Home > Aspiring RIAs > News Roundup: Comparing ‘robo’ platforms for RIAs, strategic firm vetting, and not waiting on Social Security

News Roundup: Comparing ‘robo’ platforms for RIAs, strategic firm vetting, and not waiting on Social Security

Practice Management

In recent years, the number of digital advice (robo) platforms available to RIAs has grown and their features have expanded. How do you decide which one best matches your needs? In a post at Nerd’s Eye View blog, consultant Craig Iskowitz describes and compares the offerings of five leading vendors: AdvisorEngine, Oranj, RobustWealth, Jemstep and Riskalyze. See his full evaluation below. Also, more than 1,000 registered investment advisors have signed on with TD Ameritrade Institutional’s Model Market Center, a collection of third-party model portfolios available on its iRebal platform, reports WealthManagement.com. The center so far has eight different model providers and 62 model choices, the publication states. Read the full story below.

Comparing The Best Digital Advice “Robo-Advisor” Platforms For RIAs

By Craig Iskowitz, Ezra Group

Source: Nerd’s Eye View blog

If there is one trend that is a constant in the wealth management industry, it’s the rising expectations that advisors have from their technology. This is driven by both the relentless advances in consumer online experiences (raising the demands of client expectations), and also by wealth management software vendors themselves, who seem to be adding new features at an increasing rate and moving into tangential areas to try and differentiate themselves from the competition.


TDAI’s Model Market Center Goes Live

By Diana Britton

Source: WealthManagement.com

TD Ameritrade Institutional has gone live with its new Model Market Center, a suite of model portfolios available on its iRebal platform, initially announced at last year’s LINC conference. Over 1,000 registered investment advisors who use iRebal have signed on to the marketplace since its soft launch in late October. The Model Market Center, which is free to registered advice advisors, currently has eight different model providers and 62 models to choose from.



Aspiring Advisors/Recruitment

As an advisor, it’s nice to be wanted by other firms; however, if you don’t know what you want from them, you may make the wrong decision — or not make a decision at all. Recruiter Mindy Diamond, in a column at WealthManagement.com, outlines 11 questions that will help you define your goals, expectations and frustrations so you’ll know what issues to address in your firm-vetting process. See a link to her column below.

Choose Your Destination Before Charting the Course

By Mindy Diamond

Source: WealthManagement.com

In a world where ensuring asset growth and gaining scale is important to every firm, you are on the radar of every recruiter and manager in your market. Of course you should accept the invitations from them. It’s flattering to be wanted, and it’s certainly important to get an understanding of what the competition is doing. The only problem with this approach is that it isn’t strategic. After a series of random meetings, most advisors report back that they’re more confused than ever and less certain of whether any of the options would actually push the needle enough to warrant the disruption that a move might create.


Retirement Planning

Financial advisors need to evaluate factors such as a client’s state of residence and current sources of income in retirement before suggesting that a client delay claiming Social Security benefits until age 70, cautions advisor Helen Modly in a column at Morningstar. “For clients who live in states that don’t tax Social Security, it may make sense to claim Social Security benefits as early as age 62, assuming the client is not still working,” she writes. She provides more information and examples in her column below. Also, a report from J.P. Morgan Asset Management notes that “investors should expect historically low returns over the next decade,” according to ThinkAdvisor. In light of this, the company recommends that advisors working with defined contribution plans take these three steps to improve returns: Encourage more savings, make portfolio diversification easier, and employ active management. Read the full story below.

Rethink Your Advice About When to Claim Social Security

By Helen Modly, CFP, CPWA, and Barbara Ristow, CFP

Source: Morningstar

The recommendation to delay claiming Social Security benefits until age 70 for a more secure retirement is common, especially if clients are in good health and longevity runs in their families. Obtaining the largest possible spousal benefit, which increases by 8% each year from full retirement age to age 70, is another reason to postpone filing. After all, 8% guaranteed just can’t be beat.


3 Ways to Improve Retirement Plan Returns

By Bernice Napach

Source: ThinkAdvisor

Despite strong gains in retirement assets last year, investors should expect historically low returns over the next decade, according to J.P. Morgan Asset Management. In a new report, “2018 Long-Term Capital Market Assumptions,” the $1.6 trillion asset manager explains that the long-term return of a traditional 60/40 stock/bond portfolio, which is “a reasonable proxy for the average asset allocation over a typical participant’s life span,” has declined to 5.25% annually from 5.50% last year.