Ignore this type of broker bashing

We receive a number of newsletters from a variety of financial service websites. Many of these newsletters are informative and offer sensible and well researched advice. Occasionally though, the content of such newsletters is deliberately skewed to pro

Under the headline "Swop your policy for a property" this newsletter published an article by one of its members, a Mr J Van Vuuren. The article is titled 'The Tools of the Fraudsters' and goes on to list various reasons why Van Vuuren feels retirement annuities, endowments and savings plans are unnecessary.

Unsubstantiated attack on the broker community

What follows is the unsubstantiated rambling of a very disgruntled retirement industry customer. Van Vuuren proceeds to bash every aspect of the retirement and life insurance industries.

His accusations border on hate speech and are extremely defamatory. He accuses financial advisers and brokers of being dishonest, greedy, unfriendly and professional fraudsters. 

Treoc is a subscription based service offering advice on methods to maximise investments in property. The company Chairman claims to be an expert in "Nothing Down" property investments and boasts tax-free returns of up to 60% per annum. The company's website says that the group "provides services in investment education, risk management, financing, legal services, accounting, property management etc."

There is no mention of a physical or postal address on the company's website. However, a quick check with the Registrar of Companies reveals no fewer than 26 close corporations with the word 'Treoc' in their name.

Denying any wrongdoing

Treoc introduces this questionable article by distancing itself from the contents. They have this to say about the writer: "His views regarding some issues are not the opinion of the Treoc Group, but it is still very interesting and disturbing."

They then include this unashamed sales pitch. "Everyone should read this and thereafter you should think long and hard about your own retirement planning. I think after this you will agree that property according to the 'Treoc way' is the best solution for retirement provision and to avoid the problems Van Vuuren is writing about."
 
So the company does not support the writer's views? They do, however, believe that these views prove that they offer the best solution for your retirement provision!

Common sense must prevail

Consumers are flooded with information and advice on which investment to choose. They have to decide for themselves whether or not the information they receive is credible. In this case we doubt the decision will be too difficult.

Editor's thoughts:
A professional investment service should certainly not publish such correspondence in a newsletter, let alone place it prominently on the home page of their website. The conflict of interest is obvious. A company operating a subscription only property investment service is blatantly touting the view that all traditional methods of retirement savings are a waste of time.

Apart from the obvious conflict of interest, I find the decision of Treoc to publish this correspondence as extremely questionable.

FAnews Online would love to hear from anyone who has had any dealings with the Treoc Group. Send your comments to gareth@fanews.co.za