Even famous quarterbacks speak financial jargon

Joe Montana, the legendary San Francisco 49ers quarterback, is now in a commercial for BNY Mellon Wealth Management speaking financial jargon. Why? He's making the point that if investors need to become their own investment expert, they'd be better off seeking the help of a financial advisor.

 

Unfortunately, many financial experts also speak financial jargon. So it's possible investors may not understand their financial advisor or mutual fund manager's use of technical language or acronyms.

One client story I recall about the use of jargon is a firm that said CFROI, pronounced as see-froy, in every other sentence.  They'd use it on CNBC, to clients and prospects or anyone who would listen.

You know, CFROI or cash flow return on investment which is a valuation model that assumes the stock market sets prices based on cash flow, not on corporate performance and earnings.

Oh yes, of course.