Enjoy the current installment of “Weekend Reading For Financial Planners” – this week’s edition kicks off with the news that a recent study by LPL Financial identified several factors common to high-growth firms on its platform, including pursuing clients where a long-term relationship is likely (with these firms having less than 35% of their clients in the decumulation phase), establishing deep planning relationships to promote client retention, zeroing in on client acquisition tools (e.g., leveraging centers of influence and digital marketing), and understanding the different client segments they serve (introducing the option of either offering different service models for these groups or instead focusing on the segment that proves most profitable and best matches the firm’s strengths).
Also in industry news this week:
A study analyzing the responses of several generative artificial intelligence tools to a series of questions on estate planning found that they varied significantly in the quality of their answers (suggesting that advisors might consult multiple tools or use other resources to verify their responses)
CFP Board released its public policy priorities, including a call for a fiduciary standard for all providers of financial advice
From there, we have several articles on retirement and investment planning:
A recent study finds that financial advisors frequently nudge retired clients into more equity-heavy asset allocations than they might otherwise choose (though this is often to these clients’ benefit given that advisors frequently have a more accurate understanding of the risk and reward tradeoffs involved)
While the expectation of further interest rate cuts from the Federal Reserve has led to hopes of a rally in bonds, several risks could make cash instruments more attractive for clients with short-term liquidity needs
An ‘outside the box’ approach to building a retirement income portfolio that favors TIPS, broad equity market indices, and ‘purchasing’ delayed Social Security benefits over more ‘traditional’ assets such as immediate annuities and dividend-paying stocks
We also have a number of articles on advisor marketing:
Six marketing “dos” to help advisors move from the marketing strategy stage to actually executing tactics that will attract ideal-fit clients
How an “annual reset” can help advisory firms zero in on its most effective marketing tactics and more effectively follow a marketing cadence that brings in new clients
How advisory firms can leverage their websites to demonstrate their unique capabilities and personalities to stand out from the crowd
We wrap up with three final articles, all about putting money in perspective:
How financial advisors can help clients overcome the ‘hedonic treadmill’ and/or the desire for ever greater wealth to achieve their personal sense of financial freedom
How the “Eisenhower Matrix” can help advisors and their clients prioritize the tasks that will truly move the needle (and not just those that seem urgent in the moment)
Why the returns to pursuing ‘more’, whether in terms of wealth or notoriety, tend to diminish over time, suggesting benefits from pursuing new areas of achievement
Enjoy the ‘light’ reading!
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