Financial planner

• As a financial planner, I have witnessed many important investment mistakes.
• Trying to synchronize the market, hold concentrated stock positions, and take too much risk are just a few.
• One of the biggest? Don’t invest at all. Make a plan, then go for it.
• Read more articles on Personal Finance Insider.

In my opinion, as a financial planner, you need to invest if you want to grow your wealth. Participating in the financial markets is a great way to put your money to work so that you can grow your assets over time.

But this path is fraught with potential pitfalls that you must avoid if you want to have a positive long-term outcome. And for most people, avoiding big mistakes is more important than hitting home runs consistently.

To help you do just that, here are four mistakes to watch out for with your own investments – and a handful of simple strategies to keep you on track over time.

1. Try to time the market

It’s tempting to think that you can avoid recessions and market downturns, because these events seem so obvious in hindsight. The problem is, that’s the only time the path is crystal clear: once it’s behind you.

In the spring of 2020, my company received a few clients to say that they wanted to move all of their cash investments. The coronavirus was spreading across the world and watching the market lose 30% so quickly was frightening.

Because we work with people in their 30s and 40s, our investment strategies take into account very long time horizons. Fortunately, all of these customers listened to our advice on staying the course – and were extremely grateful for doing so at the end of the summer of that year, when the market was once again reaching new highs.

It’s easy to think you would have known better in hindsight. In the present moment, however, things are much darker and more uncertain. Trying to guess what the market will do next leaves you vulnerable to emotional decision making, rather than rational planning.

If you are focused on growing wealth over decades, then worrying about what the day-to-day market is doing is a distraction. We expect some ups and downs along the way, but as long as you stay consistent – and stay in the market, rather than jump in and out – you’ll be in a much better position to be successful.

You may get lucky with market timing once or twice, but it’s a bad strategy for long-term success. Instead of relying on chance, set a strategic course for your investments and stick to it over time.

2. Thinking irrationally about risk

Most people understand the basic concepts of investing and risk. They know that investments carry a risk of loss and that the greater the potential reward, the greater the risk required.

But for some reason most people are very bad at applying these concepts to their own circumstances.

People overestimate their own skills while minimizing the role of chance in the results; they know that unfortunate events happen but tend to think of bad things that happen to them other people, not themselves.

This can lead to very big investment mistakes, such as:

• Make speculative bets in the market, rather than maintaining a diversified portfolio with an appropriate allocation both for their risk tolerance and their ability to assume the risk
• Attribute positive results entirely to skill and bad results entirely to bad luck, which can reduce the quality of future investment decisions
• Ignoring risk entirely when evaluating an investment that is emotionally attractive

It is difficult to maintain a completely rational and objective view of our own money. It is good to have an outside perspective, at least every now and then, which is where professional advice can be extremely valuable.

3. Maintain highly concentrated portfolio positions

The other day my firm spoke with a potential client who shared that he had a total net worth of $ 3 million – of which $ 1 million was held in shares of the company he owned through a equity compensation program.

Since 33% of their net worth depends on the share price of a single company, they take a lot of unnecessary risk. If something were to happen to this business (or if she were to lose her job at this business) her net worth could plummet, she could lose the ability to fund her goals, and her whole financial future could be in jeopardy.

All investments come with risk, but a diversified portfolio helps mitigate the risks you face. It also helps reduce the overall volatility of your portfolio (and low volatility portfolios tend to perform better over the long term).

Concentration risk, on the other hand, unnecessarily does the opposite of your portfolio: it increases the investment risks you face and introduces higher volatility.

Our general rule of thumb is to limit exposure to a single equity position to a maximum of 5% of liquid equity. There are exceptions, of course, but it’s a good starting line to use when considering selling or holding a position.

4. Avoid investments completely

There is no shortage of investment mistakes you can make. But perhaps the most important is a little counter-intuitive: don’t invest at all.

I usually see it taking one of two forms:

1. Someone always finds reasons to wait to start investing: they will start when they have more savings, when they earn more money, when something changes in the market, etc.
2. Someone builds a good saving habit and raises a lot of money, but leaves everything in the bank because they are afraid of taking any investment risk.

In the first case, this is a huge mistake, because the biggest advantage you can give yourself when it comes to growing your wealth is the time you give your money for compound returns. .

