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Our survey results are final!
More than 10,000 investors responded, and the answers speak volumes about how sophisticated our readers truly are!
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An impressive 87.3% have been investing for ten years or longer. Less than two percent are new investors.
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Over 68% spend more than 30 hours per month gathering investment information and recommendations. And remarkably, more than one in five spend more than 90 hours per month in research!
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More than two thirds — 66.3% — have taken a course on the subject of economics, finance or investment.
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Nearly three fourths of our readers — 71.1% — have used inverse ETFs, put options and/or short positions to profit in a declining market.
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And while most of our readers have experience investing in traditional investments like stocks, bonds and mutual funds — many also have experience with more advanced investments like options (45.2%), currencies (37.7%) and futures (17.4%).
The big take-away from this survey: Our readers are far more advanced than most investors, and knowing how experienced you are will go a long way towards helping us tailor our publications and online briefings to your level of sophistication.
And today, I have a new question for you …
Just click this link and leave a comment to help us with your answer to this question:
How important is past performance to you when selecting an adviser or investment analyst?
Good luck and God bless!
Martin
{ 100 comments… read them below or add one }
Very important.
not at all important. The NOW is important.
Performance is #1 because it equals Risk Management!
Very important …… although it is not the only criteria.
Performance plays an important part, and for me would probably account for about 60% of my choice. The rest is the usual due diligence to be done, taking into account current performances and market conditions, and not to mention political climate.
A track record is quite important but I am getting to the point where I want and like to do my own due diligence. Then I use advisors information to help confirm or deny my own findings. I also now require that any advisor have the same priorities I do. In my case that is dividends with strong leanings toward being outside the US dollar. Also very much pro natural resources, gold and silver.
Past performance is the only indicator an advisor has. Some are valuable; others are variously less valuable. Of course, none is perfect. The greatest weakness is “timing”. I wish there was an indep endent source to rate advisors;; preferably a rating for “conservative” and another for “aggressive” advisors.
John Woods
VERY Important!! Service too…even with web based folks like Wells Fargo and TDAmeritrade
Past performance (% gain/loss) over a set time period is less important to me. What is more important to me is the investment strategy and logic behind how investments are chosen; the investment instruments they use; good logic for timing for each instrument; and the finally the advisors’ knowledge of current events and predicted effect.
VERIFIABLE past performance is extremey important. All your team at Weiss contribute to an overall picture that provides very helpful information and insight. And, the past performance is obvious and well verified. ..You’re my team!!
Don Stevens
I think the past record is just another, but not the only measure. Other considerations would be years of experience, costs, are their past and current recommendations within your comfort zone to name a few.
Totally! As ably expressed by these foregoing entries.
Very, very important. If you hae not produced in the past,what about the future????
An advisor’s past performance in varying market conditions, especially with a good performance in adverse times is important to me. I still try to do my own researce.
Past performance is very important.
Paramount!
Not very important. The tendency toward the mean would indicate that anyone who is very high must go down. Of course, anyone who is very low should not be considered either. Slow and steady would be my major point of consideration.
Do not invest without proven advisor track record to support the investment. Larry Edelson has such a proven record. I rely on his timing and cycle analysis to guide my decisions and help me interpret my own charts and analysis. It adds a valued 3rd dimension to my decision making.
The past history of a financial advisor is meaningful only in the sense of confidence that has been gained or lost as a result of the success or failure of his recommendations. Certainly I will probably give more credence to a successful advisors latest advice than that of one less capable. However, I still evaluate any advice I get with my personal evaluation of the current political and financial landscape.
If you haven’t done in the past why should you be expected to do it in the future?
Past performance is a key indicator when selecting and advisor although all advisors lose some of the time.
I have spent 30 years finding an advisor I can trust,one who has demonstrated performance,has compatable objectives,one who demonstates how to manage risks,and one who is current and understands that goverments are capable of great lies.
Past performance is extremely important to me; especially important is the consistency of the messages. As a novice investor, I find it conforting that Weiss Research is made up of individuals who are able to deliver the message in a clear, concise, and consistent manner day in and day out. Perhaps my best investment thus far has been to join Weiss Research Issues.
A good track record is important. The main criteria though is someone who can help me invest around my view of the world. For example if I think middle classes in China, India and Brazil will grow than I want advise about what investments will benefit. The advisor should understand my risk tolerance. From the preceeding example, would I be comfortable investing in Chinese corporations or US corporations like Coca-Cola or GM who do business in China and have the prospect of expanding operations there. Finally, ask the what if questions about things like inflation/deflation, small/large cap and so on to identify factors which could impact my theme by increased oppurtunity or decreased risk. An advisor who follows this approach will have a track record based in large part on his client’s views and on that basis the track record is not the main criteria.
