Bequeathing
This is an oldy, but a goody!
"A hoary piece of stockbroker lore has a young broker asking a senior partner at the firm about his proudest accomplishment. The reply:
"Over the years I've gradually transferred the assets of my clients to my own name." "
This is a good, short read!
Scott Dauenhauer, CFP(r), MSFP, AIF(r)zzzzz
Wednesday, December 20, 2006
Tuesday, December 19, 2006
Scott Dauenhauer Named Time Magazine Person of the Year
That's right, now I have something else to add to my list of achievements, Time Magazine's Person of the Year. Now, considering Hitler was also a Time Magazine Person of the Year I think perhaps its not such an honor.
If you're wondering what I am talking about, just follow the above link to Time Magazine's website. Time named "You" as the person of the year......now, since I am a "You," I qualify.
So I guess this means that if I ever do become the Time Magazine Person of the Year, it will be my second time.
Scott Dauenhauer, CFP, MSFP, AIF
If you're wondering what I am talking about, just follow the above link to Time Magazine's website. Time named "You" as the person of the year......now, since I am a "You," I qualify.
So I guess this means that if I ever do become the Time Magazine Person of the Year, it will be my second time.
Scott Dauenhauer, CFP, MSFP, AIF
Monday, December 18, 2006
UBS target of AG probe - Business First of Buffalo:
UBS target of AG probe - Business First of Buffalo:
Business First of Buffalo - December 13, 2006
"State Attorney General Eliot Spitzer's office has filed suit against UBS Financial Services Inc., contending that the brokerage firm's "InsightOne" program overcharged consumers. Spitzer said the program promised the creation of an "advice-based" account that would deliver personalized investment advice and other financial planning services.
However, the attorney general said UBS aggressively sold the accounts to investors who would have done better by paying per-transaction commissions. UBS also created a conflict of interest for its brokers by giving them a financial incentive to enroll investors in InsightOne instead of steering them toward more appropriate accounts, Spitzer said.
According to court papers filed by Spitzer's office, UBS charged one elderly InsightOne client more than $35,000 for just four trades over two years -- some $33,000 more than she would have paid in a traditional brokerage account.
Spitzer's suit was filed in state Supreme Court in Manhattan. UBS said in a statement that it is committed to "clients' individual needs" and it denied that "InSightOne" was pushed on some customers instead of cheaper options. "UBS categorically denies that the program was part of a scheme to disadvantage clients, and intends to defend itself vigorously in this matter," the company said.
It also complained that Spitzer's office "did not review or consider relevant data that supports the firm's position" before it filed the suit. "
Meridian Comments:
Spitzer is actually correct on this one. The Wall Street Journal called me the other to ask for my comments on the case and I told them that this is a classic case of a brokerage firm attempting to disguise itself as a financial planning operation without taking on the responsibility that a planning organization has to its clients.
The broker involved has only a "suitability" standard to meet, not a "fiduciary" standard. In other words the broker at UBS was not REQUIRED to put the client's best interest first. It turns out the broker broke both standards and put the client in an unsuitable account and also failed to place the clients best interest first.
Brokerage firms everywhere are perpetrating a fraud on the public, assisted by the SEC in that they are holding themselves out as fiduciaries when they are not. They try to position themselves to look just like a company similar to mine, but they are not held to the same standards - this is not right.
You should not do business with a brokerage firm.
Scott Dauenhauer, CFP(r), MSFP, AIF(r)
Business First of Buffalo - December 13, 2006
"State Attorney General Eliot Spitzer's office has filed suit against UBS Financial Services Inc., contending that the brokerage firm's "InsightOne" program overcharged consumers. Spitzer said the program promised the creation of an "advice-based" account that would deliver personalized investment advice and other financial planning services.
However, the attorney general said UBS aggressively sold the accounts to investors who would have done better by paying per-transaction commissions. UBS also created a conflict of interest for its brokers by giving them a financial incentive to enroll investors in InsightOne instead of steering them toward more appropriate accounts, Spitzer said.