Warren Buffett is not incredibly rich because he is an investment genius (although he is certainly good at it). This is because his money has accumulated for over 70 years, thanks to the fact that he started so young.

Don’t look for excuses to start investing. Do it now and refine and improve your approach as you go.

In the second case, the error here is not to understand that having money without earning anything is too a risk. People feel a false sense of security when they have a lot of money when they do not understand that money loses purchasing power over time due to inflation.

Yes,

liquidity
is important, but if you don’t need that money for many years, growth is also essential. Have a strategic way of figuring out how much money you really need, and then consider investing the rest.

Simple strategies to improve your chances of success

These aren’t the only mistakes you can make with your investments, but they are some of the most common and widespread that I see in my job as a financial planner. If you want to avoid them yourself, you can keep the following basic strategies in mind:

• Choose a strategic investment plan and stick to it
• Invest for the long term and avoid high risk approaches like day trading, speculation or market timing
• Know both your risk tolerance and your ability to take risks. Then, think as objectively as possible about the risk (and know that bad things can happen to anybody, even you!), even if it means calling on an objective outside person to help you make decisions
• Maintain a globally diversified portfolio to reduce risk and volatility

And of course, just To start. There is no such thing as a perfect investment strategy or a perfect portfolio. Some mistakes along the way may be inevitable, but the most important thing is to enter the market and stay there as long as possible.

South Africa-based consulting firm AlphaWealth has taken a controlling stake in London-based financial planner Holborn Financial.

AlphaWealth has created a new UK subsidiary, Alpha UK Holdings, to acquire the Wimbledon-based licensed financial planning firm.

Founded in 2005 with global assets of over R11 billion (£ 550 million), Alpha Wealth already has a presence in various international financial centers including Johannesburg, Cape Town, Durban, London, Geneva and Mauritius.

It provides investment and wealth planning services to high net worth individuals, family offices, institutions and charities.

Holborn Financial has three advisors and five support staff. He advises 150 entrepreneurs and private clients with around £ 150million in assets under influence.

Emyr Blease, who founded the company in 1988, will continue as Managing Director of Holborn Financial while Nigel Speirs takes on board as Chairman.

Kerry Fynn, CEO of AlphaWealth Group, said: “We are delighted to be able to partner with the Holborn Financial team and this acquisition marks the start of an exciting new chapter for both of us as we grow the business together. . Alpha has decided to expand its presence in the UK through this acquisition to support the growth of Holborn Financial and we are very excited to be making this trip with the Holborn team. “

Blease said, “We have built a successful business advising discerning private clients, individuals who run and manage their own businesses and those who are taking or seeking a comfortable retirement. We share the same values ​​as Alpha, primarily by providing excellent levels of personalized service. We look forward to growing our business both organically and through acquisition. Alpha’s expertise, resources and support will be critical to the successful deployment of the merged businesses. “

Speirs, who advised the case, said: “I look forward to working with Emyr and the Alpha team to build Holborn Financial in the UK. . “

Reverse Mortgage Professionals understand the need to build an extensive roster of potential referral partners from a multitude of different professions, but one class of professionals that has garnered a lot of interest over the past couple of years are planners. financial. As the pool of reverse mortgage borrowers has grown to encompass a wider range of real estate values ​​and ‘wealthy home’ clients, financial advisors open to exploring the possibilities of reverse mortgages can potentially offer a positive and sustained path to more reverse mortgage business.

One such financial advisor who took the time to learn and understand the potential flexibility that can be offered to clients through a reverse mortgage is Robert Klein, Founder and President of the Retirement Income Center in Newport Beach, Calif. . In a recent episode of The RMD Podcast now available for listening, Klein offers thoughts on what reverse mortgage professionals can do to encourage benchmark partnerships between other financial planners and how the industry is performing in terms of education and awareness.

Advice for Reverse Mortgage Professionals: Interacting with the Planning Community

For reverse mortgage professionals looking to partner with financial planners, networking with a wide variety of planners designations can make all the difference in finding the right planner for the right job in terms of reverse mortgage prospects, explains. Klein.

“I just think [reverse mortgage professionals] need to network with financial planners, be it CPA, CFP, RICP, by whatever means is convenient for you, ”says Klein. “Contact them, talk to them, attend conferences that financial advisors attend. Not that we’ve had any opportunities recently, it’s something that’s obviously been affected [by the pandemic] However, it will eventually open up.

