Here’s why MOST financial advisers can’t help you grow wealth – SA money expert

A financial adviser once bragged to me that he sells a policy once and then collects a monthly income indefinitely. These monthly instalments soon add up to a generous passive income stream. Meanwhile, he rarely sees the people for whom he initiated these various financial products. While much has been done to clean up this sorry state of affairs, including a drive to ensure that intermediaries must be qualified and keep undergoing training, there is still a sales culture in the financial advice industry. In this podcast, Dawn Ridler highlights this problem and other obstacles in the way of your wealth-building efforts. – Jackie Cameron.There are many intermediaries out there willing to sell you insurance and help you find a parking place for savings – but very few will help you massage your assets in the long run..This is because they are sales people rather than money experts, is the message from Dawn Ridler, a Johannesburg-based intermediary who has a unique approach to wealth building..Ridler, who has a background in science and bases her approach on her learnings from ecology, told BizNews Radio what the shortcomings are in the financial advice industry. These include that financial intermediaries make their money recommending specific products rather than helping individuals identify where to spend less and how to save more..___STEADY_PAYWALL___.In this interview, Ridler says many people lose money because they don't know where their investments are or how much they are paying to be in a savings vehicle. She warns that it can be "really quite frightening" to see how savings are eroded and that the fees you have been paying can be "so horrific that the investment is actually going nowhere"..Among the many tips Ridler shares with listeners is that you should compare all your investment returns against inflation. If you aren't earning more than inflation, you're losing money even if the return is a positive percentage. "The fact you've made a profit can be meaningless when you take inflation into account," she says..Johannesburg intermediary Dawn Ridler, MBA, BSc and CFP ® is founder of Kerenga.For more useful money tips from Dawn Ridler, listen to: Grow wealth in a slow economy: Think like a wealth ecologist .For more insights from Dawn Ridler see:.How short-term thinking kills long-term wealth building – Dawn Ridler.Money tips: How to avoid going broke in a fast-paced world – Dawn Ridler.Four Retirement Annuity (RA) traps to avoid. Quick wealth-building tips..Why you should love Retirement Annuities: wealth manager.Wealth preservation: How to draw your retirement income.Tax-free investments: Do Retirement Annuities make financial sense?

Here’s why MOST financial advisers can’t help you grow wealth – SA money expert

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