Aequus Newsletter
Sep/Oct 2009
Who Does Your Investment Advisor Work For?
As the economy continues its climb out of recession, I’ve written previous columns about the importance of working with financial advisors for whom you are a client rather than a customer. To a fee-only financial planner, you are the client. Like an attorney or accountant, the planner has a fiduciary responsibility to put your interests first. To a stockbroker, essentially a salesperson who earns income by selling products, you are a customer.
The Roots of Money Scripts
For many of us, managing our finances and building economic security is a nagging concern. We know we should be making greater strides in taking control of our money matters, but nothing changes. We become confused and discouraged about our inability to make positive change in our financial lives.
Testosterone May Affect Risk Aversion
Do gender and testosterone make a difference in financial risk aversion? New research from Northwestern University and the University of Chicago suggest they do. “In general, women are more risk averse than men when it comes to making important financial decisions, which in turn can affect their career choices,” said Paola Sapienza, associate professor at the Kellogg School of Management at Northwestern University.