Scamming Seniors Is a Growing Problem. Wall Street Wants Washington to Stop It

Of course, the biggest scam affecting seniors (and most investors) is the Wall Street business model that is based on taking 2% per year in "fees, commissions, and trading costs" from the average customer. That costs you about half of your wealth over a 50-60 year investing lifetime (i.e., 25-30 years saving for retirement, and "God-willing", 25-30 years spending the money in retirement.) Relatively few investors find their way to an almost "skim-free" S&P 500 index fund where their wealth would remain intact.

https://www.barrons.com/advisor/articles/elder-abuse-senate-bill-investing-d269a00b?st=ox6he2k5e8alodo&reflink=desktopwebshare_permalink

Case in point is that article in the WSJ a few weeks ago where a reporter asked a couple of Finance Professors to calculate how much BRK would be worth today if Warren Buffett operated it with hedge fund fees since he took it over in 1965 rather than the low-fee investment entity it is.

Answer: Buffett would $300 Billion richer, his investors $300 Billion poorer having lost 90% of their wealth to the "2% of assets, plus 20% of profits" hedge fund fee structure.

https://www.wsj.com/finance/investing/theres-more-to-warren-buffetts-game-than-just-picking-great-stocks-7b58fe86?mod=djintinvestor_t

Over 40 years ago, I used to watch the popular PBS show "Wall Street Week with Louis Ruykeser". Vanguard Chairman John C. Bogle would appear about once a year on the show to offer the same timeless advice, "Broad diversification with low-fee index funds and 'stay the course' ". See video at link:

https://youtu.be/HN5Ir8Nq-Vk

Today Vanguard has "changed the course" and is emphasizing the Personal Advisor Service with the 0.30% of assets annual fee. Fidelity is now the low-cost leader in index fund fees.

Buffett and Bogle are really about the only participants in the Financial Services industry who are really looking out for their investors.