Other Voices

IN Voices

Apr 27, 2014 @ 12:01 am

Man vs.Vanguard

Trevor Hunnicutt's article about the buzz in the financial advice industry created by the Vanguard Group Inc.'s expansion of its web-based retail advice service led readers to debate whether online advice would really ever replace human advisers. Some also argued about Vanguard's vaunted low-cost investing method.

Looks like the beginning of the end for fee-based flesh-and-blood advisers.” — Robert_Dieli

I think there will always be a place for human advisers. I would like to think that this would get rid of the many bad apples out there. Unfortunately, some people have the ability to sell sand in a desert and it will probably be these “salespeople” that will continue to thrive ... selling what's best for them; not necessarily what's best for their clients.” — AssnapKined

This is a puzzle. Why the fuss? Vanguard has been courting my clients for 15 years. As soon as a client's portfolio reaches Vanguard's “magic number,” clients are approached by Vanguard via e-mails and the USPS. Something to the effect of "look what WE can do for you.' I've helped clients weigh the costs and services and nobody has yet to take the bait.” — Jon Ford

Had money with Vanguard for 12 years in a company 401(k) and only made 2.8% in 12 flipping years! Vanguard stinks and they are cheap for a reason as they don't know how to make money in the stock market. I would never trust Vanguard robots to manage my money and charge me 25 to 35 basis points on my assets to lose my money. I would rather pay humans, thank you very much.” — Guest

Well you must be some crappy investor, because with a median income, I was able to catapult myself into the top 7% of net wealth using Vanguard funds. Many of us view the rise of Vanguard (and DFA) as a sign that people are finally getting it! You are more than welcome to pay humans to manage your money. After all, those humans need to eat, send their kids to expensive colleges, buy vacation homes, etc. I would rather they be using your money than mine!!!” — AssnapKined

You must work for Vanguard. Are you Bogle's godson? LOL. I use Fidelity Advisor funds; they sell non-adviser funds as well, most held in annuities and 401(k)s, but I noticed the Advisor funds perform better than the cheaper institutional funds they sell. If you manage your own money and are happy, you have a right to do, so but if someone wants to hire someone to help them, that is their right as well.” — Guest


What do you think?

View comments

Recommended for you

Featured video


The #MeToo movement and the financial advice industry

Attendees at the Women to Watch luncheon commend the #MeToo movement for raising awareness about the issue of sexual harassment and bringing women together.

Latest news & opinion

Finra looks to streamline broker-dealer exams

CEO Robert Cook says three examination teams may be consolidated.

The 401(k) robo-revolution is here

Could human advisers be displaced as digital-advice firms use technology to deliver services to plan sponsors and participants?

SEC forging ahead on fiduciary rule despite DOL rule decision in 5th Circuit

Chairman Jay Clayton says 'the sooner the better' when asked when an SEC fiduciary rule will be ready.

What the next market downturn means for small RIAs

Firms that have enjoyed AUM growth because of the runup in stocks may find it hard to adjust to declining revenues if the market suffers a major correction.

DOL fiduciary rule likely to live on despite appeals court loss

Future developments will hinge on whether the Labor Department continues the fight to remake the regulation its own way.


Hi! Glad you're here and we hope you like all the great work we do here at InvestmentNews. But what we do is expensive and is funded in part by our sponsors. So won't you show our sponsors a little love by whitelisting investmentnews.com? It'll help us continue to serve you.

Yes, show me how to whitelist investmentnews.com

Ad blocker detected. Please whitelist us or give premium a try.


Subscribe and Save 60%

Premium Access
Print + Digital

Learn more
Subscribe to Print