How I Saved a Client $100K by Slowing Down - The Power of a True Fiduciary

Years ago, a friend once told me something that, at the time, I didn’t want to hear: “Mateo, you rush things or push so hard that it either happens when it’s better off not happening, or something breaks.”?

I remember quietly taking offense. To me, full speed was the only speed. If I wasn’t pushing things across the starting line or forcing them over the finish line, I wasn’t doing enough. But looking back now, it’s clear that when I forced things to happen, the outcomes often didn’t match my expectations. Either it fell apart or just wasn’t what I envisioned. And trust me, I wasn’t thrilled with the results.?

Why am I telling you this now? Because it’s more relevant than ever.?

A client, who’s also a good friend, called me a few weeks ago with some exciting news. He was planning a big move to South America and wanted my take on his financial situation and how best to approach this new chapter. Without getting too deep into the details (because many of my clients and friends read these blogs), I want to share an important lesson.?

He was excited—no, overly excited—and had already fallen in love with a couple of properties. Emotions were high. To add fuel to the fire, real estate agents in that country were pushing him hard. He was making mistakes, and he didn’t even realize it.?

For one, he hadn’t engaged a local real estate attorney who could do the due diligence: checking property ownership, ensuring a clear title, uncovering liens, and handling dozens of other critical tasks that could prevent a deal from turning into a nightmare. He was on the verge of wiring a significant amount of money—$100,000—without even putting it into escrow.?

Luckily, he had to speak to me first because the funds were coming from investment accounts I manage. If that money had come from a bank account I wasn’t overseeing, the transfer might have been irreversible by the time he called me. A big red flag came up when the real estate team on the other side pushed for the wire and the closing in an unusually short timeframe.?

An experienced realtor with international expertise, someone with his best interests in mind, would’ve insisted that the funds go into escrow. They would’ve recommended reaching out to an independent, experienced real estate attorney. They would’ve suggested a thorough inspection and review of the building and condo documents with legal oversight. But none of this was happening.?

When he called me that morning to help with the wire transfer, I asked a few questions that made him pause. Important questions. Questions you don’t want to find yourself scrambling to answer when you’re about to send a large sum of money overseas. I recommended he hold off and wait for me to get back to him.?

My team and I immediately started researching, and I outlined 10 essential steps to safeguard him in this transaction. I also provided him with contacts for 10 reliable local real estate attorneys.?

A few hours later, he called to thank me for having his back, for looking out for his best interests, and for being on the same side of the table as him when dealing with salespeople. He chose to hold off on the purchase and take the time to get everything lined up properly.?

This story illustrates the true value of a fiduciary advisor. It goes far beyond picking an investment allocation or analyzing a real estate deal. It’s about being someone who is your friend, your advisor, and your trusted sounding board. It’s about having someone who looks out for your best interests, even when you’re too caught up in the moment to see the red flags yourself.?

Now, ask yourself this: Can you say the same about the person or team—or the random customer service rep—who answers the phone at your financial firm??

For 98% of you reading this, the answer is probably no.?

If you need help or have questions, I’m here. Here’s my calendar for your peace of mind.?

https://calendly.com/bfawealth/new-strategy-call?month=2024-11

Disclaimer: This article is for informational purposes only and does not constitute financial, legal, or investment advice. Always consult with a professional before making significant financial decisions.?

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