According to court papers filed by Spitzer's office, UBS charged one elderly InsightOne client more than $35,000 for just four trades over two years -- some $33,000 more than she would have paid in a traditional brokerage account.
Spitzer's suit was filed in state Supreme Court in Manhattan. UBS said in a statement that it is committed to "clients' individual needs" and it denied that "InSightOne" was pushed on some customers instead of cheaper options. "UBS categorically denies that the program was part of a scheme to disadvantage clients, and intends to defend itself vigorously in this matter," the company said.
It also complained that Spitzer's office "did not review or consider relevant data that supports the firm's position" before it filed the suit. "
Meridian Comments:
Spitzer is actually correct on this one. The Wall Street Journal called me the other to ask for my comments on the case and I told them that this is a classic case of a brokerage firm attempting to disguise itself as a financial planning operation without taking on the responsibility that a planning organization has to its clients.
The broker involved has only a "suitability" standard to meet, not a "fiduciary" standard. In other words the broker at UBS was not REQUIRED to put the client's best interest first. It turns out the broker broke both standards and put the client in an unsuitable account and also failed to place the clients best interest first.
Brokerage firms everywhere are perpetrating a fraud on the public, assisted by the SEC in that they are holding themselves out as fiduciaries when they are not. They try to position themselves to look just like a company similar to mine, but they are not held to the same standards - this is not right.
You should not do business with a brokerage firm.
Scott Dauenhauer, CFP(r), MSFP, AIF(r)
Thursday, December 14, 2006
HSA Upgrade
This is a good PDF document explaining some of the possible changes to the HSA.
Scott Dauenhauer, CFP, MSFP, AIF
Scott Dauenhauer, CFP, MSFP, AIF
Tuesday, December 12, 2006
Protect Your Nest Egg From Con Artists
Protect Your Nest Egg From Con Artists - 12/10/2006 - insurancenewsnet.com
This is a must read for everybody who has money to invest.
Scott Dauenhauer, CFP, MSFP
This is a must read for everybody who has money to invest.
Scott Dauenhauer, CFP, MSFP
Monday, December 11, 2006
How to Keep More of What You Make
How to Keep More of What You Make - New York Times
I believe a log-in is now required - it is free with registration.
This is a good article about why it is important to take into account taxes when building a portfolio. You can quite literally increase your rate of return, thereby putting more money in your pocket if you manage for tax purposes.
At Meridian we take into account which assets should be held in which accounts and manage your money to ensure we maximize it on an after tax basis.
Scott Dauenhauer, CFP, MSFP
I believe a log-in is now required - it is free with registration.
This is a good article about why it is important to take into account taxes when building a portfolio. You can quite literally increase your rate of return, thereby putting more money in your pocket if you manage for tax purposes.
At Meridian we take into account which assets should be held in which accounts and manage your money to ensure we maximize it on an after tax basis.
Scott Dauenhauer, CFP, MSFP
Friday, December 08, 2006
Seniors 'duped' into bad investmen
Seniors 'duped' into bad investment | Santa Rosa Press Democrat // News for California's North Bay and Redwood Empire
Another article about the pitfalls of Equity Indexed Annuities (EIAs). These products are sold a lot to seniors and educators because they sound like a great deal. Who wouldn't want the upside of the market without the downside.....the problem is that this is a lie.
If you are pitched an equity indexed annuity don't be lured by the siren song. You'll know that you are dealing with someone who is less than professional.
Scott Dauenhauer, CFP, MSFP
Another article about the pitfalls of Equity Indexed Annuities (EIAs). These products are sold a lot to seniors and educators because they sound like a great deal. Who wouldn't want the upside of the market without the downside.....the problem is that this is a lie.
If you are pitched an equity indexed annuity don't be lured by the siren song. You'll know that you are dealing with someone who is less than professional.
Scott Dauenhauer, CFP, MSFP
Thursday, December 07, 2006
Laugh Break
"boemerang": Erik Hartman Laughs At His Guests. Subtitled.
A client sent this too me, it is really funny. They say laughter is good for the soul, my soul is full today thanks to this video!!
