One cynical advisor called it “castaways clinging to each other to stay afloat.” It reminded us never to give money to this advisor.
Advisor networking and the creation of new peer groups, thankfully, are on the rise reports Ian Salisbury of Dow Jones Newswires. Call it a silver lining in the market morass, but advisors with questions are turning to the best source of market knowledge, other advisors.
The National Association of Personal Financial Advisors says there are at least two dozen active groups with as many as 12 members, all from different cities to avoid encroaching on each other’s territory, Salisbury says.
Such peer groups are especially important to the independent sector.
“Advisors who are independent, having hung a shingle alone or with one or two colleagues, face a lonelier road than brokers at large Wall Street firms whose decisions are often shaped by research departments and directives from New York,” Salisbury writes. These informal groups offer the chance for independent advisors to “share ideas and complaints and to talk shop.”
So if you’re looking for a new pen pal on the other side of the country, there are plenty at the ready.