Have a feeling your stockbroker’s advice may not be unbiased? Trust your gut. - November 23, 2009
Latest statistics show that there are nearly 10,000 publicly traded mutual funds for investors to choose from — so, it’s no wonder that so many investors turn to financial advisors to help them decide which to invest in. The problem? Many of those advisors are compensated by commissions of some sort from the fund companies — and, those compensation relationships are not always clear to consumers. It’s no surprise, then, that research shows that representatives are more likely to recommend the funds that pay them best.
Source: Smart Money (click here to read the full article).