Extremely Important.
Past performance is important because “Past” represents history and “Performance” represents results. Therefore, an analyst with a solid and long past performance is one that has performed well over a long period of time or history. Also, a long term analyst may very well have not only a grasp of economic/business fundamentals, but also technical and cyclical skills as well. This is key, because history often rhymes with itself due to the consistency of the human condition. It is this fact, which helps a very sharp analyst identify and understand particularly intermediate and long term financial cycles and determine as best as possible where we are within those cycles to be able to project how to invest ones capital.
It is a consideration and sometimes a deciding factor. Explaining or understanding why or where misses occurred leave the impression that somethng was learned and shouldn’t happen again – betterperformance.
Looking and understanding what the market is telling us, so having a broad market understanding as a posed to approaching the market with a pre-conceived notion and then looking for supporting evidence.
History can demonstrate directions and repeats. With today’s fast variables and at my age; I need more information for the short term with risk moderated. Big swings over time and you may get caught in a wrong direction. There is so much hype, I like the Weiss perspective. Brokers tend to emulate what the house wants them to push at that moment and that can change day to day. The same as the talking heads on TV. No swash buckling! Just good old sense of what really is going on behind the front.
Your history, what have you said, what are your recomendations. I keep track of what you say is coming , Just as the institue for cycles keeps track. I have always loved history, and find it easy to remember, so I compare, how else can one truely judge ACCURACY, WHAT IS YOUR HISTORY?. I also like the way you inform and teach, you say that your investors are ahead of the herd, how could we not be with your incites. you are some what of a perma bear however, alwas ferreting out the next problem, But I like that, then I know whats comming, and I can decide if its important to me, I give it some thought, and compare, where does it fit in my life, where does it fit in history, so how will it affect the country. Most of this stuff has all happened before, To Know the past, is to know the future. and be prepared. Thanks Martin
Past performance is like personal credibility as a component of ethical behavior. Without credibility and the motivation behind the message can be self-serving and not remotely worthy of consideration, particularly if the message waffles like a politician seeking the next vote. Also, the acknowledgment of one’s shortcomings [re financial advise] is a trait most financial advisors, like politicians, are loathe to daylight. Only successes appear in most promotional messages and “rags”. That stated, the message of investment advise is also important, and to those of us who have been “around the block” for many years in terms of fundamental market forces, economic cause and effect, and common sense financial management practice (as opposed to creating money out of thin air), if the message doesn’t make sense, the recommendation is discarded in favor of alternative instruments. And in this day of electronic mean and financial transaction in the wink of eye, timing has become an equally important aspect of investment approach. Yes, most financial instruments have cycles, and traders recognize this to set targets for buying and selling. The old guard approach of investing and holding went out the window about the time of the dot.com collapse in 2000-2001. Thus, credibility, message rationale, and timing are the key ingredients sought in investment advise.
Thanks for the oppportunity to provide input, and keep the fires buring.
40-yr envir engr consultant
Same importance as past experience and performance is when hiring a new employee.
Of course, past performance is no absolute perdictor of the future. Yet, consistent better than market performance I feel is a must. If one cannot produce that then what is the value of the “expert?”
Also, I feel that the “advisor” needs to be versitile. That is not locked into a single investment style like stocks. By just “beating the index” can still loose one a lot of money. As one of my favorite investment writers – Peter Schiff – notes: “There is always a bull market somewhere.” Of course getting the “where” right is the trick!
Vince
Past performance means everything.
For me it is very important and I watch results closely to determine if I will continue on with subscription renewals. The biggest turn off on most newsletters is the pure hype and fear mongering, investors just want the facts, not the bs…
Past experience is of upmost importance. I am dealing with stage 1v pancreatic cancer so I need someone I can trust for the research and interpreting the data.
Past experience is somewhat important, however, you should also look at the company’s
future growth prospects, too!
Analyst past performance…very important influence.
Advisor past performance….critical. I’d be much wealthier if I’d moved on when the signs were there that a previous advisor was doing the same ol’ same ol’ the 2nd time around. My bad. Better now!
