Most salesmen are able to sell products at prices they decide because investors do not ask them the right questions. These questions will help you keep pesky guys off:

1. Can I sell it when I want to: I love long term investing, but it also feels good to know that almost 100% of my financial assets can be sold and encashed in 24 hours. Real estate as an investment is insignificant in my portfolio, and have no private equity, companies which are to be listed shortly, PMS, real estate PMS, etc. Of course all my Rel ship managers are sad, but that is the way it is.

2. If I do not go through the full transaction, how much do I lose? In a part payment PMS (one of the stupidest products that I have seen) if you do not pay the full amount you lose all (or a big part) of the investment made earlier. One of the worst things to do.

3. Why are you asking me to put 30% of my liquid net-worth in one investment? If your liquid investments are less than Rs. 2 crores, then stay away from deep discount (unlisted) debt instruments, PMS, real estate SPV, – putting Rs. 25 lakhs in one ILLIQUID asset is not a smart thing to do.

4. I am 74 years old why the ……..are you selling me a new product: Okay at some stage you need to stop dealing with financial salesman. For me it could be 65, for you it could be 50, 60, 80, 90….YOU CHOOSE. At this stage you tell the guy “I need to ask my son (daughter, in law….) Mr….., and by the way he heads the derivative desk for Goldman Sachs at London” – i hope you are ok with it.

5. By putting such a small amount, even if it does really do well how will it change my life? Ha ha ha..this is a trick and has to be played well with Q 3.

6. How much is your commission? Why the hell is the product so expensive? (does not matter, ASK)

7. In a worst case scenario how much can I lose? After 10 years is it possible that I do not get even bank interest kind of compensation? What are the chances of that happening?

8. When you leave this company will you tell me the bad things about this product or should I ask your ex boss who has just moved to Singapore?

….more to follow….