I guess when we are faced with financial planners who are 'friends' with us, a reasonable question would be to ask, "Did u also buy the very policy or investment funds that u are recommending to me"? How about your spouse or your parents? If u can't personally buy the very policy u are selling, I'm sure if that investment return is so good, there should be some innovative ways to get around, to benefit from it
I have so far been the 'guinea pig' for my financial recommendations to my friends. I have always put my own money first to the litmus test, before suggesting it to others
Some suggestions I have put forth to some of my close friends (with some understanding of their financial conditions):
1. Starting a OCBC savings account that pays 3% interest
2. Starting of CIMB savings/current account that pays 0.8% interest
3. Topping up my CPF Special Account (SA)
4. Topping up CPF Special Account for loved ones
5. Transferring from CPF Ordinary Account (OA) to SA
6. Topping up the Supplementary Retirement Scheme (SRS)
7. Long-term investments in Singapore large-cap companies (Kepcorp, Sembcorp & ST Engineering)
Bearing in mind of sensitivities, I feel that sharing is caring :)
Hi coven,
ReplyDeleteBut to apply your own advice to yourself might not be in the best interest of the clients. If your clients are married with children, and you want them to buy an endowment, do u also not recommend them one simply because you are not at that stage in life yet? Conversely, even if you recommend others and follow the advice yourself, it doesn't mean that it is suitable or right.
Just saying ;)
Hi LP, wow clients is a scary word, I am just a friend :P
ReplyDeleteI guess we can't be at all stages of life, so in the event of doubt, just keep silent, can't be very wrong with that :)