You know the type, went to Princeton or CalTech, got a PhD in atomic physics, but prefers to work part time in a bicycle shop instead, with a simple and inexpensive lifestyle yet would never tell you they had an advanced degree. Minimal, calm, more or less content, relative to the scale of all the things that can become a man or woman–rancorous if not expensive divorced with kids, stuck holding the bag on back taxes, due to the malfeasance of a former if not long departed business partner, ill health, or depression. Relationships, finance, health, and soul.
I used to manage 40M at Morgan, inches shy of becoming a Senior VP and, at this point, probably bought and sold 200 or even 300M in stock or equivalents since my ignomious end in 2000. Lessons learned. Compliance. Integrity of agreements. Impeccable disclosure, etc.
So years latter, when folks approach me, about helping them with their money, you could imagine how many hundreds of things go through my mind, when occurs.
Recently, in addition to the 200k I have been managing in the last year or two, for A & S on a fee basis, a gent I have worked for in the last three years approached me recently, about helping him with his portfolio. East street. Yet what is not so easy:
I am not a stranger to this situation. In fact, not only do I know ALL his situations, but have worked in his home, for YEARS, on all his administration. In addition to organizing his stuff, I have seen ALL his accounts, if not authorized administrator on several accounts. And when not signed, surely get to see it all…… Yet over years, not once, not once did I ever offer and opinion about his stocks. I asked once, a year or two OK, ‘How do you decide what to sell?’ That is all.
Its like being a serious free climber, and asking a new climber, ‘I see you can get up there. But how do you plan to get down?’ Very gentle and understated. Not ‘Dude! You wanna die?? WFT are you doing?? Nuts!’
Recently I was asked–by him–to look after his 250k. But not only do I not have TPA, ‘third party trading authorization’, but his brother is an attorney. A big one. Like 10M+ type wealth. He was lead on the Enron litigation. Writes letters to SEC, on observed issues. Lord. Yet K and I get along well, and have well earned trust.
It all changed Monday. He said, ‘Sounds good to me’, as to my being a lot more involved. Finally. Three year rapprochement. Now, the small matter of directing activity, as executed by the Client directly, without HIS Schwab broker having a heart attack, by feeling threatened. Lets see what happens.