Three Things I Wish I Knew as a Young Financial Advisor
I set out to be a financial advisor in my early 30s and getting started wasn’t pretty. Here’s my advice to my younger self about how to use youth as a marketing strength rather than as a detractor from your credibility.
What Trends Will Shape 'Fintech' in 2018?
2017 was the year when financial technology, or “fintech,” made industry headlines. After such a year of change, what might 2018 bring? I highlight six trends I expect to see this year.
Tocqueville Gold Strategy Fourth Quarter 2017
John Hathaway, manager of the Tocqueville Gold Fund (TGLDX) writes in his Q4 investor letter that “cryptocurrencies attempt to mimic one of the key attributes of gold: a liquid real asset with no counterparty risk. We view cryptocurrencies as contributors, and possibly as accelerants, to the long-term undermining of all paper currencies. We see them as allies of gold and threats to fiat currency, not as an existential threat to the metal, as they have been so frequently portrayed.”
Eight Lessons Learned from a Digital Advisory Rollout
There are eight lessons that other firms can learn from my experience as they look to bring digital advisory solutions into their businesses.
Weekly Market Summary
The big event this week is the FOMC meeting on Wednesday, during which a decision to raise the Fed Fund Rate is expected. This would be just the 4th rate increase this economic cycle. Each of the previous events was followed by a pullback in SPX and also a multi-week period where the index did not hold any gains.
Robo Advice Data for Q3 2017 Now Available for Advisors
The Robo Report™ has opened accounts across the most prominent robo advisors and tracks performance across the portfolios. The portfolios are created by presenting the same investor type to robo advisors, seeking a moderate portfolio of 60% equities and 40% fixed income in the taxable accounts and the most aggressive portfolio available in the IRA accounts.
Vanguard's Lesson on Great Client Communication
Advisors can learn from Vanguard, whose advice platform is adding $5 billion in assets a month, in part by making videoconferencing a core part of how it communicates with clients.
You’re Not a Life Coach (So Don’t Try To Be One)
Recently, I’ve noted a new trend. Some advisors are extending their services to being “life coaches” to their clients. Advisors who embrace this concept need to be acutely aware of their limitations.
Navigating U.S. Wealth Management: Five Key Themes for Financial Advisors and Individual Investors
Unprecedented changes are reshaping the financial advice industry and affecting portfolio construction for individual investors. New regulation, technological innovation, capital market trends and the prospect of lower future returns are all exerting profound effects.
Why Successful Advisors are Exiting the Business
When I talk to advisors whose businesses are growing, I am struck by the extent to which they’ve changed and adapted the way they work. It’s not just that the things that made you successful in the past won’t lead to success in future. More alarming for many advisors, continuing to do the things that you’ve done to this point is a guaranteed prescription for failure.
The Philosophy of Goal-based Investment Planning
Most of us view our investment portfolio as numbers on a screen. However, investments represent money that we set aside for some future purpose or goal. Are we investing with that goal in mind?
Passive Carnage Is Illogical
In Passive Carnage Is Illogical, we discuss what is driving the passive rotation, as well as how strategies and products have evolved to suit investors’ changing needs.. We also consider the importance of three disruptors in asset management that are having a remarkable influence, including: Separately Managed Accounts (SMAs), Robo-advisors (Robos), and Exchange Traded Funds (ETFs).
Could Driverless Cars Benefit Your Portfolio down the Road?
Science fiction is real. In October of last year, a self-driving semi in Colorado carried over 2,000 cases of beer from Fort Collins to a distribution center in Colorado Springs — a journey of over 130 miles. While there was a professional driver on board, he monitored the trip from the sleeping berth for most of the journey and never took the controls.
Robo Advice Data Now Available for Advisors
Robo advice is the newest disruptor in the financial industry and many advisors are not sure how to interpret this new investment advice solution. Some are writing it off as a solution for lower asset customers, some are concerned about the competitive threat, while others are embracing the technology for use in their own business.
The Value Proposition that Negates the Robo Threat
What is it worth to have a financial services coordinator who understands your clients’ needs and the language spoken by the specialized service providers they use? Today’s robo-advisors cannot provide the depth or breadth of coordination clients need. But you can, at least for your best clients. This should be a core of your value proposition.