Investment Joke

Q: What's one of the fastest ways to lose money?

A: Ask a bank for investment advice.


A client with a keen sense of humour recently got in touch to tell me about a conversation that took place recently between him and an investment adviser in the branch of one of the top 5 high street banks.

When discussing a lump sum of capital the adviser tried to sell an investment bond to my client, with one of the key features being that it would not have any initial charge. However the product illustration clearly showed it would pay initial commission of 7% to the bank.

Furthermore, it showed that if the investment was encashed within a year of being established, a 10% penalty would apply.

If my client had accepted the sales pitch and bought the investment, in real cash terms he would have immediately lost 10%.

It may seem like a radical idea, but shouldn't investments be designed to make you money, and NOT the financial adviser?