frequency of paying tax and reporting, page-31

Hi Lindso

I'll bite. But I'm not in the business of maligning anyone. There are good people everywhere. When I need financial advice and services I like to deal with the likes of you and MK70, but how does the average punter know, and how do they find you?

Instead some end up with the advisers referred to in Business Spectator today who demanded 10% commissions for putting people into timber schemes that went bad. Where are the professional ethics in that?

I use a professional SMSF manager who charges a capped fee. I could do it cheaper, but I appreciate the higher level of service and the fact that I can spend my time on other more interesting and profitable things.

I currently use a an on-line broker for investments. I do think about using a full service broker, because while I'm good for strategy and (mostly) stock selection, I'm less good at deciding to sell. I suspect that if I was prepared to take advice on selling the savings would pay the broker fees, and I'd have someone else to talk to.

From time to time I get professional advice from advisers. This was especially so when things like RBLs made life difficult. The quality has been variable, and the good ones can be hard to see for one-off sessions. So I have invested some time in making sure I understand it myself - to the point where I suspect I know the current super system better than many advisers, who tend to just trot out cookie-cutter plans where the content is as predictable as the disclaimers. I always pay a fee, and wouldn't go to an adviser who didn't rebate commissions. In fact I would avoid funds that pay commissions (yes there are some).

The common thread in all the above is that I am prepared to pay for professional advice and services when I need them, and when I can find good people. But I am deeply suspicious of commissions which seem to me the antithesis of professional service. And I am pretty wary of any ongoing fees, especially when based on a percentage of the funds under management. Such fees and commissions often don't sound like much, but they can really eat into your returns over time.

regards ubhopeful