Hi Fellow Automated Millionaires,

After reading that news article in The Straits Times, this thought came up to me - "The leopard never changes its spots". Why? Regardless how they change the sales tactics, they would never change the sales charges DBS or other banks is charging their customers, which means US! (Thanks to the government, now all financial instituitions can only charge us to a maximum of 3% for all CPF investments, which used to be 5%!)

Like what I always share with my friends and clients that Banks will never protect our interest. Why? Very simple, because Banks are commercial entities - they are out in the market to make money not to protect our money. They are still charging HIGH sales charges to our investment and charges $2 to our bank accounts if we didn't hit the daily minimum balance of $500.

And more importantly, the commission structure of Relationship Manager is one time off. Therefore, most of the time, he/she would be interested in your money how many times? I agree that it is importantly to create a long term win win relationship with your money manager through commission, but most  commission structure is structured in a way that is just one off. Hence, if this is the way, most of the time,  the Relationship Manager/Financial Adviser/Financial Consultant would not be putting in much interest in how the fund performs or doing much switching to protect the money!

Go for Independent Financial Advisers, who represent no financial institutions except you! Yes, you can say that because I am one that's why I am saying that but what have you got to lose? :)

Go IFA!

Yours Sincerely,
Max Tay