Who should I invest with--HSBC or Edward Jones?
February 8, 2013 6:44 PM Subscribe
I have a sum of money that I'd like to invest. I currently bank with HSBC, and a friend of a friend works for Edward Jones. I have talked to both HSBC and the Edward Jones guy, and the spiels I got were fairly similar--they suggested 80/20 stocks/bonds, generally mutual funds and that sort of thing. Both advisors intimated 10% average returns over 5-10 years, and both are looking at about a 2.5% initial fee and then a little over 1% yearly.
Basically, what I'm looking here is to park my money and watch it grow. What I want is a totally hands-off approach. I don't want individual stocks or commodities, I don't want to do this myself, I don't want to be constantly asked what I want my money put into. I just want to put my money into a fairly diverse portfolio and have it get bigger without giving me the chance to mess around with it and screw it up.
The HSBC advisor seems pretty professional, and he sounds like he's in his 40s or so. He's got plenty of experience in banking, but he has worked for a TON of companies in the last 20 years--at least 8-10 different ones. The Edward Jones advisor is young--late 20s or early 30s, used to work for Baird, and has been with Edward Jones for three years now. He seems like he knows what he's doing. He's also local, whereas HSBC is a big corporation. I like the idea of my money being local, but it's not really going to matter in this case--I will probably be keeping an eye on things every month or two, but it's not like I'm going to be calling him up every day to re-arrange things.
I know that with HSBC I'll just be another number, and definitely one of their smaller clients, whereas with the Edward Jones guy I'll probably be one of his bigger clients. I have never had issues with getting a person at HSBC vs getting a phone tree, and I'm not worried about needing to talk to someone at 3 AM or something. I personally prefer to shop locally at small businesses and whatnot, but if I'm investing my money I want whoever's going to do a better job.
Just to forestall the inevitable, I know there's risk in any investment, I know I could buy ETFs and whatnot and do this on my own, I know you're not a lawyer or an accountant.
Based on this, who would you recommend I go with?