Mr. Tan,
I wonder if you have any plan to set up a company where people can buy products at steep discount on producing a 'financial prescription". This prescription will bear the name of company or the adviser to authenticate its origin and to verify also the bearer has undergone a financial health check and the products recommended are the result of it.
In this way the unethical insurance salesmen can be weeded out. This will create a safe environment for customers. Like the medical professions customers can go to seek advice or consultation without worrying of getting a salesman but practitioner with the right qualification and ethics. The practitioner or the adviser is regulated and license to operate will be renewable on the yearly basis.
REPLY
I am considering to work with a financial advisory firm to offer a few low cost investment funds to the public. There will be separate funds invested in equities, bonds and money market. The expense ratio should be kept within 0.7% per annum for equities and lower for the other funds.
The investor can read my FAQ and decide on their own financial plan. They can also attend an educational seminar. If they wish to see a financial adviser, they can pay a modest fee of (say) $100 per hour.
Do you like this idea?
Kudos to you, Mr. Tan, you are the champion of the poor man in the street.
ReplyDeleteYou should negotiate with the manufacturers to lower their prices or a discount and to act for them as the only middleman between the customers and the manufacturers.
The advisers charge a fee and issue
the "prescriptions 'detailing the recommendations and you dispense accordingly. In this way it is win-win-win, and value for money and no over charging and conflict of interest. Yes, this the way to get rid of insurance salesmen and women out of this business.
In the current model, the salesmen and the company benefit, the customers lose. It is time something is done to stop the unethical and unscrupulous practice
of the insurance salesmen .
This will be fantastic. No more those cut throat commission to pay to useless insurance salesmen who add nothing to our financial life. Really can't stand them pitching those rubbish stuff endowment or wholelife products that only give them high commission.
ReplyDeleteLook forward to the day when Mr. Tan makes this a reality.
This is a good idea.
ReplyDeleteI think the fee based approach is workable as the fee is modest.
For those who is looking for a competitive quote and save on the fee can also to leverage on the Cooperative's resources - for example, go to the business centre, get a no-obligation assessment and recommendation. Then use Mr. Tan's company website and do a comparison before making an informed choice.
Thanks Mr Tan,
ReplyDeleteI came across your blog a few weeks ago. And I find it very informative. Its very good for us people who don't have a lot of financial knowledge. Your advice and tips keeps us from making mistakes that can be avoid.
I love your idea.
I look forward to ur advice.
Albert