Mr. 22%

So, the other day when I went to write my second exam for the CSC I was sitting in my usual spot at the back of the room.  It was about 15 minutes until exam time and the room was mostly filled up with people, getting ready to write the exam.  Two individuals to the left of me where talking and I wasn’t paying much attention until one of the guys mentioned how he had failed the CFA.  Now, that is not a bad thing, as the CFA is a tough tough exam and only 35% passed this last year.  Unfortunately, my curiosity spiked so I started to listen into their talk about finance.  I wasn’t studying at this point, as is always the case 1 hour before the exam.  I like to let my brain rest and be sharp for game time. Anyways, as they got talking about finance and so on I recalled all of the other individuals and friends who I have personally talked shop with.

When talking about finance, its hard to avoid the topic of money.  So it’s inevitable that things like salaries come up in a discussion at some point. However, more and more I am running into these types of people in the field.  The type who tends to over-embellish their successes, or over-exaggerate their stories.  It’s ok for the first bit, you let them have there fun.  Eventually though, it becomes slightly annoying.  It’s one of my biggest pet peeves; claiming to have done something that you haven’t.  You take away the credit from people who have worked hard to get what you are claiming to have, when legitimately, you don’t have it.

You may be asking yourself, “how do you know what he says is the truth and isn’t the truth?” Well that requires the rest of the story.  So he’s talking to his buddy, going off about how in 5 years he will be making $150,000.  That’s the dream buddy, but unfortunately, not everyone will be making that much.  In fact median salaries for finance for the first 10 years are between $50 – $70.  Some people never break that mark, which is not a bad thing, its just a statistic.  I think the appeal of finance is the profit potential, but that potential lies in the experience, skill and knowledge of that individual as well as the opportunities he/she engages in.  So many factors determine success in finance, and in any field….not a designation or the fact you think your “power suite” will send you to the top of the corporate food chain.  Anyways, I sat there quietly looking down and preparing myself for the test as he went on about how he’s going to make all this money but he doesn’t want the stress.  I thought to myself, so you want all this money and success and power, but your telling me your going to demand that you don’t have to work for it? Stress is a natural part of any high paying job.  Do the math, its simple economics.  If a company is paying you a lot more then its average workforce, its because you are more important.  People getting paid that kind of salary will typically have more responsibility, and thus higher stress. Realistic expectations seems lost on so many people entering this field.

So the conversation went on and to different directions.  They got talking about their current jobs, and Mr. 22% started to say how he made 22% quarterly return on a bond fund for his clients.  At this point, I stopped being annoyed and felt slightly amused.  Not only was he lying to his “buddy” again, but he wasn’t even smart enough to know how to lie right.  I’ll tell you why. In order to trade bonds/stocks with a company you have to be registered with the province.  To be registered, you have to have completed the prerequisite courses for mutual funds (CSC) and bonds/stocks (CPH).  So here we are sitting in the CSC exam, and he is going on about his clients and how he made them money.  That makes me think either (a) he is trading illegally without his employers noticing (b) his employer is allowing him to trade illegally or (c) he is completely full of it.  I went with C, because employers tend to be strict about the whole licensing thing.  If they didn’t, and they got caught….there corporate licence to do business may be suspended or revoked.

The moral of this story wasn’t really about the guy who couldn’t tell the truth to save his life.  It was more about Mr. 22%, the guy everyone knows, the pathological liar.  The reputation of the finance industry since the bubble burst has dropped to all time lows, all because of people like Mr. 22%.  Unethical free-loaders who expect everything but are willing to give nothing.  It’s unfortunate that individuals like myself and others who have to deal with members of the public who group you into this lump sum category.  It is these people who give hard working individuals in this industry a really tough time.  This may seem harsh, and maybe it is.  But it’s something that is truly a pandemic as of late.  To say that I only knew a couple Mr. 22%’s would be an understatement. Of course, I didn’t say anything to either of them as it is not my place, nor is it my business to be eavesdropping in the first place. It does make me wonder what will happen to them in 10 years time.  Will they be multi-millionaire’s anyways?  Will my own opinions cause me to be lumped in with Mr. 22% for good reasoning? Everyone is entitled to their opinion, and freedom of speech allows you to say anything you want, free will is a wonderful thing. I just felt the need to tell this story as a representation of the Mr. 22% in all our lives.

- Steve