FYI: Dina Isola, a financial advisor at RWM, is an advocate for the protection of retail investors, no matter how much money they have or what level of sophistication they are considered.
Here’s what happened when a financial advisor stood up for investors in Congress.
n the modern era, there are all sorts of business models that provide a chance for smaller investors to get help with their financial planning, from discount brokerage to automated (or robo) asset allocation to target date funds. There is absolutely no reason to preserve conflicted business models in the name of providing “access” to financial services that are subpar and rife with the potential for abuse.
But the industry lobby wants to preserve the status quo – a tiered system where smart, experienced investors choose to get financial advice from fiduciary advisors who only serve them while less wealthy investors who don’t know any better get the kind of advice that benefits the financial salesperson more than the client.
Dina was invited to testify before the House of Representatives Financial Services Committee and to explain to them why she felt there ought to be one standard – a fiduciary standard – applied to everyone who is entrusted with the investments of the public. She was shocked at the degree to which many of those congresspeople on the committee had already made up their minds about the issue.
This is the first episode of a new playlist here on The Compound that will star both Dina Isola and her husband and fellow advisor Tony Isola. The Isolas have been fighting for the improvement of investment options for teachers and other 403(b) participants since the beginning of their careers. This type of fight involves hand to hand combat, rescuing one household’s finances at a time.
Regards,
Ted
https://ritholtz.com/2019/04/dina-isola-standing-up-for-investors/?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed:+TheBigPicture+(The+Big+Picture)
