Enjoy the current installment of “Weekend Reading For Financial Planners” – this week’s edition kicks off with the news that a recent study by Cerulli Associates finds that while financial planning clients (particularly high-net-worth clients) are overwhelmingly satisfied with their advisors, many advisors face client acquisition challenges despite investors being increasingly willing to pay for advice services. The study identifies a potential cause as confusion among some prospects about how their advisor would be compensated, suggesting that increased transparency from advisors (and linking their fees to the value they provide) could help remove this barrier to seeking an advice engagement.
Also in industry news this week:
- A majority of married women are their family’s primary financial decision-makers, according to a CFP Board study, which also identifies the sometimes-differing planning priorities of female and male clients
- A report from AdvisorTech firm Orion finds that while a majority of advisory firms plan to increase their tech spending in the coming year (by an average of 19%), many advisors aren’t taking advantage of the full suite of software and features available to them
From there, we have several articles on financial advisor value:
- A new study finds that clients working with an advisor would see a 2.39%–2.78% annual return premium (based on investment and tax planning services) over those without an advisor, after accounting for inflation and fees
- How offering client ‘touchpoints’ during the year can help an advisor demonstrate the work they put in for clients between regularly scheduled meetings
- Nine ways advisors add value to clients when it comes to portfolio management, from leveraging tax-efficient investment strategies to freeing up the client’s time and mental bandwidth
We also have a number of articles on college planning:
- How legislation from the past few years has made saving for college in 529 plans increasingly attractive
- How advisors can help clients with children in college understand and correctly apply Forms 1098-T and 1099-Q
- A review of non-traditional pathways to an undergraduate degree, which can offer money and time savings for interested students and their families
We wrap up with three final articles, all about company culture:
- The importance of leadership access, transparency, and camaraderie when it comes to building a strong company culture
- How firms can establish team rituals that are both durable and promote employee engagement
- A step-by-step process to bring a (virtual) team together for an in-person retreat
Enjoy the ‘light’ reading!
