Assumption Closing

[PA Bill]

Ed Jones agents are useless for everyone except themselves. A week before the thing crashed if someone called one of those Edward Jones guys they were told to stay calm and don't sell anything this will all pass. When it all did crash the Edward Jones guys were told to tell their clients to not sell and stay in and if the client was still insisting on selling then the Ed Jones agents were instructed to get the client to go ahead and sell and put the money in a low interest bearing Edward Jones holding account. The brokers only concern or goal was to keep the money in house.

That's generally how financial institutions operate. Get your money (sale), get it on an ongoing basis (EFT), hang on to it as long as they can (surrender charges, maturity dates), pay it out in pieces (annuities).

 

[DayTimer]

Ed Jones agents are useless for everyone except themselves. A week before the thing crashed if someone called one of those Edward Jones guys they were told to stay calm and don't sell anything this will all pass. When it all did crash the Edward Jones guys were told to tell their clients to not sell and stay in and if the client was still insisting on selling then the Ed Jones agents were instructed to get the client to go ahead and sell and put the money in a low interest bearing Edward Jones holding account. The brokers only concern or goal was to keep the money in house.

Edward Jones' investment philosophy and the success of the organization is built upon "buy and hold" and the assumption that historically, the market will almost always be higher 10 to 20 years from "now" than it is today, regardless of how the market might behave during intervening bear markets.

In hindsight, the buy and hold crowd absolutely outperformed those who liquidated to cash save for those rare few who liquidated before the crash and bought the market near the the time of the March 2009 bottom. Rare is he or she who sells the high and buys the low.

In the end, the advice to liquidate or not ahead of volatility should have been prefaced with the question of investment time horizon. If volatility increases and blue chip firms go bankrupt and you need the money anytime within the next 3 to 5 years, it would be best to liquidate, I assume. However, if retirement were still a decade or two in the future, the advice to buy and hold and to continue making regularly scheduled contributions would have been beneficial had it been heeded.

 

[VolAgent]

Edward Jones' investment philosophy and the success of the organization is built upon "buy and hold" and the assumption that historically, the market will almost always be higher 10 to 20 years from "now" than it is today, regardless of how the market might behave during intervening bear markets.

In hindsight, the buy and hold crowd absolutely outperformed those who liquidated to cash save for those rare few who liquidated before the crash and bought the market near the the time of the March 2009 bottom. Rare is he or she who sells the high and buys the low.

In the end, the advice to liquidate or not ahead of volatility should have been prefaced with the question of investment time horizon. If volatility increases and blue chip firms go bankrupt and you need the money anytime within the next 3 to 5 years, it would be best to liquidate, I assume. However, if retirement were still a decade or two in the future, the advice to buy and hold and to continue making regularly scheduled contributions would have been beneficial had it been heeded.

If only someone actually knew what he was talking about...

Assuming the market had already fallen, that was actually great advice for a long term investor. Getting out at the bottom is locking in a loss. In fact, once the market has fallen, that is the time to buy. The people who had the stomach to get in during late 2008 and early 2009 made a killing.

 

[KRobby]

Hmm... have you forgotten the fickle public you deal with. I have often provided services for a client who at the time had very well verbalized reasons for their request... then as time went along views changed. About as much as the tax issues they face.

Been through '07 and '08... ask any Ed Jones guy how their clients viewed safe havens then and possible tax consequences. I think if we are not careful we forget history about as fast as our clients.

I'm not sure what you're talking about, I sell a ton of annuities. If he's not trolling, I think ole kenny could be in for some problems if he keeps selling annuities (or get some training)

https://insurance-forums.com/community/threads/annuitize-or-not-annuitize.84830/#post-1133697

If I had someone that wanted to leave 10K to their family and they were fairly sure they would not need the money for anything else, I would suggest a single premium WL plan. At age 65, ti would enable them to increase their legacy to about $15K+

Boom, we have a winner.

 

[Life Hawk]

have you forgotten the fickle public you deal with...

I'm not sure what you're talking about, I sell a ton of annuities.

You don't sell as much as you think, if you don't understand what I said...

 

[KRobby]

have you forgotten the fickle public you deal with...



You don't sell as much as you think, if you don't understand what I said...

Maybe I should clarify, I understand what you said, but have no idea why you'd say it. Why would we care about a fickle customer that changes their mind when the initial primary goal isn't in line with the product recommendation in the first place? But I suppose your position is in line with your earlier answer that they don't need to understand tax implications since they "don't think" like younger folks.

 

[Life Hawk]

This is what I said.

older folks think differently then we do

This is what you heard?

I suppose your position is in line with your earlier answer that they don't need to understand tax implications

My hope is that when you are working with your clients that you do a better job of listening... both for what is being said and what isn't. Your clients will pick up on the same issues. One trick I have given to new agents is that they should repeat back what he client said and ask a question or two for clarification. Good way to build trust as well.

 

[KRobby]

This is what I said.



This is what you heard?


My hope is that when you are working with your clients that you do a better job of listening... both for what is being said and what isn't. Your clients will pick up on the same issues. One trick I have given to new agents is that they should repeat back what he client said and ask a question or two for clarification. Good way to build trust as well.

Nice try back peddler, below is the exact post that you responded to with your "older folks think differently then we do" garbage.
I'm not sure why you take such issue helping people that seem to be recklessly selling annuity products and could use the help.

Hope they understand the tax implications.

 

[Birdman300]

That’s useful information...especially for new agents. Glad you posted Ben.