AG Edwards philosophy going going ...... gone

Wachovia bought A.G. Edwards almost a year ago. I think the effects of the acquisition are starting to be felt. When the acquisition was announced, I had my own personal reservations. One of the main reasons that I selected A.G. Edwards was that they were independent and did not manage their own mutual funds. I consider managing mutual funds and giving financial advice to be one of the greatest conflicts of interest that exist in the financial advising industry. Which mutual fund products will be the first recommended by any of the brokers? The mutual funds that their company manages will be offered first, of course. Here is a link that summarizes up the philosophy that AG Edwards had. It’s an excerpt from a the book: The Loyalty Effect: The Hidden Force Behind Growth, Profits, and Lasting Value Google only displays the image of the pages, but these pages on AG Edwards summarize my beliefs on what a financial advisor should do as well.

So in less than a year my broker has left. That in itself is no big deal. He was OK but I wouldn’t move my money because he left. 3 months after my broker has left I finally get a phone call from the “new” guy handling my account. Why? Not to touch base with me to get to know me, my goals, etc… No, because one of the stocks I own was getting bought out in an all cash deal, and they wanted to know if I intended to tender my shares. “Duh” I think this is a computer alert, and I’m being contacted by an employee to take action. No mention that since this was his first time to talk to me, would I like to schedule time to go over account, goals, etc…. nothing. I’ve had the chance to talk to him several times now, due to mistakes, mis-handlings of the account. They didn’t tender the shares; they (AG Edwards) changed the address from my current address to a former address. With every phone call not one single mention of going over the Account, or any other pleasantries. So, what do I do? I get the feeling that this new guy just got his series 7, doesn’t have an investment philosophy, and will most likely start pawning Wachovia funds to me. I think it is time to take my money someplace else, because AG Edwards is close to not existing anymore, at least the AG Edwards that drew me to use them.