Westminster Consulting Brochure Endowment & Foundation | Page 18

EXAMPLE: BUYING A CAR
It might be useful to think of a car salesman as following the suitability standard. Imagine you

walk onto a used car lot and talk to the salesman on duty to show you a few cars; the salesman
will show cars, but they get to choose how to sell them. Do they show you a selection of
sporty cars with high markups? Imagine that this particular salesman is the head of the Model
Ts and they are compensated based on the number of Model Ts sold, but not Saturns; might
they try and steer you towards a particular brand or model? Is there an unreliable Edsel that
the car dealership is trying to get rid of, such that they are willing to give you a bargain?
The car salesman will show you cars that go from point A to point B; he may show you
suitable options. However, he has a vested interest in higher commissions, or perha