Saturday, January 24, 2009

Suze Orman reads the riot act to caller who is keeping all her money in stock market; she doesn't want to hurt her financial adviser's feelings

Financial advice guru Suze Orman provides very spirited financial advice, but seldom have I watched her get disgusted as she did with a 63-year-old woman tonight.

And every one of you out there should take a lesson if you still have a lot of money in the stock market.

The woman told Orman that she has not shifted nearly all of her household's IRA income out of the market because her financial adviser is against it. The woman and her husband want to shift their money to safe harbor, so she called to ask Orman how.

And that set Suze off.

She chastised the woman for not firing her financial adviser, or ordering him to shift the IRA money to cash.

"It's your money!" she shouted.

Orman then acknowledged that a lot of consumers, however, let financial advisers and brokerage people bully them into staying in the market. The woman has lost 40% of her holdings.

From what financial analysts I trust tell me, it will take 10 years or more for investors to make up their losses. If you still stay in the market now, add a couple of more years to that term.

Why do financial advisers want you to stay in the market? Because they make money off you doing so. They don't make anything from you being in cash ... money market accounts.

I fired my financial adviser in Franklin, TN., last October. Why would I keep my money with someone who admits to losing more than 20% of his money? I make my own decisions and finished up for 2008 and so far in 2009.

Learn about investing. Study it. Absorb it. And protect your money now. It's yours!

Right, Suze?

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