What Comes After CFP Certification? Finding Your Niche Or Specialization With Post-CFP Designations

By Michael Kitces
Source: Nerd’s Eye View blog

 

As the ranks of CFP certificants are on the rise, the CFP certification is increasingly transitioning from a “nice to have” designation to the minimum standard for financial planners. Yet as the popularity and adoption of CFP certification grows, simply having one is no longer the differentiator that it once was. Instead, advisors are increasingly faced with pressure to move beyond “just” the CFP marks, and explore “post-CFP” education to truly demonstrate expertise and differentiate.

 

Read the rest of the story…

 

 

Why The Business Danger Of Aging Financial Planning Clients May Be Overstated

By Michael Kitces
Source: Nerd’s Eye View blog

 

In recent years, an increasing number of practice management consultants have begun to “sound the alarm” on the dangers of having an aging, retiree-centric client base in a financial planning firm. As the logic goes, retired clients are depleting their portfolios with ongoing withdrawals, and more and more will pass away as the years go by, so a planning firm with aging clients is akin to a rapidly depreciating asset.

 

Read the rest of the story…

 

 

Advisers Confront Shrinking Fortunes

By Trevor Hunnicutt
Source: InvestmentNews

 

About a decade ago, as financial adviser Kimberly Foss’ clients reached their 80s and 90s, many of them died. In dealing with the families, no matter how hard she tried, Ms. Foss was unable to hold on to enough of those clients’ assets. She decided she was going to have to reach out to much younger investors if her advisory practice was going to survive.

 

Read the rest of the story…

 

 

Investing For Gen Y: 5 Rules To Remember

By Martha White
Source: Financial Planning

 

Savvy financial planners are always interested in catching the next generation of investors to replace older clients, but serving today’s young adults presents a special challenge. Many members of Generation Y entered adulthood at the time of the worst recession since the Great Depression. Many of these young adults also graduated from college with an unprecedented amount of student debt and have faced a punishing job market.

 

Read the rest of the story…

 

 

Psychic Income

By Deena Katz
Source: Financial Advisor magazine

 

I was speaking with an advisor friend the other day. “You know, I’d sell my practice,” he said, “but truthfully, I’m getting so much psychic income from it that I just can’t see that right now.” He’s 68. No successor in sight. A nice practice, too. Psychic income cannot be included in real or monetary value, but there is real value in emotional satisfaction.

 

Read the rest of the story…

 

 

RIAs Biggest Buyers Of Firms In 2013

2013 The ‘Year Of The Tuck-In’ As RIAs Acquire Smaller Firms

 

By Danielle Andrus
Source: ThinkAdvisor

 

RIAs overtook strategic acquiring firms as the leading buyer of advisory firms in 2013, according to data released last week by Schwab Advisor Services. Mergers and acquisitions are up overall, too, although the amount of assets under management acquired in those deals dropped. There were 54 completed deals in 2013, according to Schwab, representing nearly $44 billion in assets under management. RIAs accounted for 44% of all deal activity.

 

Read the rest of the story…

 

 

Robo Report: Traditional Advisers May Be Biggest Market For Online Investment Services

By Trevor Hunnicutt
Source: InvestmentNews

 

Younger investors could spend billions of dollars for financial advice online, according to a new report, but the biggest consumers of these services may be traditional firms looking to expand.

 

Read the rest of the story…

 

 

Best Practices In Client Communication For Financial Advisors

By Michael Kitces
Source: Nerd’s Eye View

 

Communicating with clients effectively has become increasingly challenging in today’s world, not because it’s difficult to find a way to communicate with clients but because there’s often uncertainty about how much communication is appropriate, and by what means/channels. Are in-person meetings best, or are phone calls preferable? Is email better than a phone call? Where do one-to-many communications like newsletters and social media fit in?

 

Read the rest of the story…

 

 

Five Technology Trends That Are Reshaping The Industry

By Bob Veres
Source: Advisor Perspectives

 

Hold up your hand if you’ve read that technology is dramatically changing the way advisors practice. Now keep that hand up if you’re doing things very differently today with your software than you were five years ago. Hmmmm. I don’t see very many hands still up in the air.

 

Read the rest of the story…

 

 

Is Your Advisor Compensation Model Incentivizing Or Hindering Your Growth?

By Vamsi Yadlapati
Source: ThinkAdvisor

 

Two years ago, I remember meeting a founder of an RIA firm in the Midwest who we’ll call Mark. Mark had struggled with growth over his career and it was apparent why: he lacked a solid group of talent surrounding him. As a result, Mark worked very hard over the next couple of years to recruit a group of younger advisors who had a demonstrated track record of success. When I recently met with Mark again, I was initially surprised to find out that his firm’s asset levels were barely above what they were in our original meeting!

 

Read the rest of the story…