Scott Dauenhauer, CFP, MSFP
A client sent this too me, it is really funny. They say laughter is good for the soul, my soul is full today thanks to this video!!
Scott Dauenhauer, CFP, MSFP
Monday, December 04, 2006
Thursday, November 30, 2006
Mad Money Foolery
IndexUniverse.com - Mad Money
I've said it before and I'll say it again, CNBC's Jim Cramer is an idiot. Yes, I know I'm not being tactful, in fact I may even come off to be a tad jealous (don't worry, I'm not), but the fact of the matter is Jim Cramer is an idiot and we now have evidence to prove it (at least that he is an idiot stockpicker).
The linked article by Larry Swedroe details a study done by three Ph.D students from Northwestern's Kellog School of Management. The basic result is that Cramers antics and stockpicks, while entertaining to some, are losers. You don't make money following Cramer's advice. You make CNBC, Cramer, and Wall Street rich, but you won't make yourself anything. Investing is not entertainment, its serious and needs to be taken seriously.
Scott Dauenhauer, CFP, MSFP
I've said it before and I'll say it again, CNBC's Jim Cramer is an idiot. Yes, I know I'm not being tactful, in fact I may even come off to be a tad jealous (don't worry, I'm not), but the fact of the matter is Jim Cramer is an idiot and we now have evidence to prove it (at least that he is an idiot stockpicker).
The linked article by Larry Swedroe details a study done by three Ph.D students from Northwestern's Kellog School of Management. The basic result is that Cramers antics and stockpicks, while entertaining to some, are losers. You don't make money following Cramer's advice. You make CNBC, Cramer, and Wall Street rich, but you won't make yourself anything. Investing is not entertainment, its serious and needs to be taken seriously.
Scott Dauenhauer, CFP, MSFP
An Overview of Equity-Indexed Annuities
EIA_Working_Paper.pdf (application/pdf Object)
This is a link to a paper by two PH.D's who have studied Equity Indexed Annuities and concluded that they are not good products. In fact these products work as a wealth transfer device, basically taking money from the policyholder and transferring it to the broker and insurance company in a very sly way.
If you don't want to read the 13 page report, just know that Equity Indexed Annuities are bad products - stay away.
Scott Dauenhauer, CFP, MSFP
This is a link to a paper by two PH.D's who have studied Equity Indexed Annuities and concluded that they are not good products. In fact these products work as a wealth transfer device, basically taking money from the policyholder and transferring it to the broker and insurance company in a very sly way.
If you don't want to read the 13 page report, just know that Equity Indexed Annuities are bad products - stay away.
Scott Dauenhauer, CFP, MSFP
AARP:Many 50 Plus Californians Perplexed And Overwhelmed
AARP Financial Survey Finds: When It Comes...
AARP did a study of Californians over age 50 and guess what? They find prospectuses difficult to read......imagine that!
A prospectus is what you are given when you purchase a mutual fund or an annuity, you are supposed to read and understand it, but that is nearly impossible given the way they are written.
I'm not sure we actually needed a study to tell us prospectuses rarely get read and are hard to understand.
Scott Dauenhauer, CFP, MSFP
AARP did a study of Californians over age 50 and guess what? They find prospectuses difficult to read......imagine that!
A prospectus is what you are given when you purchase a mutual fund or an annuity, you are supposed to read and understand it, but that is nearly impossible given the way they are written.
I'm not sure we actually needed a study to tell us prospectuses rarely get read and are hard to understand.
Scott Dauenhauer, CFP, MSFP
Wednesday, November 29, 2006
Things To Do To Stay Out of The Morticianian's Parlor
- Cholesterol? Check your LDL (Low Density)(Bad) cholesterol; if its above 100 ask your doctor about taking a statin family of cholesterol lowering drug.
- Blood Pressure? Check your blood pressure, and keep it under 130 systolic and 80 diastolic.
- Take one aspirin daily-- a child's aspirin (81mg) is usually enough.
- Weight Reducing program? If your body mass index is above 27 or, if you�re a woman and your wait is over 35 inches or if you�re a man and your waist is over 40 inches, you should seriously begin and sustain a weight reducing program.