For many reverse mortgage professionals who don’t know how to approach such financial planners, Klein says asking itself can be powerful. The many people who do not ask for advice or referrals from a planner will never know if such a relationship can prove to be successful. Therefore, asking and getting known among planners can make all the difference. It also goes both ways in terms of the relationships Klein has developed with the reverse mortgage professionals themselves.

“Just reach out,” he says. “I’ve reached out to people in the reverse mortgage industry, various people I’ve researched, and industry experts. I have had mutually beneficial relationships with these people and have learned a great deal about [the product]. So I think it’s about reaching out to people you see who are interested in the business, preferably. And then, it’s enough to open the eyes of other advisors who might not be so obvious that they are interested in the reverse mortgage industry.

Starting from the idea that a reverse mortgage can add value to the services that the planner is already providing to a client can be very important, as approaching in the context of value added services can help highlight the opportunities to exercise greater preservation capacity on a client’s assets.

“[Allowing planners to learn] this [a reverse mortgage is] certainly an added value in that you can interact with and educate a financial advisor as not everyone is aware of the need for this service that clients [may have]

Educational awareness of the industry

If there is one thing the reverse mortgage industry seems to focus heavily on when discussing the past year of business and the year ahead, it is to expand educational practices and availability of relevant reverse mortgage material to as many potentially receptive people as possible.

In cases where a client may be turned off by a reverse mortgage prospect, Klein observes that some of these scenarios have been linked to informative presentations that can too often be driven by sales alone, he says.

“I think the industry is doing a great job of getting the message out,” Klein says. “I often think, when [clients] have reservations about reverse mortgages, sometimes it has to do with sales presentations that turn them off – for whatever reason – by a mortgage company. So as long as it can be a team effort, and when I work with clients from a holistic planning approach, I can show them how reverse mortgages fit into their situation like no other. anything else: what you can plug into their situation and show how it applies directly, how it might benefit them and what the downsides are.

Such framing of reverse mortgage potential can go a long way in illustrating the impact a reverse mortgage could have, Klein says, and go beyond the sales cycle to connect with the potential benefits that a suitable client can have. feel if it is exploring a reverse market. The mortgage option can make all the difference, he says.

“I think this helps a lot when the time comes to meet someone from the reverse mortgage industry,” he says. “It’s not just a sales pitch for them – not that all reverse mortgage presentations are sales focused – but there is a lot of great training that I have seen from professionals at. industry. But I think, again, that when it’s tied into an existing holistic plan that you have with a client, it just solidifies the whole process and the lights come on for clients.

Listen to the latest episode of The RMD Podcast for the full discussion with Robert Klein.

With financial planners among the most important potential referral partners for reverse mortgages, this episode of The RMD podcast features a conversation between RMD Editor-in-Chief Chris Clow and Robert klein, a registered investment advisor in Newport Beach, Calif., and founder of Retirement Income Center where he specializes in a multidisciplinary approach to retirement planning.

During the conversation, Clow and Klein discuss the state of education of borrowers and professionals on reverse mortgage products, the reluctance of many financial planners to discuss reverse mortgages with clients, and advice to clients. reverse mortgage originators on how to approach financial planners to serve as referral partners.

Here’s a brief rundown of the interview you can find in the episode, edited slightly for brevity and clarity:

Chris Clow: What do you think about the attitude of other financial planners regarding reverse mortgages, especially when it comes to barriers they think exist from brokers and apart from those who generally have a negative attitude about them?

Robert Klein: For me, this is nothing new. It’s comparable and analogous to financial advisers, many of them, and their attitudes towards fixed income annuities. In many cases, this is a lack of education, and that’s the bottom line, whether it’s fixed income annuities or reverse mortgages. […] You have little time in the day, and people like to focus on certain things. However, that said, a lot of the things we focus on are client-centric, and so as clients come into your office, and they’re talking about them more and more now, it’s up to the financial advisors to put their minds to it. up to date [reverse mortgages] and broaden their horizons.

The RMD podcast interviews reverse mortgage business leaders, professionals, government officials and thought leaders to provide auditors with the pulse of the reverse mortgage industry and all the business and regulatory realities that affect it . Hosted by Chris Clow and produced by Alcynna Lloyd.

While most people understand the importance of saving and investing for the future, some may not have the time or the flair to follow a long-term plan.

