Kass: How'd That Financial Adviser Work Out?

Think about Delvin's words of wisdom.

Once in the dear dead days beyond recall, an out-of-town visitor was being shown the wonders of the New York financial district. When the party arrived at the Battery, one of his guides indicated some handsome ships riding at anchor. "Look, those are the bankers' and brokers' yachts."

"Where are all the customers' yachts?" asked the naïve visitor.

-- Fred Schwed, Where are the Customers' Yachts? Or, A Good Hard Look at Wall Street

As the year comes to a close, it is time to examine the job done by your financial consultants, stock brokers and money managers. For example:

• How closely did your adviser communicate with you during the market's meltdown?
• Was too much risk being taken in your portfolio? Was the level of risk taken appropriate for your goals?
• Were you complicit (read: greedy) in taking too much risk?
• How did your advisers respond to the market's downturn?
• Were defensive moves employed as the economic and credit conditions deteriorated?
• Was your adviser unresponsive to changing market conditions, acting instead like the proverbial deer in the headlights? Was he disciplined in taking losses, or did he let your losses run?
• Did your adviser treat your money like his? Did he have skin in the game?
• Did the commissions and fees paid to your adviser produce value to you in 2008?

In other words: Fool me once, shame on you; fool me twice, shame on me.

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Doug Kass writes daily for RealMoney Silver, a premium bundle service from TheStreet.com. For a free trial to RealMoney Silver and exclusive access to Mr. Kass' daily trading diary, please click here.