Every body’s life is filled with various experiences, and it is some of these experiences that makes us more mature in our thought process.
I love my profession of financial advisory & it gives me a great satisfaction after seeing that my advice has benefited my client. This is not only because i want to be the best but because every return in my client’s portfolio gives me an opportunity to proceed further with my client. Sadly, most of us judge our adviser’s only by the amount of returns that they make and i am a firm believer that an adviser is hired to make gains and not losses. At the same time an investor needs to verify that have these returns been made because of the adviser’s “PROFICIENCY” & “NOBLE INTENTIONS” or just by “LUCK”
The reason i am writing today is to give a perspective about what is a right advice and what is a wrong one, because sometimes it does happen that a wrong advice gives more return that the RIGHT ONE. I would hereby also request to all the people who are reading this post to respond with their views.
In the month of March 2009, i met a client of mine who had some liquid surplus to be parked for a period of 6 -12 months. The points that played over my mind were the elections were round the corner, economic data was not good, sentiments were low and even if i ignore all this, EQUITY is not meant for one year and hence i suggested this client a short term income fund and an Arbitrage Fund.
The client did not invest with me and instead went with the advice of another by putting his money in Reliance Growth Fund. Now just to let you know “Reliance Growth Fund” is primarily a Mid cap fund.
Now i met this client last week and he told me that if he would have followed my advice he would not have made any substantial returns and by following the other adviser, he made 52% gains in just 3 months.
I was really shattered on hearing his lines and was recollecting “An Advisers Job is to identify the best opportunity for his client keeping in mind the following:-
- Risk appetite
- Time Horizon
- Market scenario
- Future market expectation
- Asset class characteristics
The only things i used were my “Noble Intention” and the “Proficiency” which i have built up with the support i got from my organization. Now i believed that Equity investment in Indian markets in March 2009, for a period of 6 – 12 months was not the right choice.
I am counting on each one and would humbly request to respond whether i was WRONG or RIGHT because if was wrong then i need to change my beliefs about “ADVISING WITH NOBLE INTENTION”.
Also for everybody’s sake, if he had chosen to invest in my advised places he would have made a return pf 1.85 % in the Arbitrage and almost 0.45 % in Short term income fund.
PLEASE COMMENT SINCERELY !!!!!!!!!!
Anil Budhraja
anilbudhraja@yahoo.com
9811078787
