A Final Thought from Daria

Like many physicians, people in financial services love to confound you with jargon. It rocks you off-balance so that you feel inadequate and ignorant, a walking target for whatever the "pro" is trying to push.

If the language is unintelligible, ask for clarification. If you still can't understand, get up and walk out. Feeling stupid is preferable to being poorbecause you lost money in investments you didn't comprehend.

I can't tell you how many men, in particular, just can't bring themselves to admit they don't understand what it means when a broker says something like "Let's do a butterfly spread" or "Go short against the box."

The guy sounds authoritative, and the client doesn't want to show his ignorance so he buys into it. In my experience as a broker I've seen some incredibly astute businessmen make the stupidest investment decisions because they can't bring themselves to say those simple words, "I don't understand."

If a broker/financial planner can't adequately explain an investment idea in two minutes or less, tell him, in so many words, to cut the b.s. Say: "Just give me the facts that explain why this investment fits my investment objectives."

If you're concerned about the safety of investing with an advisor, check out our Dolan Expose: Brokers' Favorite Tricks for ways to protect your money.

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