From: "Brent D. Gardner, ChFC" 
Newsgroups: misc.invest.financial-plan
Subject: Re: Investing Inheritance
Date: Tue, 17 Feb 2004 10:44:01 CST
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"Ignoramus17304"  wrote in message
news:c0rqko$qeh$0@pita.alt.net...
> Many people posing as "financial advisors" are in fact paid by sellers
> of financial products that they make you buy. These barclays iShares,
> which will cost you 1% per year, likely will pay him a good commission
> if he sells them. Such an incentive system and the fact that his
> employers won't keep an underperforming employee (not generating
> enough commissions) suggest that he is not likely to act in your
> interests.

Incorrect. iShares do not pay a commission to a broker or financial advisor.
They are ETFs, with no sales charges.

You do not understand production requirements, per industry rules, and
misinterpret them using lay standards, which are inappropriate. The NASD
prohibits one to "park" their license. No production is an indicator of a
"parked" license. Low production often leads to other problems, such as
unsuitable sales, churning, etc.  The NASD frowns upon part-time brokers.
This is why firms have minimum production requirements.

These production requirements can be satisfied with fees OR commissions, OR
BOTH (with a combination being the most common these days, because everybody
is offering fee-based investment management these days).

Brent D. Gardner, ChFC
Chartered Financial Consultant
http://members.cox.net/brentdgardner1378/

"Be ever questioning. Ignorance is not bliss. It is oblivion. You don't go
to heaven if you die dumb. Become better informed. Learn from other's
mistakes. You could not live long enough to make them all yourself." - Hyman
George Rickover (1900-86), Admiral, US Navy, advocated development of
nuclear subs & ships

The Chartered Life Underwriter (CLU) and Chartered Financial Consultant
(ChFC), designations owned and exclusively offered by The American College,
signify the highest standards of academic study and professional excellence
in the financial services industry.