Jason Garrison sues Vancouver based financial advisor

[SID.IS.SID.ME.IS.ME]

Kinda love that Rick Jones (RJ Financial) is still using Garrison’s client testimonial on the website:

 

https://www.rickjonesfinancial.com/services/professional-athletes/news

 

[Crabcakes]

1 hour ago, SabreFan1 said:

By a cursory read, it looks like the only decent claim that Garrison has is if he didn't give Jones' company permission to use copies of his signature.  The rest sounds like just poor investments agreed to by Garrison.

 

Hockey players really need to learn how to manage their money.  The NHLPA really needs to get these guys into seminars and classes and stress to them how important it is to take it seriously.

It's a big embarrassment for these guys to have lost a lot of money.  And if they did, most would keep quiet about it.  I'd be willing to bet that there are lots of professional athletes who do whether it's through not understanding what ventures they are getting into, not understanding the risks or by flat out being swindled.  Who was that guy who played for the Blue Jackets who's parents screwed him financially?  If this gets out in the open, the NHLPA could and should help their members to manage their finances properly.  Or even where to look for proper advice.  Who to trust and who not to trust.  It takes some wisdom and experience and is very easy to let a fortune run through your fingers.

 

 

[Crabcakes]

1 hour ago, Nuxfanabroad said:

There was an in-game profile of him(& his fam in WR). Remember his Dad(big dude)..wasn't he in accounting, they said?

 

How hard can it be, to protect as much as possible, (& try to legally minimize taxes)?

 

A lot of these pros prob feel entitled to higher performing investments(perhaps peers are boasting of such exploits?), & they get suckered into poor investments. Later they might find justice(& sympathy) are equally hard to track down. He seems like a decent bloke..but the investment world is cutthroat by nature.

My recollection was that Garrison's dad had an insurance agency.  You know, selling autoplan and home owners insurance etc.  Maybe someone could confirm.

[Crabcakes]

1 hour ago, BrockBoester said:

https://www.cnbc.com/2018/05/08/this-is-the-investing-rule-shaquille-oneal-swears-by.html

 

Quite the opposite!

Pro athletes can put away that much but most people can't save 50% unless they're living with their parents.  Having said that, the concept is totally sound and not any different from David Chilton's "The Wealthy Barber".  I gave copies to both my kids as high school grad presents.  Don't know if they read it.   I got them something more fun too.  Essentially he suggests saving 10% and never touching it.  In 30 years, work can be optional.

[Nuxfanabroad]

16 minutes ago, Crabcakes said:

My recollection was that Garrison's dad had an insurance agency.  You know, selling autoplan and home owners insurance etc.  Maybe someone could confirm.

Yes, I think you're correct. It's a bit of a vague memory, & was a while back.

[Chris12345]

1 hour ago, Crabcakes said:

Pro athletes can put away that much but most people can't save 50% unless they're living with their parents.  Having said that, the concept is totally sound and not any different from David Chilton's "The Wealthy Barber".  I gave copies to both my kids as high school grad presents.  Don't know if they read it.   I got them something more fun too.  Essentially he suggests saving 10% and never touching it.  In 30 years, work can be optional.

I love personal finance....I should have gone into it as a career....

 

I save about 25% of take home.  Could save more but I'm watching the sun set in Maui haha!

[canucklehead44]

Another rich person finding a loophole to avoid paying taxes it looks like. 

[Curmudgeon]

2 hours ago, Chris12345 said:

I love personal finance....I should have gone into it as a career....

 

I save about 25% of take home.  Could save more but I'm watching the sun set in Maui haha!

Good plan. I am watching the same sun, except in Puerto Vallarta five hours earlier. Maui sunsets are really beautiful, too.

[iinatcc]

4 hours ago, SabreFan1 said:

 

Yep.  He was the first NHL player that came to mind when I wrote about NFL players trying to be cool with their cash. 

 

Between his money phone and now dropping half a million in Vegas in 2 days, Kane has reached NFL player status of trying to be "cool" but ultimately being stupid with money.

To be fair he was pretty young at the time. Wasn't he like 22 at the time? I think most would have gone crazy getting the money he got at such a young age.

[Gurn]

3 hours ago, Crabcakes said:

Pro athletes can put away that much but most people can't save 50% unless they're living with their parents.  Having said that, the concept is totally sound and not any different from David Chilton's "The Wealthy Barber".  I gave copies to both my kids as high school grad presents.  Don't know if they read it.   I got them something more fun too.  Essentially he suggests saving 10% and never touching it.  In 30 years, work can be optional.

Chilton has written a sequel, also a very good read.

[Drive-By Body Pierce]

5 hours ago, Ray_Cathode said:

If you are not smart enough to invest your own money, you should at least be smart enough to identify a sound financial advisor. But if you are not smart enough to invest your own money, how will you identify a sound advisor?

[SabreFan1]

10 minutes ago, iinatcc said:

To be fair he was pretty young at the time. Wasn't he like 22 at the time? I think most would have gone crazy getting the money he got at such a young age.

It was the first year of his 2nd contract which would have made him 21-22.

