I was in a local branch of a national bank today and I could not help but overhear the advice that the 'financial expert' was giving to a customer.
The first thing that bothered me was the voice level this rep. was using. I could hear the entire conversation from across the building. For starters, The person he was speaking to must have thought he was angry at them. I have never enjoyed taking advice from someone screaming at me, let alone someone who knows absolutely nothing about what he is talking about.
This bank rep. then proceeds to tell this person that the bank Mutual Fund was the best place for the customer to put their money. Using arguments like, "the stock market is still down 4000 points from where it was, it is going to come back" and "this stock has an average return of 6% since 2001, it is a safe investment." Don't get me wrong, I do believe the stock market could quite possibly return to it's former glory, but predicting when this will happen is impossible to know. This gentleman was acting like he knew exactly what was going to happen and insisted that the customer place his hard earned money in their hands.
What bothered me the most about this situation was the way in which this rep. acted that there was only one option for this person he was helping. It also bothered me how this person seemed to be eating it up without giving any thought to who he was speaking to.
The bottom line is you should not listen to investment advice from a CLERK making 10 dollars an hour. The only motivation they have is the commission they will make from placing you in that investment. As I was walking out I heard him say that he just bought a motorcycle and got a loan to do it! I wonder what was motivating him that day?!
Be Careful who you take advice from,
To your success,