Past performance is very important for me
Past performance as compared to what? A track record, if not cherry picked or otherwise tailored to fit a story, offers some useful information. Market characteristics vary, bull/bear, loose/tight credit, etc. which affect market strategy results.
It became much more meaningful when I saw it affect my own life. I use your newsletter to help determine which investment vehicle to choose for my state employment – very low-level stuff compared to most of your clients! When the last crash happened I didn’t loose a dime – my own retirement funds fared better than the Alaska Permanent Fund and our Public Employee Retirement system (percentage-wise), both managed by professionals. I watched coworkers loose tens of thousands, some over a hundred-thousand, in their retirement accounts. What God blesses me with I work hard to maintain, so thanks for your help!
If an analyst/advisor has been consistantly right way ahead of everyone else, then his past experience is very important to me. Mike Larson with his real estate analysis, for instance. Likewise with Larry’s seemingly outlandish predictions that come true! There’s Pretcher of course, the fly in the ointment of my contentment. He was spectacularly right once. Is he right again??
Past experience that locks an analyst into a mind set (like my conservative brokers’) that does not see and adapt to a changing world is not valuable to me. That much I do beieve.
I spent the winter trying to figure out who has been right, who IS right, and still, I hesitate. There are so many experienced smart people out there and they’re not all saying the same thing.
Past results within the last 18 months are important beyond that time it becomes less important as time goes on.
We are living in a different world than the past.
Very important. But perhaps more specifically how have they done in the kind of market that is expected going forward.
I will listen to anyone’s advice (within reason) but the amount of external checking I do with that advice is tempered by past performance. e.g. I don’t have to do much double checking on the dividend advice from Nilus Mattive.
Extremely. How else can you gauge future performance?
I think past performance for a financial advisor is very important
Past “predictive” performance and sorting out of the big picture from all the “noise” is more important to me than pure performance statistics. More important than that is the sense that the Weiss Team continually demonstrates willingness to help individual investors regardless of their exposure.
Past performance is one of the primary criteria.
Very important. Ideally I would want a firm that succeeded in all markets, which would require good predictions for quick change if needed.
I’m one of your newer investors. I don’t have a ton of money invested, like lots of the folks you do business with, but I’m excited about having an opportunity to defend the money that my wife and I have worked for over our lifetime. I’ve been a musician all my life and when you step onstage you put your reputation on the line Your performance is what counts The Weiss organization seems genuinely interested in giving me (us) an opportunity to make good decisions based on credible financial information. Performance is everything. Talk is cheap. I need help in making the few dollars we have hold their value. I’m depending on your past performance and expertise to help guide us through this financial minefield.
Very Important
It is very important. They should have enough experience to know what to do in any kind of a market. Besides understanding fundamental analysis, it is important to have an understanding of technical chart analysis too.
I feel bad for the pelecans covered with oil. But do you think this is a divirsion to keep people from counting the billions of dollars that are being lost. Could this cause a major empact on the economy.
Performance over specific time events is very importent to me.
The past in any discipline provides an important trajectory. Today we are experiencing unprecedented and rapid changes and must be prepared to alter that trajectory. However, past performance is the best information on which to place the bet!
I think it is very important. It tells you whether they were profitable in a particular market environment. But as their disclaimer states, past performance is no indication of future returns. If they have had terrible returns in the past, chances are you aren’t taking a chance on them being right in the future! You have to trust their judgement and their track record is pretty much what you have to go on.
Past results plus current results, (i.e. near term – 30 to 60 days) are the framework by which to evaluate your ‘total’ organization.
what do you think about penny stocks?
VERY IMPORTANT. WHY WOULD YOU WANT AN ADVISOR WITH A POOR RECORD?
Very important because positive past performance indicates experience and wise choices made….
both in the past and hopefully in the future too.
I read your statistics about how sophistocated your average investor/subscriber is.
Sorry to say I am not that sophistocated. I am counting on you to give good me advice.
I am hoping to ride the gold updraft for awhile and make money. I am worried about the
days drop in gold and the confusing possibilities of how things will procede. Hope you put out some good info and advice on how to play the confused gold market.
Alsi, I can say that I sometimes read some heavy writeups from some other site that are impossible for me to follow — you know a lot of terms and charts that suposidly tell what is going on and what is going to go on. Please consider me and keep your language clear to us all.
Thanks.
I am thus far enjoying by subscription.
I’m more likely to listen to an successful advisor, but how the advisor’s ideas align with and expand my view of things is more important than the advisor’s past success.