A financial planner guides an investor through their wealth management journey and helps them manage their finances. There are cases where the use of the services of a professional has been very helpful.

To get on the right track for wealth creation – For those who are ready to take control of their present and future financial situation, hiring a financial planner could be helpful. A good financial planner will first understand their current situation, future goals, and emotional biases about wealth, and then develop a comprehensive personalized plan.

Need for clarity in a portfolio – Most start investing on an ad hoc basis, trying to replicate the success of others or based on suggestions. Experts say everyone’s risk appetite and investment outlook are different. A financial planner can help assess a crowded, unmanaged, or underperforming portfolio in the context of its risk profile, while also suggesting the right path.

During a major life-changing event – Major life-changing events affect a person’s finances, such as getting married, having a baby, or buying a new home. Experts say you need to plan and align your finances with the event as well as the impact it could have on yourself. In such a situation, a financial advisor can offer sound advice and help navigate the event with a correct and long-term approach.

During windfall gains – This could include earnings from an insurance payment, inheritance, sale of assets, an IPO, or unexpected lottery winnings, etc. Commonly seen, most people start spending too much money or are overwhelmed by the situation, and end up making bad personal and financial decisions. . A financial advisor can guide a person on various legal, financial and tax implications surrounding different types of such gains with the right investment plan to help grow their wealth.

As retirement approaches – The money management approach shifts from creating wealth to preserving capital and generating income as retirement approaches. Meanwhile, a portfolio should have low-risk assets that can generate a stable source of income, which might also require a full reassessment by a financial planner to ensure the corpus lasts longer than the investor and n is not affected by inflation and longevity risk.

To optimize your tax liability – A change in tax regime, an increase in income, or to make the most of various tax breaks could be another opportunity to hire a professional. One might be aware of the main deductions, but a financial expert can help maximize the benefits available to a taxpayer under their tax system and also find opportunities to save tax.

Melissa Mullan, Investment Advisor Representative and Certified Retirement Income® Professional at Harford Financial Group, has received the Certified Financial Planner ™ certification.

The Certified Financial Planner ™ certification is the gold standard in financial planning. It is awarded to professionals who meet rigorous standards of education, training and ethics. Beneficiaries are committed to serving the best interests of their clients to prepare them for a more secure future.

Mullan, originally from Harford County, began his career with Harford Financial Group over 20 years ago. She specializes in creating, managing and protecting client assets and recommending strategies aligned with her clients’ goals. In addition, Mullan develops retirement plans for his clients and focuses on planning retirement income, including the coordination of social security benefits, retirement benefits and investment income.

She started with the business after graduating from high school and was the first recipient of a scholarship offered by Harford Financial Group and the Harford County Chamber of Commerce. Mullan received a bachelor’s degree in finance and accounting, summa cum laude, from Notre Dame University in Maryland. She has held a number of positions at Harford Financial Group including in administration, compliance, insurance and as a registered senior manager.

“What a great honor for Melissa Mullan to receive the Certified Financial Planner ™ certification. My colleagues and I are so proud of everything Melissa has accomplished, and this certification tops the list. It has been an integral part of Harford Financial Group for many years, ”said Adam Freeland, CFP (R), Chairman of Harford Financial Group. “Receiving the Certified Financial Planner ™ certification is a strong testament to Melissa’s in-depth knowledge in the field and the role she plays in helping our clients live their best lives. ”

Harford Financial Group advisers specializes in retirement income planning in Harford, Cecil and Baltimore counties. Cambridge Investment Research Inc. is the brokerage of the Company. A relationship-driven company with fully registered, licensed and professionally trained staff, Harford Financial Group is focused on building long-term, trusting relationships that span a lifetime. Services include assisting clients with current and future savings, investment allocation, retirement income, retirement income planning, social security and estate planning. For more information, visit HarfordFinancialGroup.com.

To note: Securities offered through registered representatives of Cambridge Investment Research, Inc., a broker / dealer, FINRA / SIPC member. Advisory services provided by Cambridge Investment Research Advisors, Inc., a registered investment adviser. Harford Financial Group and Cambridge are not affiliated.

Personal Finance Insider writes about products, strategies, and tips to help you make informed decisions with your money. We may receive a small commission from our partners, such as American Express, but our reports and recommendations are always independent and objective.