 

He still has bricks of gambling money that he keeps in his Las Vegas penthouse.  He just stopped posing on social media with them after the blow-back that he got for that picture.

 

The YouTube video where he was interviewed by a hot blonde was funny when she pretended that she was going to walk away with his 50k brick of gambling cash.  You see the irritation flash across his face for a second before he realizes that he's being recorded still.

[khay]

9 hours ago, Crabcakes said:

Pro athletes can put away that much but most people can't save 50% unless they're living with their parents.  Having said that, the concept is totally sound and not any different from David Chilton's "The Wealthy Barber".  I gave copies to both my kids as high school grad presents.  Don't know if they read it.   I got them something more fun too.  Essentially he suggests saving 10% and never touching it.  In 30 years, work can be optional.

That's a good advice. But Saving 10% means investing that 10% in something like stock or putting it away in the bank's saving's account collecting 2-3% interest on a long term savings account?

 

[gttxc]

13 hours ago, SabreFan1 said:

By a cursory read, it looks like the only decent claim that Garrison has is if he didn't give Jones' company permission to use copies of his signature.  The rest sounds like just poor investments agreed to by Garrison.

 

Hockey players really need to learn how to manage their money.  The NHLPA really needs to get these guys into seminars and classes and stress to them how important it is to take it seriously.

Regardless of Garrisons actions, financial advisors have a feduciary responsibility to their clients.  Cases like these help create an incentive to protect the rest of us from advisors using our money to enrich themselves.

 

Im regards to Garrison, why are you assuming he has no grounds for complaint?  It’s innocent until proven guilty(the advisor), not disparage the plaintiff if you don’t like him for some reason.  Or have an assumption of his conduct because of other rich atheletes.

[Silky mitts]

[Crabcakes]

3 hours ago, khay said:

That's a good advice. But Saving 10% means investing that 10% in something like stock or putting it away in the bank's saving's account collecting 2-3% interest on a long term savings account?

 

Investing takes some learning.  In the first few years growth of your retirement fund depends more on your monthly contribution for growth than how it is invested so a person has some time.  

[Lancaster]

14 hours ago, Nuxfanabroad said:

There was an in-game profile of him(& his fam in WR). Remember his Dad(big dude)..wasn't he in accounting, they said?

 

How hard can it be, to protect as much as possible, (& try to legally minimize taxes)?

 

A lot of these pros prob feel entitled to higher performing investments(perhaps peers are boasting of such exploits?), & they get suckered into poor investments. Later they might find justice(& sympathy) are equally hard to track down. He seems like a decent bloke..but the investment world is cutthroat by nature.

Accountants tax saving strategies is different from finance tax savings strategies.  

 

One simple example would be a small business owners... accountant would be recommending the owner withdrawing profits like a dividend to avoid paying income taxes.  Business taxes stays the same.

An advisor may recommend to structure the company to which the owner is also an employee, thus get a salary.  This will force the owner to pay income tax, but be eligible for CPP contribution, RSP contribution, etc.  Income tax will also decrease the profitability of the company = less business taxes paid.

I have no idea which is "better" as it is case-by-case with tons of factors involved.  

 

 

13 hours ago, Crabcakes said:

It's a big embarrassment for these guys to have lost a lot of money.  And if they did, most would keep quiet about it.  I'd be willing to bet that there are lots of professional athletes who do whether it's through not understanding what ventures they are getting into, not understanding the risks or by flat out being swindled.  Who was that guy who played for the Blue Jackets who's parents screwed him financially?  If this gets out in the open, the NHLPA could and should help their members to manage their finances properly.  Or even where to look for proper advice.  Who to trust and who not to trust.  It takes some wisdom and experience and is very easy to let a fortune run through your fingers.

 

 

I believe it is Jack Johnson.  His parents took out high-interest loans and using their son's future income as collateral.  It's pretty much like a parent eating through their child's college savings to fund their trip to Europe or something.  

[Lancaster]

1 hour ago, gttxc said:

Regardless of Garrisons actions, financial advisors have a feduciary responsibility to their clients.  Cases like these help create an incentive to protect the rest of us from advisors using our money to enrich themselves.

 

Im regards to Garrison, why are you assuming he has no grounds for complaint?  It’s innocent until proven guilty(the advisor), not disparage the plaintiff if you don’t like him for some reason.  Or have an assumption of his conduct because of other rich atheletes.

Unfortunately, advisors don't have "fiduciary duty" as a requirement unlike medical specialists and lawyers.  

Some designations may require it (CFA, CFP, etc), but anyone can technically be a financial advisor as there is almost no barrier of entry to that career.  

[JM_]

28 minutes ago, Lancaster said:

Unfortunately, advisors don't have "fiduciary duty" as a requirement unlike medical specialists and lawyers.  

Some designations may require it (CFA, CFP, etc), but anyone can technically be a financial advisor as there is almost no barrier of entry to that career.  

yup you need to be very careful who you hand over your bank account to. 

[Xbox]

1 hour ago, Silky mitts said:

You hit that ball right out of the park.