INVESTORS BELIEVE ALMOST ANYTHING!
We realize this and Smart Structure and our patent pending solution enables you to: Keep It Simple STUPID Smart-investor!
This the first line of Jason Zweig’s latest missive on personal finance. I won’t bore you with the details of another excellent story (I recommend following him), but I’ll summarize:
This latest pitch makes no sense for the buyer, makes lots of $$$ for the seller and ties your money up paying those fees for years at a time.
(I’ll BET they DON’T list that in the description in their marketing pieces.)
Why would any rational person want this? Because “so many investors, financial advisers and fund managers want to invest in “alternatives,” or assets other than publicly traded stocks and bonds, interval funds are booming”.
“As the costs on market-tracking index funds and ETFs continue to fall toward zero, asset managers are urgently seeking new ways of milking high fees from their clients. The equally urgent task for investors is to think about how much asset management should cost and which returns are even worth pursuing in the first place.”
Now, WHY are people looking for “Alternatives” to add to their portfolio, especially when those “Alternatives” have HIGH FEES, LOW LIQUIDITY and COMPLEXITY without any guarantee of any results going forward?
It’s SIMPLE: WALL STREET SELLS THIS CRAP TO YOU BECAUSE THEY CAN’T MEET OR BEAT THEIR INDEXES — SO THEY CONFUSE YOU WITH NONSENSE AND PROMISES!!.
Wall Street talking heads do one thing: TALK THEIR BOOK. That simply means that any question always leads back to THEIR STORY where they explain why what they’ve uncovered is the greatest and only solution since sliced bread. There are an infinite number of examples that illustrate “financial solutions” that FLY IN THE FACE of one of the MOST IMPORTANT things that YOU HAVE EVER LEARNED:
Keep It Simple Stupid!!
At SMART STRUCTURE we LIVE the KISS method.
Like William of Occam stated in his theory of Parsimony or Theory of Occam’s Razor—the idea that the simplest explanation is always preferable