Quote:
Originally Posted by eric2381
If I used a financial advisor, I’d be more interested to be sure they were investing my money in the right companies at the right times and always always always managing risk. I’d be hiring them to manage my money, not to call me to change my diapers and make me feel happy. I hired them to do a job and I’d expect them to do that job. I wouldn’t be hiring them to be my babysitter.
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Your financial advisor should be your teacher. You need to understand what investments they are putting your money into and why. And it is hardly babysitting. Emotional control is the hardest part of investing IMO.
If you do not trust your financial advisor, and understand why they put money into a company. You’ll probably fire them and sell when they lose 20% on a pick. Even Peter Lynch had picks that didn’t turn out.
If you don’t care about return and just want to manage risk buying multiple index funds is probably the best way to do it. Diversification reduces risk, but also reduces returns. No one became a billionaire by diversifying.
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“If all mankind minus one, were of one opinion, and only one person were of the contrary opinion, mankind would be no more justified in silencing that one person, than he, if he had the power, would be justified in silencing mankind.” John Stuart Mill
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