All the articles in the financial services industry are written by people who have a vested interest in either the advisory business or in the sales business.

By ensuring that you have an adviser there is a good chance that you will be nicely domesticated and beaten to submission. This will ensure that you say the following:

“I am very busy, and do not have any time to look after my money. Since I am not a full time fund manager, let me go to a professional”. Vow! If you already say (or think or believe) this, well, well, I have made my impact!

I think all of us need a few advisers:

1. A guy who will sit with us and do the strategic part of goal setting, asset allocation, risk evaluation, making a will, scream at you for altering the asset allocation, answer your valid questions, ridicule you at your buying some shitty product from a bank that does not let you sleep, tells you what to do and what NOT to do. A guy who will be able to carry on an intelligent conversation with your regarding money, what your spouse should know if you pop it, a guy who can talk in a way that your kids will listen, a guy to whom your dad will listen regarding his fixed deposits….etc. THIS GUY HAS TO BE EXPENSIVE, well educated and preferably from the finance domain. There is NO reason why this guy should be inexpensive. He need not do this business.

2. A guy who will take instructions from the first guy and help you with your documentation. He will sit with you and tell you how to do all this online, how to keep records, produce avg cost statements for your ITO to see,  – your financial clerk.

3. A good investment expert who will help you execute transactions like buying shares, bonds, mutual funds, ….etc. This guy could be the boss of the 2nd guy but should not be associated with the 1st guy. Might create a conflict of interest.

4. An equity broker – without too much capability of equity research..pure execution..being his only capability…

The first guy is paid on the basis of time spent with you.

The second guy is doing clerical work, so should be paid accordingly.

If the first guy is willing to hand hold you during the buying and selling and HE himself does not have a vested interest in the same he could negotiate with the 3rd guy for the fee…

How will YOU know whether YOU need an adviser? Well, if you show the following symptoms go and get an adviser…..

1. OMG Subra what is asset allocation and how does it matter?

2. Why should I save for my Retirement…I am only 23?

3. I have no time to look at so many pages of financial information…I am happy to buy a product, that is all.

4. I have lots of insurance – I pay Rs. 450,000 as annual premium

5. Will? Subra I am not even thinking retirement..death how does it affect ME?

6. My child is in 8th standard and I have no specific savings for his higher education..

7. My brothers, sister and parents are great, we will not fight for the 3 properties worth Rs. 5 crores that our parents will potentially leave us.

8. IRR?? i have no clue of where all I have invested…sorry sir..

…I hope this is enough for u to decide… and if you have said more than 5 ‘yes’ , you need to be in the FINANCIAL HEALTHCARE ICU. Now. Immediately.