The conversation ...

Advisor: Let me be your financial advisor and help you grow your portfolio
Client: Well, umm, OK, how does this benefit me exactly.
A: You let me put you in 30 stocks and I will manage it for you and you will be diversified
C: But, I can't really learn about 30 different companies, why not just 5 or 6
A: You got to have at least 25, otherwise you are not diversified.  And don't worry, I will keep track of things for you.
C: But Warren Buffet and others who make good returns don't own but about 10 stocks; they say pick a few good companies and concentrate your position
A: Well, you aren't really comparing yourself to Buffet are you
C: No, I just ...
A: OK, so it is settled, let me manage things for you.  And it isn't much.  Just 2% per year
C: That isn't bad, 2% of what you make me.  OK
A: Sorry, the 2% is on your total portfolio balance
C: But what if you don't make me money this year
A: Sorry, I can't be held responsible for the market

(Continued)