The financial crisis left many investors blaming financial advisors for failing to shield them from deep losses or to explain the risks of the exotic yet highly profitable products they were sold.
“I didn’t get a call during the market implosion and received no advice when my retirement funds were shrinking,’’ says Tom Hoebbel, a photographer in upstate New York, who fdropped his Edward Jones advisor in fall 2008.
Hoebbel is not alone. Forty-five percent of investors surveyed last January by ING Direct had reduced or eliminated their relationship with a financial professional. And fifty-seven said they could do just as well making their own investment decisions.
Entering 2011 after two straight years of double-digit gains for stocks , investors who ditched an advisor are feeling pretty confident with their decision.
Yet given stubbornly high volatility, the limitations of a buy-and-hold approach , and longer retirements to plan for, financial planning experts say such confidence may be misplaced.Page 1 of 6 | Next Page