Meaningful Returns

The greatest book title I’ve ever seen–at least in the realm of finance–is about 75 years old and comes from an author named Fred Schwed: Where Are The Customers’ Yachts?

The book takes a hard look at the many less-than-savory practices of brokerage firms and the finance industry at large at the time (but also now), with the basic premise being the question he’s really asking in his title: If you’re claiming to provide advice and service and products that enrich the lives of your clients, then how come all the yachts belong to YOU?

It’s a good question, a great question. But maybe the yacht reference is a bit outdated (at least for those of us outside of Wall Street). What are some other questions we might ask the industry these days?

• How did you pay for all the leather and marble in your office? And does that help you model my long-term care needs, or what?
• How is it that you’re a scratch golfer? Or did you confuse me wanting to retire and play more golf with me wanting to pay for YOU to play more golf when you’re not even close to retiring?
• Do you have two BMWs and one Land Rover, or two triplet brothers and one Land Rover?