We’re stepping up on the soapboxes this week and using the dreaded SH word at you: should.You should care about how financial advice in Canada is regulated, even if it means sacrificing some time waiting for the next season of Doctor Who or Downton Abbey or whatever it is you watch. Why should you care? Because chances are, if you’re looking for financial advice, you’re not confident in your own abilities. And if you’re not confident in your own abilities, and you want someone to help you figure out what to do with your savings, or how to get your budget under control, or whether you can afford to travel every year in retirement, you should care if the advice you’re getting is in your best interest…or in the best interest of the person giving it to you.
We’re joined this week by loyal friends of the show Noel D’Souza and John Robertson, and we’re going to take a stab at revealing what’s really going on at the big banks when you go looking for financial advice, and what we think you (and the regulators) ought to do about it.
Interesting discussion on new legislation
SIPA was founded in 1998 to try to make Canadians aware of how the investment industry operates.
Our website has been revised at http://www.sipa.ca
Also we have a SIPA Facebook (small investor protection association) operated by Larry Elford in Alberta that is open but individuals need to be approved by Larry to be able to post comments. It is recent but already has 41 members. You may be interested in taking a look.
We regard one of the most important issues is the deception by the industry/regulator complex with the Adviser/Advisor Name Game.
Larry recently produced a video on one of the deceptive practices of the investment industry. It is something we have talked and written about for years but I think Larry’s video message is powerful and shows the facts. If you are interested, here’s the link.
Investment Advisor/Adviser Name Game
http://www.youtube.com
How a simple spelling game can fool the public into the belief of a professional…See More
We are currently investigating ways to improve getting the message out and currently discussing podcasts, so I was interesting in viewing yours.
From the few minutes I observed I think you are on the right track. I also think all of us must work together on this huge problem of Canadians losing their savings due to industry fraud and wrongdoing. Regulation is a very small part of it … in my opinion.
Revised legislation is necessary and making all those who provide advice or sell financial products (banks, insurance companies, securities dealers, and mutual fund dealers) should have fiduciary duty and be regulated by one central authority. Much like the AMF in Quebec but on a national basis.
Self regulation is great … for the industry, but ineffective to protect investors. Canadians relying upon product sellers not qualified to provide advice are at risk.
I look forward to tuning in to your podcasts.
Stan Buell
SIPA
sipa.toronto@gmail.com
Hi Stan, thanks for your comment. I had the pleasure of chatting with Larry in Lethbridge last year about the good work he’s doing for individual investors.