Home > Aspiring RIAs > News Roundup: Best conferences for advisors, bigger breakaways, and auto enrollment on the upswing

News Roundup: Best conferences for advisors, bigger breakaways, and auto enrollment on the upswing

Practice Management

When you need to work on your practice, Michael Kitces suggests it’s important to physically leave your office and go to a conference to get a fresh perspective on your business or career. To that end, he has compiled a list of conferences in 2018 that he calls “best in class.” The list is organized by the type or career stage of an advisor: newer versus experienced, those running a practice versus starting a new one, those looking for technology versus those who need help with business development and prospecting, etc. See his recommendations in a post at his Nerd’s Eye View blog. Also, ThinkAdvisor talks with wealth psychology expert Kathleen Burns Kingsbury about how financial advisors are perpetuating “money silence” (and by extension, financial literacy) by not engaging clients in discussions about the “softer” or emotional side of money. Kingsbury is the author of “Breaking Money Silence: How to Shatter Money Taboos, Talk More Openly about Finances and Live a Richer Life.” Read the full Q&A below.

The 13 Best Conferences For Financial Advisors To Choose From In 2018

By Michael Kitces

Source: Nerd’s Eye View blog

Michael Gerber’s famous business book “The E-Myth” points out that most small business entrepreneurs struggle because they spend all of their time working in their business, and too little time working on the business itself. Any small business owner who has a unique and valuable personal skillset – from a pie-maker to a doctor to a financial advisor – is particularly prone to this challenge, as almost by definition what gets them paid is the work they do in the business. And accordingly, to the extent they take time off to go to a conference once or twice a year, they tend to go to events that help them improve their skills in the business (i.e., continuing education), particularly since most regulated professions have CE requirements anyway.


Get Clients to Break Their ‘Money Silence’ or Lose Them

By  Jane Wollman Rusoff

Source: ThinkAdvisor

Ever since the financial crisis, clients have expected advisors to understand their psychological needs about money. Alas, eight years later, most FAs still fall short of embracing this vital aspect of wealth advising. Such “money silence,” pervasive among clients and advisors alike and at all income levels, contributes to the shocking lack of financial literacy in the U.S., business bankruptcies, the high divorce rate and families failing to pass down wealth to succeeding generations. That’s what wealth psychology expert Kathleen Burns Kingsbury tells ThinkAdvisor in an interview.


Breakaways/Aspiring Advisors

A new report by Echelon Partners finds that larger numbers of advisors are breaking away from wirehouses and taking bigger books of business with them, reports WealthManagement.com. The average breakaway, year-to-date through the third quarter, transferred over $318 million in assets, up from the average of $280 million in 2016. Read the details below. Also, even if an advisor can command top dollar from a prospective firm, abrasive manners can get in the way of a deal, writes recruiter Mindy Diamond in a column at WealthManagement.com. She outlines several factors to keep in mind during negotiations, including “The Likability Index” and “Never lead with the deal.” See the link to her column below.

Bigger Advisors Breaking Away, Says Echelon

By Diana Britton

Source: WealthManagement.com

Advisors continue to leave the wirehouses in greater numbers and with larger books of business, according to a new Echelon Partners report. Year-to-date through the third quarter, the average breakaway had $318 million in assets transfer over, up 13.5 percent from 2016, when average breakaway assets under management was $280 million. Dan Seivert, CEO and founder of Echelon, said there’s an increasing number of $1 billion-plus breakaways, and as they reach retirement, they’re looking to monetize their business.


Don’t Be a Jerk

By Mindy Diamond

Source: WealthMangement.com

Many advisors assume it’s a seller’s market, where they’re in the driver’s seat and have a free pass to act without concern for how they come across to the hiring manager. They often barrel forward with the demeanor of someone who’s ready to fight for the best deal on a new car. But being unkind to recruiters is not likely to get you what you want—a positive attitude is more likely to attract positive results.


Retirement Planning

A recent survey by Alight Solutions shows that auto enrollment among defined contribution plan sponsors has climbed to 68 percent this year versus 34 percent in 2007, InvestmentNews reports. However, it’s overwhelmingly an option offered only to new employees. See the details below. Also, the contribution limit for employees who participate in 401(k), 403(b), most 457 plans, and the federal government’s Thrift Savings Plan will increase from $18,000 to $18,500 for 2018. Financial Advisor details this and other changes recently announced by the IRS in the story below.

Use of auto enrollment leaps, survey finds

By Robert Steyer

Source: InvestmentNews

Auto enrollment surged in popularity among defined contribution plan sponsors, with 68% using this plan design in 2017, according to a survey by Alight Solutions published Tuesday. “This was a surprise,” Robert Austin, the Charlotte, N.C.-based director of research for Alight Solutions, said in an interview. “We thought we were at a saturation point.”


IRS Raises Income And Contribution Limits For Retirement Savings

By Karen DeMasters

Source: Financial Advisor

The Internal Revenue Service on Thursday announced cost-of-living changes for work-related retirement savings plans for tax year 2018. The contribution limit for employees who participate in 401(k), 403(b), most 457 plans, and the federal government’s Thrift Savings Plan is increased from $18,000 to $18,500. In addition, the income ranges for determining eligibility to make deductible contributions to traditional Individual Retirement Arrangements (IRAs), to contribute to Roth IRAs and to claim the saver’s credit all increased for 2018.


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