Advice to a Widow,

Quote from brownsfan019:

No doubt.

There needs to be an active, WILLING participant for this to work.

If not, off to Smith Barney, Merrill or Morgan Stanley she goes.
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Having been at nine firms, and quitting everytime they forced shit down my throat........

One of the firms named here had eight people on the agency desk because the money was in principal. so, when a market order went off 40 minutes later, and when my complaint was answered with, "we were working your order," and when I ripped a page from a Series 7 manual, faxed it to the asshole, explaining you don't "work" market orders, ......well, you can sorta maybe guess the rest.

The threat of having to go to these assholes should motivate Mama to learn a little. That, or learn how to prepare Spam.

The commission on an equity index annuity is 9%, btw. I think it's a good deal for some people, because you can't mess it up, sell at bottoms, buy at tops. Keep it coming. I'm really looking for some very simple 1,2,3 solution to keep people out of trouble. I'll give you some "for instances" this afternoon to show you some of the questions I get. But to trust the majors, who just shot their wad isn't an optioin.

Anybody got a way to backtest that 200/50 Index fund idea? Maybe that works with ETF's as well. It's simple enuf, and maybe it works, and can help some folks.

BTW, I fully agree that most people are not motivated, and will quit, but I'm going to direct some people here. Let's say we get some ideas for our widows. Not my present wife. I plan on burying her and the next three. But 30, 40 years from now, there will be a large breasted blond, 25 year old that will need some help. Let's keep that in mind. This isn't about me.
 
Quote from nutmeg:

" I plan on burying her and the next three."

___________________________________-

Will you be acquitted?:cool:
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better chance of "committed. " Guys like us get "committed".
 
Quote from flytiger:
 ... a way to backtest that 200/50 Index fund idea? Maybe that works with ETF's as well.
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Sure, the retail solution would be to purchase fasttrack software (link) which specializes in ETFs and mutual funds. Put in your trading system idea and a few dozen variations, run some backtests, try out some different portfolios, and (imitating Emeril Lagasse or John Madden) BOOM! you've got your answer. It'll cost you about three hundred dollars and maybe two weeks of after-dinner plinking around.

Or you could support EliteTrader by purchasing software from one of its most tireless sponsor-vendors, Murray Ruggiero. I'm quite confident Murray will tell you that his software will easily do whatever it is you have in mind. AND its price is one-third the price of fancier professional grade software packages that aren't relentlessly hawked on ET.

It just depends on how important this is to you. If it's crucial, you won't let the expenditure of mere money get between you and your goal.
 
Quote from MGJ:

Sure, the retail solution would be to purchase fasttrack software (link) which specializes in ETFs and mutual funds. Put in your trading system idea and a few dozen variations, run some backtests, try out some different portfolios, and (imitating Emeril Lagasse or John Madden) BOOM! you've got your answer. It'll cost you about three hundred dollars and maybe two weeks of after-dinner plinking around.

Or you could support EliteTrader by purchasing software from one of its most tireless sponsor-vendors, Murray Ruggiero. I'm quite confident Murray will tell you that his software will easily do whatever it is you have in mind. AND its price is one-third the price of fancier professional grade software packages that aren't relentlessly hawked on ET.

It just depends on how important this is to you. If it's crucial, you won't let the expenditure of mere money get between you and your goal.
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I think it's important. Can I borrow three hundred dollars?

I thought Amerisuck offered something like this?

Anyway, it is important, because nobody has anybody who'll tell them the truth. Go look at the Overstock news, and you'll see how far you can trust Wall St. I'm dead seriouis about this, and I'm going to pursue it. Keep the ideas coming.
 
Quote from brownsfan019:

As one of those mutual fund sales guys in a previous life, here's my suggestions:

3) My best solution for this question, b/c I get it A LOT, is to suggest learning about ETF's. You do not need to know a lot - just build a diversified basket and leave them be. We know that over time, the market goes up. If time is not an issue, this can be a simple solution to staying in the markets w/o getting taken for a ride with fees.

And that's it. Just buy a few ETF's and let them go. Maybe you could find a few good sites that recommend ETF's and direct your spouse there for help and guidance.

Now if he/she is not going to be willing to do some work, some sort of fund of funds through a Fidelity or Vanguard could work.
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I like your idea the best . What ETF's would you suggest for 100 K account ?
Is there a website which deals with this and is also good ?
Thanks,
 
Quote from Hombre:

I like your idea the best . What ETF's would you suggest for 100 K account ?
Is there a website which deals with this and is also good ?
Thanks,
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And don't forget, as time goes on, they'll be more. But Wall St. will put bells and whistles on them and load the fees. No good idea goes it alone
 
Quote from Hombre:

I like your idea the best . What ETF's would you suggest for 100 K account ?
Is there a website which deals with this and is also good ?
Thanks,
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There's a few different ETF websites out there, just hop on google. The key is to keep the funds diversified and minimize overlap. I would look for an 'xray' service like what morningstar offers to make sure there is minimal overlap of the same stocks.
 
Lot of good advice here. I get these questions a lot, although in a slightly different form. Typically, some relative calls and says their broker advised buying some dog stock, what do I think? Often for the older relatives, the suggestion is a bank preferred IPO. Try explaining that these might not be a good idea because if rates go up, they will drop in price, and anyway the only reason the broker is rec'ing them is that it is an IPO and he is under pressure to move product. You get back," But it pays 6% and I am only getting 3.8 now."

Or it is some unemployed cousin with $40k in savings, and you find out she is paying>$200 per trade to a full service broker. You explain carefully that she can't stand the risk of individual stocks, that she is getting ripped off in commish and that for all the risk she has taken, she has underperformed the market, and you advise an ETF portfolio through a discount broker. Two weeks later you find out she moved her account to another expensive full service broker who some other relative uses.

People either are motivated or they are not. For those who aren't, I have come to believe the annuity route is not all bad, even though it is a rip off. A full service broker who will buy and hold is a terrible idea, except for what these people will do otherwise. I have friends trying to get me in private mortgage schemes which they can't even explain, "but it pays 16%."

The one thing you absolutely cannot dois recommend a stock to these people. If it goes down they will never forget how you steered them wrong. Most will fully expect you to make up any losses, after all, they trusted you. To make it worse, all your relatives are certain you carry around with you at all times a list of stocks that are primed to go up on a moment's notice. the fact you are reluctant to share them with them is proof of what a selfish prick you are.
 
There are organizations for widows, run by other widows, exactly aimed at this problem. One of the best in my area is "Resourceful Women" (get it? Resource-FULL Women? Women with lots of resources?). Their website is http://www.resourcefulwomen.org/

Typical Resourceful Women story: The husband is financially very successful, he makes a bunch of money and manages it himself (not wanting to burden or bother his spouse with the grubby details and time commitment of money management). Then he croaks. Now the wife ("widow") has got control of the money but no earthly idea what to do next. Worried about being easy prey for slick salesmen and crooked promoters, these widows band together and run educational seminars for each other, with the goal of self-sufficiency.

They also refer one another to trusted advisors. Betty has had excellent results with money manager Mike, never feels pressured, and over the past six years has formed the opinion that Mike is honest. So when Alice asks Betty whether she knows of a trustworthy advisor, Betty replies "Sure, call my guy Mike, he's done well for me and I trust him."

Maybe there's a similar organization in your area. To find out, speak with female ministers in churches in your town. They know a lot more widows than you do, and widows support groups too.
 
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