The adage “It takes money to make money” is no longer valid. No matter your income level, if you can afford to put aside even a little money, you can become an investor. We spoke with Richard Hall, Financial Planner and Wealth Advisor at Pitzl Financial, to get advice for new investors.

Save before investing

Hall’s first suggestion is to create an emergency fund before you start investing. “We generally like our clients to save three to six months” on their living expenses, he said.

If that seems like a lot to keep in a savings account that barely earns interest, you can put some of your emergency reserves in an investment account once you’ve gotten into the habit of saving. Where you want to store your nest egg will depend on your risk tolerance; although investment accounts tend to grow over time, you have some exposure to market downturns.

Focus on saving a little each month

“If your cash expenses are covered,” Hall said, “it’s good to start a regular investing habit.” Even $ 25 per month – an amount most people won’t miss – is a great place to start. “It’s going to add up over time, and it creates a good long-term habit for you,” he said.

When many of us (including me) think about investing, we think of accounts with minimum opening balances of several thousand dollars. This makes it difficult for people without a lot of disposable income to start.

However, with the rise of ETFs (exchange traded funds), you can find many low-cost investment accounts with no minimum balance. For example, a quick search found funds with no minimum investment at Fidelity, Vanguard, and Schwab, and there are undoubtedly additional options.

“Typically, you can set up quite easily for small amounts,” Hall said. He stressed that consistency was more critical than amount. “It’s better to make a good habit than to do something once and forget about it,” he said.

Keep it simple

When you start to invest, Hall suggests keeping your strategy simple.

“You don’t have to do anything too complicated to enter the market,” he said. Instead, “try to be as diverse as possible with as few holdings as possible.”

Hall suggests investing in three different funds first. For example, you can choose a US equity fund, an international equity fund, and a bond fund. Hall suggests a 60/40 ratio between stocks and bonds.

An even simpler approach is to buy a fund that already holds a mix of stocks and bonds. Many investment firms offer balanced funds preloaded with a 60/40 mix. This type of fund has advantages for first-time investors:

• You just have to find the money to invest in one fund. This is especially useful if you only have a small amount to invest each month. It’s easier to put $ 10 in one fund than $ 3 each in three.
• You can invest without any problem. If your life is already too busy, a balanced fund takes very little of your crowded free space.
• The fund manager will balance your investments, so you don’t have to.

Hands-free rebalancing can be the most important benefit of investing in a balanced fund. Balancing involves transferring money between accounts to preserve your asset mix. The process involves transferring money from an outperforming fund to an underperforming fund.

Withdrawing money from a growing account to add money to a shrinking account can seem counterintuitive – so you might be reluctant to do so. But, said Hall, “proper rebalancing has an additive effect on returns.”

“An individual investor falls into mental traps,” he said. “Rebalancing forces people to ignore the emotional behaviors they would fall into and take a more disciplined approach to investing.” Or you can choose a balanced fund and let the fund manager do it for you.

Don’t rely on get rich quick schemes (cough, cryptocurrency, cough)

We all love stories of regular schmos who become millionaires through GameStop day trading, but speculation is a risky and unreliable path to building wealth.

Asked about investing in cryptocurrency, Hall said, “Things have value when people think they have value. I don’t see it as a great place to grow wealth over time. . When you see 50% of the up and down fluctuations, it’s not really a good investment. “

He considers the future of crypto to be too uncertain to make it a good option for building wealth. “If you’re going to put in $ 25, take the $ 25 you were going to use at the casino and put it in crypto instead,” he said. You should probably apply this advice to memes stocks or other high-risk investments.

“We are training to look for the home run,” Hall said. “We see people becoming millionaires overnight.” But he noted that most people with $ 1 million or more in retirement have gotten there by saving regularly and keeping it simple, not chasing the latest hot investment.

When to seek investment assistance

You can easily open an investment account with a low-cost brokerage house if you are starting out small – no professional assistance is required. However, if your motivation for investing is a large amount of money, such as an inheritance, it’s a good idea to seek help making the best investment choices.

“Trying to rebalance to $ 1,000 isn’t that productive,” Hall said. “Half a percent on $ 1,000 is not as noticeable as half a percent on $ 100,000.”

