Callisto Wealth Management Ltd
Rainford Hall
Crank Road
St Helens
WA11 7RP

Does your financial adviser eat their own cooking?

If you didn’t have the information, you may reasonably assume that any investment adviser worth their salt would be invested in the same investment portfolios that they recommend to their clients. What is good enough for you, should be for them, right? However, this is not always the case. Some financial advisers will advise their clients to invest in one strategy, but invest their own money in completely different investment funds. Now their goals, risk profile and overall financial situation will clearly be different than yours; but the investment philosophy should be in harmony with what they are recommending to their clients.

This point is magnified when you find out that many active fund managers, the people who actually manage client money on a day to day basis invest actively for their clients, (that is buy and sell regularly for their investors in an effort to beat the market) but secretly buy low cost index funds for themselves.

You would think that your fund manager would invest directly into his own fund and believe in his own ‘best ideas.’ This ought to apply to an overwhelming percentage of all the actively managed funds out there. It is, however often the exception rather than the rule. A large proportion of actively managed funds are led by a manager with no money invested in their fund at all. This sorry bunch may think they’re good, and their marketing materials presumably make the case, but by investing their own money elsewhere they tell you what they really think.

For the investor, it’s not a bad rule to simply eliminate from consideration any investment manager not personally and significantly invested in his own strategy. It makes sense but it also ensures an alignment of each of your interests. Don’t let the uninvested take advantage of you.

At Callisto Wealth Management we run investment portfolios of low cost, globally diversified, passively managed funds for our clients. You can rest assured that our own money is invested likewise. We eat our own cooking.

Why not pop in for a coffee and a chat about your plans and your investments. We’ll review your portfolio with you and give you a second opinion. If we think it is well-suited to your long-term goals, we’ll happily tell you so. But if we think it isn’t working as well as it should, we’ll explain why. Give us an hour and we’ll show you how to get the best out of your life and your money.

Please feel free to get in touch - or phone 01744 881 421 We would love to hear from you
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