Our exhaustive library of resources and guidelines designed to help professionals maintain a sterling reputation founded on trust, ethics, and best practices.
As the new Fiduciary Rule has moved through the enactment process, state and federal regulators have also taken steps to raise awareness of senior exploitation, while also making it easier for financial advisors to place a temporary hold on money disbursements if they suspect client incapacity (FINRA proposed Rule 2165.)
How do you execute client communications when when the entire world is awash in information? This has been a problem for several decades, ever since mass media emerged in the Fifties and Sixties, corporate advertising took off in the Seventies and Eighties, and the mother of all communication technologies—the Internet—took wing in the Nineties. Because of the last trend, the problem has shifted from battling information overload to slaying the information overlord.
According to the Department of Labor’s new Fiduciary Rule, all retirement-oriented advisors must comply with its “impartial conduct standards” by April 10, 2017. Are you making progress toward meeting this requirement? Are you still trying to make sense of the new rule? Are you paralyzed by fear and confusion? In any case, the time is now to make your final moves toward compliance. Here are five steps to make now, according to Matt Matrisian, senior vice president of Strategic Initiatives at AssetMark.
Public seminars have been a linchpin of financial-services marketing for more than 25 years. When properly designed and executed, they are strong lead-generation tools. However, all too often, financial advisors have used them to mislead prospects into buying products that ran counter to their personal needs and risk profile. As a result, seminars have become the target of regulatory scrutiny, at both the state and federal levels, and many advisors abandoned them because they didn’t want the regulatory headaches.
Welcome to to the brave new world of client service (AKA, customer experience), where every interaction with a prospect or client holds great potential for either unalloyed success or tarnished failure.
Financial advisors often adopt an “it won’t happen to me” posture when it comes to getting caught violating state (or federal) regulations. However, a new report from the North American Securities Administrators Association (NASAA) highlights the fallacy behind that thinking.
Selling ethically and within the compliance boundaries of your license pay huge dividends in terms of winning new clients and building a loyal customer base. Over the last few columns, we termed this approach “no-worry selling.” But what happens after someone becomes a client? Does the “no-worries” sales approach end?
As robo-advisors have taken hold in the market, an increasing number of investment advisors are wrapping third-party automated portfolio management services into their own client offerings. But this can arouse regulatory scrutiny, as happened recently in Massachusetts.
Legally shrink the size of your assets, so that the prize is not worth the cost of pursuit. Think of it as reducing the size of the target on your back without giving up your income, assets, and lifestyle.
Ah, the close. One could fill an entire warehouse with books and articles about the closing stage of the sales process. Salespeople love to ponder the best way to reach agreement with prospects because, well, that’s what determines their incomes. And consumer advocates fixate on the close because they view it as the point at which fraudsters prey on vulnerable prospects, especially on seniors.