He noted that if you have $ 100,000 or more to invest, your choices may also have tax implications. For example, if you inherit money from an IRA, you have 10 years to withdraw distributions from the account. The timing of the withdrawal will depend on the type of account. If it is a Roth IRA, which has after-tax income, you will do better if you wait until the last year to empty the account because you get 10 years of tax-free growth and don’t have to pay any taxes. tax on money when you take it out.

“People should go and see a [certified financial planner] when it gets uncomfortable or when they have questions, ”Hall said.

Hall’s final advice for the first-time investor: “Keep it simple. Try to make it repetitive. Stick with it. And: “It’s market time, not market timing. “

ROCKWALL, TX (August 19, 2021) Financial advisor Kelly D. Connel of the Edward Jones financial services firm in Rockwall has been approved by the Certified Financial Planner Board of Standards (CFP Board) to use the CFP® certification mark.

Kelly D. Connel has successfully completed the initial CFP board certification requirements, which include completing financial planning courses and passing a comprehensive exam.

Individuals who hold CFP® certification must agree to meet continuing education requirements and comply with Code of ethics and professional responsibility and standards of practice in financial planning.

This advanced training provides investment professionals with the practical information needed to provide comprehensive financial services. Topics of study include the financial planning process, risk management, investments, tax planning and management, retirement and benefits, and estate planning. CFP professionals are also required to meet continuing education requirements and adhere to the CFP Board of Directors’ Code of Ethics and Professional Responsibility and Financial Planning Standards of Practice.

Kelly’s office is located at 1309 Ridge Road, Suite 100, Rockwall Commons. Kelly is also a Rockwall Noon Rotarian.

Edward Jones, its employees, and its financial advisors are not estate planners and cannot provide tax or legal advice. You should consult your estate planning lawyer or qualified tax advisor about your situation.

Edward Jones, a Fortune 500 company headquartered in St. Louis, provides financial services in the United States and, through its subsidiary, in Canada. Every aspect of the company’s operations, from the investments offered by its financial advisors to the location of branches, is aimed at individual investors. The company’s nearly 19,000 financial advisors serve more than 7 million clients with a total of $ 1.6 trillion in assets under management. Visit edwardjones.com or the recruiting website at careers.edwardjones.com. SIPC member.

Press release submitted, edited for publication in Blue Ribbon News.

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Edward Jones, Financial Planner, Kelly Connel, Rockwall, Rotary

A discussion in the financial planning community has emerged about the structure of compensation, illustrated by a recently published story on the validity and rationale for investment advisers charging a 1% fee on their assets under management for their advisory services. . However, one planner says the in-depth advice offered by his company – which in one case resulted in a client getting a reverse mortgage – justifies this fee structure.

That’s according to the story published last weekend in the Wall Street Journal.

Starting with the story of an investor who switched to advisers charging by the hour instead of a 1% figure based on assets under management, Keith Rudman, 62, describes a noticeable difference in the level of service he received and the money he received. saved by making such a jump.

“They provide a ton more services than my former financial advisers and they charge me between a 10th and a 20th as much,” he told the Journal.

This indicates a growing trend, according to the article written by Journalist Neal Templin.

“Mr. Rudman is among those investors who seek – and find – alternatives to traditional financial advisers who charge a certain percentage of assets under management,” the article read. Mutual funds and trading fees have declined over the past few years, the fees that registered investment advisers charge on portfolio balances have increased slightly. The average investor with $ 750,000 paid 1.04% of the assets invested in fees in 2020, up from 1.02% in 2015, according to Cerulli Associates, a research and consulting firm. Meanwhile, an investor with $ 10 million paid 0.62%, up from 0.54% .

However, not all advisors are created equal and there are those who feel that the services provided – as well as the depth of that service – are justified by a 1% fee. This includes services which, at least in one instance, resulted in a customer taking out a reverse mortgage.

“Advisors charging 1% believe their fees are worth it for investors who want or need a high level of service,” the article said. “Milo Benningfield of San Francisco considers himself much more than an asset manager, saying he immerses himself in the financial lives of his clients. For example, he says he found a reverse mortgage that was much cheaper for one and got a special loan for another so he didn’t have to sell stocks and pay taxes on the earnings. in capital.

The way consumers choose to manage their money can have a potentially significant impact on their financial security, according to the article, and the emerging compensation debate among financial advisers is just one example that may illustrate this.

Read the article in the Wall Street Journal, subscription required.