Martin & the Gang:
I can see the govt doing everything to keep things the same with the Oil Disaster. I call it an underwater “Gusher”. USA is addicted to oil and they will handle it like an addict. Poorly.
The Yuan was unpegged today. I see the govt doing their very best to keep things ’status quo’. but I think they might get only a year at the very best. then they will try to stimulate and manipulate as they lost their traction on this ’slippery slope’ thats been getting steeper and slipperier for decades. I’m afraid life for us will not be the same. My Suburban Survivalist Guide will be my ‘instruction book’ for this mess. Brian.
Martin & Gang:
Past performance is a good reference, but it is not the only guide for me. With the Oil Disaster and The unpegged Yuan, Past Performance fades into the background as a reliabe source. There are a lot of fundementals to watch and I try to watch all of them . I like it best when more than one or two advisors agree on the same thing and they all have a different and good perspective.
Brian
I have had many advisors who have not improved my portfolio. I finally found an experienced and easy to work with advisor because I usually tell him what I want to buy, then he gives me his recommendations. I don’t always agree with his advice and he understands. Good Investing! Jean Stuart
Past performance is very important and also the length of time over which the performance was measured.
Past performance is extremely important to me. I pay particular attention to the results over 5 years or preferably much longer. I never invest on recommendations from someone whose record I cannot check.
Very important, especially in considering up, down and sideways markets.
I consider past performance a very important factor but one of several factors that
seem to be in a constant state of change. I feel very good when I have a portfolio
that is steadily improving, but I will soon be dipping into futures and options trading. I feel that feeling good about what I’m doing is as important as the fact that I have learned something new and there is enough variabilty in it all that I
can hardly wait to continue.
So performance means so many different things that you have to feel it happening . It is not just money.
I am 85 years of age and would not change a thing!
Think how wonderful it would be if we all found somthing to love about everyone and everything. That’s PERFORMANCE !!!!!
It is very important.
A financial consultant’s past experience is very important to me.–Marshall Cooley
Past performance is extremely important, but one must evaluate this advice continuously in relationship to others performance. Markets worldwide are changing so fast that you need a much broader perspective and a good understanding of geopolitics, to see future trends. This is why I like your team, who between them have a great overview, sometimes with contrary views, but that is a plus. As they say the past always repeats itself with variations. Many thanks to you and your team.
Very important.
Past performance of an advisor or asset manager is important when taken in context with market conditions. Past performance represents stability, dependablity and can encourage investors to rely upon them. I do not expect a manager to be tops each and every year. Many elements are outside their control. What I do want to see is relative performance that is dependably in the top 20-30 % of simiarly invested managers.
An advisor’s track record is important. It is also important to have a good logical approach to the current market. Short term hurry ups do not help.
It is most important who I use as an analyst. I am convinced 95% of all investors are blindsided and act more like cattle. I prefer to stear my own ship with the good advise of your group. I feel most secure at this time and making some money as well. My learning curve appears quite steep.
Larry is my pro.
Knowing an advisors performance in both up/down markets and how they’ve reacted over the last two years is critical. I believe the investment landscape has changed, consistent with PIMCO’s CIO’s perspectives; therefore viewing today’s environment throught the lenses of old investment paradigms is foolish. The world markets are now very connected. EU and Asia issues therefore impact both Int’l an domestic investment options.
Huge.
Very, but only if they are a trusted advisor that I have used before and know there expertise
Without some knowledge of past performance of an adviser or analyst, I would not feel comfortable following his advice.
;Past performance is relevant and important but the most important quality is TRUST
Past results and experience are very important, although not the only ones. They indicate whether the advisor has a broad perspective and will take a seasoned approach to investing.
Not very confident with brokers.
1. Past performance has determined experience, character, devotion and ethics.
2. Future performance will determine if the finacial advisor has their finger on the pulse of the global market.
Gotta have em both.
I find that Larry Edelson’s advice is clear and can be used to actually take action in the world of finance. However, I think that allocation of one’s investable capital is more important than ever in this environment. My wife asked me why we don’t put everything in physical gold (in a supervised vault), instead of risking some on the ‘miners’ or buying GLD . Her desire for immediate liquidity is understandable especially since Larry points out many short term investments (30-90 days) that look very promising, especially since they fit so well into the long term strategy he has mapped out.
Is it possible that he could promulgate a mini-max strategy that is founded on basic outlook liquid investments (gold, oil etc) that could be increased and decreased using the proceeds to go into and out of the short term opportunities? Of course all the time balancing the allocation of the portfolio.
