Fiduciary Links: Have you considered an advisory council?
Posted by Ben Aikin on May 13, 2013
>>>>Advisory councils are not something new to the financial services industry, but an article in InvestmentNews this week highlights why advisors may want to consider creating one. If you’re willing and able to commit the time and thick-skinned enough to actively solicit constructive criticism, it can certainly pay dividends. Council members are typically current clients who are encouraged to provide feedback about what they like and, perhaps more importantly, don’t like about you, your organization, and the services you provide. There are many questions that relate to starting and maintaining an advisory council such as 1) size, 2) make-up, 3) frequency of meetings, and 4) feedback methods, so it behooves those interested to speak with someone that has already gone down this path, or hire a coach to help you through the process. In fact, two fi360 employees were recently asked to join an advisory council for an investment advisor in the Pittsburgh area. In this case, the council includes current clients, peers, and personal acquaintances.
On a semi-related topic, RIABiz published a column of five questions advisors need to be prepared to answer from prospective client, mostly geared to defining what type of person you are as an advisor.
It is interesting that these two pieces offer takes on connecting with clients on a personal level, which just might help you gain some insights into what part of your processes are or are not resonating.
Now on to the rest of the best links from last week:
News and columns from the leading trade, consumer, and mainstream media:
- How Wall Street defanged Dodd-Frank, and battalions of regulatory lawyers burrowed deep into the federal bureaucracy to foil reform by Gary Rivlin. [The Nation]
- Listen to Rivlin, speaking on his above article, here. [NPR]
- Brokers, advisers are facing an uphill battle in finding new recruits, as attrition and retirement shrink advisors ranks over the next several years. [InvestmentNews]
- No fiduciary rule is better than a bad one, NAPFA official says, as the industry reacts to the SEC's information-seeking request. [InvestmentNews]
- Talk to your intern, and start to use expert (but cheap) advice on effective social networking. [InvestmentNews]
- Some advisors find great success from leaving wirehouses to go independent. [InvestmentNews]
- According to a N.Y. life study, financial security is percieved to be a necessity to be a good person. [AdvisorOne]
- According to Larry Fink, our longevity is killing us, and he is calling on U.S. policy changes to address the problem. [AdvisorOne]
From the organizations/associations/government/academia:
- FINRA and the SEC issue an investor alert on pension or settlement income streams. [FINRA]
- National Crime Prevention Council and FINRA Foundation partner to reduce investment fraud among consumers nationally. [FINRA]
- Bruce Karpati, Chief Enforcement Division Asset Management Unit, to leave SEC after 12 years. [SEC]
- SEC announces panelists for credit ratings roundtable. [SEC]
- Orphaned 401(k) accounts are opportunity for advisors willing to work on these fragmented accounts. [NAPANet]
From the blogs:
- On the dangers of micromanaging your asset allocation [Abnormal Returns]
- Stuff every 401(k) Plan Sponsor must keep [JDSUPPRA Law News]
- Trending topics for ERISA plan sponsors. [FiduciaryNews]
- Watch the PBS Frontline documentary, dealing witht he challenges in America's retirement plan system, featuring Jack Bogle and other experts. [TheBogleBlog]
- Five questions advisors must prepare to answer to remain relevant [RIABiz]
- RIAs recount how they use LinkedIn and Twitter to reap new clients, and slip ahead of shackled wirehouse advisors. [RIABiz]
- A panel of experts will speak on "Valuation and ERISA Fiduciary Liability: Traps for the Unwary Appraiser," including AIF Dr. Susan Mangiero, a speaker at the 2013 conference. Read more here. [PensionRiskMatters]
Articles your clients are reading (or should be):
- Stock market highs and your retirement [ChicagoFinancialPlanner]
- Four great ways to learn about retirement [USNews]
- The case against divends for retirees [USNews]
- Low rates will limit investors' options [USNews]
Have a link we missed? Leave them in the comments section or email us at blog@fi360.com. For more of the best links during the week, make sure you follow us on Twitter.
