There are many other measures to take into account, some more important than others, like assets including intangibles, liabilities including contingencies, and mental and physical health.
The real measure of successful investing is how the investor feels about the result. Feeling good about the result is an unwritten, but very important, psychological goal.
The best performing scheme in three years duration has returned 11.25% CAGR whereas the worst performer has given returns of -1.31%. This difference in performance is many times the difference of expense ratio between direct and regular plans (which may at best be 0.5%).
Whether you have a team of 3 or 30, an IFA can give clarity of their role to his employees and at the same time have flexibility in the outfit, says Vinayak Sapre.
The services offered by IFAs are now perceived as hygiene factor. The client is more sensitive to what we talk and how we behave. We need to sense those changes.
Good research, good due diligence in general, means looking for differential information and approaching the problem in different ways, says Tom Brakke, CFA.
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