My problem is that I can’t buy and sell timely, and then reinvest timely. Given all the valuable investment entity advice I am getting, timing and allocation seem to be the problem. You have no idea of all the coulda-shoulda situations I have been party to. Perhaps creating 3-4 sizes of portfolios 50K – 100K – 250K etc…he could then help us put the whole thing together INCLUDING the allocation and timing.
Your response please. Thanks, Jerry
Past performance is extremely important, especially if the performance is based on both the actual buy and sell timing of the advice.
Martin:
Past performance is probably the number one thing….but it is not just measured in dollars made or % gain. I also weigh if the person is ethical and if they have a similar sense purpose, and similar theory of investing.
Financial advisors have similar human trait flaws as politicians….you can’t just look at what they say, because they both will just tell you what you want to hear to get your vote or get your account. That is why you need to look at past actions.
All things considered, I don’t think I’m perceptive enough to make the right decisions in today’s world without continually asking for God’s wisdom!!!
Have a Great Day!
John Meling
I have been an investment advisor for 35 years, and what I have determined is that if an advisor does not understand human emotion it doesn’t matter, and that advisor will always be behind the curve.
I can attest to the fact that when the martket is going through a cycle like we had from 1982 through 2001, when the DJIA grew from 1000 to 10,000+, performance seems important, because that period was a passive investment market cycle and anyone who invested seemed like a hero. So if your advisor didn’t outperform the index you wondered why you were paying him/her. If an investor just bought an index during that period they would have more than likely outperformed most advisors. As the saying goes, “don’t mistake brains for a bull market”.
But, if that same investor where to participate in the 1966 through 1981 market, when the DJIA went from 1000 to 1000, and the present market, 2001 throuh the present date, where the DJIA has gone from 10,000 to 10,000+, efficient frontier investing goes out the window.
Using history as a guide, proactive investment advisors will tend to outperform the general market if that advisor is a student of history, and aware of one very important observation, and that is the fact that humans will emotionally react similarly to similar situations. Looking bact to the 1966-81 period and comparing it to today, there are an uncanney amount of comparable events that have a major impact on the structure of an investors portfolio. Next an advisor has to understand how the investor is reacting emotionally to those events. If an advisor is investing assets as if we are still living in the 1981-2001 period then it is time to find a new advisor. Winston Churchill once said, “the further you look back the further you see forward”. History is a great teacher.
Past performance used to be a criteria, but everything has changed. No one can rest on past laurels because the market is not that market-it is more volatile, unpredictable and sometimes computer controlled – what self respecting advisor can rely on that to do what he/she has always done to get the same good past results. I now look for someone who studies history to see cycles, trends during bad times, but also looks past the norm for the anomaly that will create the “new” success investment strategy. I think Weiss, with its diversity of expertise and styles in advisors, can help us all as we wade through this swamp, drained or not!
Experience is important from the stand point that the person or entity has gone through a number of market cycles. However, in these turbulent times an advisor must make sense, be able to weed through all the piles of data and come out with sound financial advice in these volatile times.
Extremely important! I only follow the advise of those with a verifiable, outstanding track record.
Donn W. Miller
I have been waiting for an advisor that is confident enough to give me his first purchase advice (free) that will pay for my subscription. Now, that has never happened. I don’t care the price of the service just the results of the service and having the service paid for with the first reccommendation would be refreshing. It seems that every advisor has the same hype and I would like he/she to lay their cards on the table for once…..
I would like to join
The financial crises in this country is mind blowing. The depression (which I believe it is) and lack of work for Americans or those Legally here is very troublesome. Financial direction will be part of my vote. Securing our borders and illegal immigration are big issues for me as well. Probably a 50/50 split. Thank You.
I would like to find an investment service or advisor (with a history of good to excellent returns year after year) to direct me, or manage my money, on investments, i.e., what to buy, when to buy, and when to sell.
penny bishop yes’ i think very highly of her ,she is very nice, ilike her quite abit, she is avery good friend to have why ? what s’ it to ya?
cover your tracks if you think you can we’re not as dumb as you think and we won’t be duped your not expected to under stand and your ignorance will be no excuse.
yeh, it is a fine day for a show down, no need to slow down , every one knows and nobody cares, isn’t it as if it ever, was as if it isn’t and so what if it was … it is!
This is really a wonderful web site, would you be interested in making time for an interview regarding just how you produced it? If so e-mail me!