It pays to get a second opinion when investing

Even the best investors in the world get it wrong sometimes.

Legendary investor and billionaire Warren Buffett is lamenting his failure to seek a second opinion before investing in his latest annual letter to shareholders.

Telling the story of a decision to invest in the debt of Energy Future Holdings (EHF), losing his company nearly $900m (£537m), he admits he should have first sought the opinion of his long-serving collaborator Charlie Munger.

“Next time I’ll call Charlie,” said Buffett, after explaining EHF will almost certainly file for bankruptcy in 2014.

Regardless of your track record as an investor, seeking professional and independent financial advice can have a real value.

Sometimes we become too emotionally attached to particular investment ideas or lack the discipline to invest with purpose.

As well as helping investors view their portfolios from a position of what they need to achieve to secure financial goals, we apply a robust process to the art and science of investing, introducing an often important level of discipline to decisions that need to be made.

Do get in touch to find out more about our approach to wealth management and how it pays to get a second opinion when investing money.

Photo credit