Benefit from the present installment of “Weekend Studying For Monetary Planners” – this week’s version kicks off with the information {that a} latest research by Cerulli has proven a pointy improve within the variety of prosperous traders keen to pay for recommendation, which on the one hand displays the growing monetary complexity in peoples’ lives (whereas they’ve additionally gotten busier than ever at work and at house) to the extent that they are extra keen to work with somebody to navigate these monetary challenges; whereas additionally highlighting the progress advisors have made in offering extra worth past ‘simply’ portfolio administration – and in display that worth to the general public.
Additionally in trade information this week:
- As brokerage corporations have confronted a wave of lawsuits concerning the low rates of interest paid on money sweep accounts, some authorized specialists imagine that RIAs may be focused for authorized motion if they permit shoppers’ uninvested money to sit down in a money sweep account quite than investing it or shifting it to a higher-yielding money account
- In a latest SEC panel dialogue, the CFP Board pushed again in opposition to claims by the broker-dealer and insurance coverage industries {that a} uniform fiduciary obligation would impose a heavy value burden on commission-based advisors (and subsequently prohibit entry to monetary merchandise and recommendation for lower- and middle-income shoppers) with knowledge displaying that CFP certificants, who’re held to a fiduciary normal, truly earn extra revenue on common whereas nonetheless serving lower-income shoppers
From there, we’ve got a number of articles on investing within the wake of the Federal Reserve’s latest determination to chop rates of interest:
- How the Fed’s charge cuts will translate into decrease rates of interest on money merchandise like financial savings accounts, CDs, and cash market funds (that means money could not be a ‘free’ supply of 5%+ returns)
- How markets have traditionally tended to fare surprisingly effectively following charge cuts, offering some consolation for long-term traders even within the midst of short-term financial uncertainty
- Why there’s little that traders can do at present to reap the benefits of the latest charge lower (because it was already largely priced into markets) – however it might not in the end matter a lot to traders with an extended time horizon, for whom a charge cycle is only a blip within the long-term image
We even have quite a lot of articles on Mergers & Acquisitions:
- Why corporations in search of to pursue progress inorganically through M&A might be extra profitable if they’ll first determine the best way to obtain sustainable natural progress
- What enterprise homeowners (together with RIA homeowners themselves, in addition to enterprise homeowners whom advisors serve) can think about when planning a enterprise exit technique, and why it is best to begin planning a number of years earlier than the date of the anticipated sale
- How the headline “a number of” of an M&A deal could be deceptive, since it might include caveats like unrealistic performance-based incentives that make the true economics of the deal much less enticing for the vendor
We wrap up with 3 remaining articles, all about advisor gown and workplace decor:
- Why the once-ubiquitous necktie has fallen out of style, even amid formal apparel (though in the long run it is not a lot about what’s in style as about what the advisor can put on to really feel their finest in entrance of shoppers)
- How advisors use their workplace décor to venture their distinctive attributes and spark conversations with shoppers, from private mementos to an out of doors pure setting
- Why though advisors could really feel most ‘genuine’ in informal apparel, they could nonetheless discover it simpler to land shoppers (significantly if they’ve much less expertise or skilled accomplishment) in the event that they gown equally to what shoppers could anticipate an advisor to put on
Benefit from the ‘gentle’ studying!
