financial Advisor
« Reply #2 on: December 22, 2015, 01:46:19 PM »
I'd pick a Lazy Portfolio and call it a day.  (In fact, I have!)

https://www.bogleheads.org/wiki/Lazy_portfolios

Mighty-Dollar

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Re: Fired the Financial Advisor
« Reply #3 on: December 22, 2015, 01:57:12 PM »
By "fired" do you mean that you stopped paying them for advice or do you mean that you stopped speaking to them about where to put your money? You can't "fire" a non-fiduciary. Would you say "I fired my car salesman"? No. They don't legal work for you. Non-fiduciary "advisers" are nothing more than salesmen.

Here's a site to help you invest on your own
http://www.vanguard.com/nesteggcalculator
Use bond and stock index funds. Not individual securities.

Aphalite

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Re: Fired the Financial Advisor
« Reply #4 on: December 22, 2015, 02:54:19 PM »
Breaking the seal here (after months of reading the blog).  Seems like an awesome community of very intelligent individuals!  After the math played itself out I took MMM's advice, and said see ya to my FA.  Here is the problem:

I have about a 160k portfolio to manage, and I'm fairly green to all of this.  I'll note that I played in the stinky pinkies for a couple of years, and came out nicely ahead (i followed the right people I guess).   Any feedback on the positions/strategy would be amazing!  Also, I don't mind selling larger positions as I'll need to move money into my wife's SEP anyway.  Here are the positions and share count:

BK-235   WRB-210   EXPD-200   FNV-115   MKC-81   NSRGY-187   PX-34   SNY-246   SE-480
BDX-50   DEO-80   ESRX-188   ITC-255   MSFT-59   PM-130   RGLD-212   SLB-75   SYY-105

Just for mindset purposes: I am 32, 60% of the time I'm allergic to work all the time, and I fully expect this investment account to be worth multi-millions after the community has shared their wisdom - no pressure.   Just kidding, and seriously, thank you/y'all in advance!

Is this a taxable account? How much in deferred taxes do you have built up? The advice in this thread is all good and fine if your cost basis isn't too far off from market value, but if they are legacy holdings, there's quite a few that I would just leave well enough alone (NSRGY, BDX, DEO, PM, MKC are hold forevers for me if I get them at a good price, most of the others are fine companies except for the gold/mining ones), at least until you can harvest cap gains for free - if in IRA/other tax deferred accounts and you're a know-nothing investor, then just sell it all and go to a lazy portfolio like Eric said


Lyon

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Re: Fired the Financial Advisor
« Reply #5 on: December 23, 2015, 07:14:31 AM »
Is this a taxable account? How much in deferred taxes do you have built up? The advice in this thread is all good and fine if your cost basis isn't too far off from market value, but if they are legacy holdings, there's quite a few that I would just leave well enough alone (NSRGY, BDX, DEO, PM, MKC are hold forevers for me if I get them at a good price, most of the others are fine companies except for the gold/mining ones), at least until you can harvest cap gains for free - if in IRA/other tax deferred accounts and you're a know-nothing investor, then just sell it all and go to a lazy portfolio like Eric said

Yes, this is a taxable account.  Overall in deferred tax accounts is somewhere around $20k which are our more aggressive investment accounts.  Thank you for insight on the companies to hold on to as well.  That was my biggest concern as I'd like to hold on to quality ones, and let go of the others then move a chunk into something like what Eric said or hold for possible cash calls on my other 2 investments.  Thank you, Aphalite!!

Lyon

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Re: Fired the Financial Advisor
« Reply #6 on: December 23, 2015, 07:15:22 AM »
I'd pick a Lazy Portfolio and call it a day.  (In fact, I have!)

https://www.bogleheads.org/wiki/Lazy_portfolios

Thanks for the insight Eric!  I'll give this a good read through over the holiday

Lyon

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Re: Fired the Financial Advisor
« Reply #7 on: December 23, 2015, 07:20:10 AM »
By "fired" do you mean that you stopped paying them for advice or do you mean that you stopped speaking to them about where to put your money? You can't "fire" a non-fiduciary. Would you say "I fired my car salesman"? No. They don't legal work for you. Non-fiduciary "advisers" are nothing more than salesmen.

Here's a site to help you invest on your own
http://www.vanguard.com/nesteggcalculator
Use bond and stock index funds. Not individual securities.

As a grammar fanatic and pun lover, I do this all the time to people, but hate when it's done to me!  Well played sir, and you are correct.  I did not fire, set on fire or fire the d out of my FA.  I simply said see ya! 

Thanks for the links to the Vanguard info!  I appreciate your help, and you calling me out =)

Scandium

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Re: Fired the Financial Advisor
« Reply #8 on: December 23, 2015, 07:50:12 AM »
I'll note that I played in the stinky pinkies for a couple of years, and came out nicely ahead

I have no idea what this means, but now I'm curious..

matchewed

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Re: Fired the Financial Advisor
« Reply #9 on: December 23, 2015, 07:51:50 AM »
I'll note that I played in the stinky pinkies for a couple of years, and came out nicely ahead

I have no idea what this means, but now I'm curious..

I think pink sheets.

Or kinkier stuff.

Lyon

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Re: Fired the Financial Advisor
« Reply #10 on: December 29, 2015, 03:42:06 PM »
I'll note that I played in the stinky pinkies for a couple of years, and came out nicely ahead

I have no idea what this means, but now I'm curious..

hahaha Matchewed is correct on the first guess!  Pink sheets is where I first dove into.  It's fun, but not for the faint of heart.  If you're looking to literally light $500 on fire I would suggest playing with it there because you could turn it into $1000 in 30 minutes or laugh at the poorest decision you've made in a while.  Bunch of pot stocks down there that seem to go 'higher' in election years =)