ETF Prime Archive

PBS’ “The Retirement Gamble” Must-See TV

Listen to The ETF Store Show every Tuesday at 9am on ESPN 1510 as we cover everything you need to know about Exchange Traded Funds and the world of investing.

Click here to listen to The ETF Store Show now.

If you currently participate in a company 401k plan or even if you have an old 401k account sitting with a previous employer, PBS’ new documentary “The Retirement Gamble” could have you second-guessing whether your 401k account is a benefit to you or to the mutual fund industry.  From high fees, to broker kickbacks, to underperformance – this documentary takes a candid look at how mutual funds made their way into your 401k and more importantly, it examines the potential negative impact these funds can have on your retirement.  At The ETF Store, we believe that low cost, index-based ETFs are the best way to build an investment portfolio and we receive no kickbacks for using these ETFs.  We simply select what we believe to be the best ETF for the asset class we want exposure to.  Unfortunately, 401k plan participants are, often times, stuck with high cost, actively managed mutual funds that pay a nice commission to the broker who sold them to your plan.  On our most recent radio show, we discussed PBS’ new documentary in detail and explained why it’s critical that you understand exactly what you’re getting from your 401k.  Watch the full documentary below – and thank us later.

5 Questions You Must Ask Your Financial Advisor

Listen to The ETF Store Show every Tuesday at 9am on ESPN 1510 as we cover everything you need to know about Exchange Traded Funds and the world of investing.

Click here to listen to The ETF Store Show now.

Some investors select their financial advisor based on the name on the door – the brand, if you will.  Other investors are referred to a financial advisor by family or friends.  While neither of these is necessary a bad place to start, it can be a big mistake to assume that a well-known brand or solid referral will yield the best financial advisor for your situation.  Regardless of how you initially find an advisor, it’s critical to your financial future that you still ask the right questions before ultimately deciding to work with that advisor.  On our most recent radio broadcast, we armed you with the five key questions that you absolutely must ask a financial advisor before hiring them.  Don’t be shy.  If your advisor is uncomfortable answering these questions or simply can’t answer them satisfactorily, you should look for another advisor.  Listen to our full broadcast as we go into detail on each of the following key questions to pepper your advisor with:

• How are you compensated?  In other words, how do you make money off of me?
• Do you have a fiduciary obligation to your clients?
• What investment products do you use?
• What is your investment philosophy or approach to investing?
• How often do you discuss the overall performance of my portfolio and how it relates to my financial plan moving forward?

While there are certainly other questions you can ask, if you use the above as the foundation, you should have a pretty good idea on how the advisor operates and whether they’re the right fit for you.  And, by the way, demand excellence in the answers – it’s your money and your financial future.

In addition to discussing the key questions to ask a financial advisor before hiring them, we conducted our usual weekly market update, fielded our listener question of the week, and spotlighted a very interesting (and popular) low volatility equity ETF – the PowerShares S&P 500 Low Volatility ETF (ticker SPLV).