They Never Call

I dusted off this never published post after reading Mark Crothers’ recent post about killing a party by trying to offer advice. 

Have you ever been at a social gathering where the conversation turned to money matters?

I know a fella who has a reputation as an ace stock picker. I overheard someone recommending to a friend that they should talk to the guy for advice. The stock picker guy happened to be a tax client of mine. He was a typical day trader, lots of action, little to nothing in the way of results. Believe me when I say that the guy was not the ace people thought he was. IRS regulations prohibit me discussing anything I have learned as a result of preparing a client’s taxes, so I was unable to intervene, but I doubt the advice was ever followed. 

When I’m asked for advice, I answer that I would be happy to explain my investing philosophy, which is much like that of many HumbleDollar devotees, while suggesting that they call me later so that  we can talk in private. I would be happy to explain about ETFs and Indexes, and broker-dealers like Fidelity, Schwab and Vanguard. 

Guess what; they never call, and it’s just as well.