July 8, 2014Do You Explain Investment Terms Like Beta and Valuation to Clients?
Advisors eat and breathe financial concepts most people comprehend vaguely, if at all. Should you explain them in layman’s language?
Always. My clients should understand every move I make with their money, on a granular level.26% Usually. Most are eager to learn about how I do what I do.44% Rarely. Few clients care about the mechanics of the capital asset pricing model.24% Never. Nitty-gritty portfolio management isn’t how I want them to think about financial planning.
July 1, 2014How Casual Is Too Casual for Summer Office Wear?
It’s hot. It’s sticky. Should advisors consult their own comfort or play it safe?
Coatless and tieless for men, and chic sandals for women, are OK.40% We’re fine with polo shirts and khakis for men, and sleeveless for women.3% When it’s 100 degrees out, anything goes: shorts, flip-flops, whatever.31% Weather is no excuse to wear anything but business attire in front of clients.
June 24, 2014Does Your Firm Keep Summer Hours?
Many businesses give employees time off or flextime to enjoy the long, warm days. Does yours?
We knock off early on Fridays from June to Labor Day.47% Nothing formal, but we’re flexible when employees want a little beach time.28% Are you kidding? My team needs every hour of the week to do our job right.
June 17, 2014What Do You Find Most Stressful About Being an FA?
You’re in a job with long hours, lots of responsibility and no control over markets. Specifically, what aspects of being a financial advisor set you most on edge?
Responsibility for other people’s financial well-being27% Time management and juggling different tasks49% Retaining and attracting clients
June 10, 2014Do You Use Tactical Programs in Client Portfolios?
Since the financial crisis, some investors have lost faith in buy and hold. Are you a fan of tactical asset allocation?
Yes. It gives me an active way to manage risk.26% Sometimes. Not all clients are comfortable with the approach.4% No. Tactical investing is just another name for market timing.
June 3, 2014Why Do Some Advisors Keep Their Books So Small?
Average assets under management for a financial advisor in 2013 were about $90 million, according to research firm PriceMetrix. What’s the story with FAs who manage half, or even less than half, that amount?
They want to stay small for lifestyle reasons, or to deliver superior client service.49% It’s not deliberate. If they could be bigger, they would be.5% AUM are beside the point when you consider emerging business models.
May 20, 2014Does Your Practice Focus on a Niche?
Carving out a niche is often portrayed as a best practice for financial advisors. Have you done so yet?
Yes, and it helps me stand out in a crowded and competitive market.29% I’m getting there, but it takes time.29% No, the market I serve is too small to support a real niche.
May 13, 2014Why Do Young People Fire Their Parents’ Advisors?
A majority of heirs take their assets out the door and hire a new wealth manager. What drives them away?
The advisor didn’t build a relationship with the heir.18% The heir sees the advisor as an authority figure rather than a trusted partner.9% I don’t know — when my wealthy clients pass away, their kids stay with me.
May 6, 2014Do Female Advisors Make a Team More Effective?
Many firms strive for gender diversity, on the theory that clients get better service from a mixed team. Do they?
Yes. Women’s natural empathy helps them build long-lasting client relationships.57% Yes. Women see the world differently from men, so their perspective makes the team sharper.22% Not necessarily. A good advisor is a good advisor, regardless of gender.
April 29, 2014What Do You Look for in an External PR Firm?
Many independent advisors outsource at least some of their marketing function. What should a good professional publicity outfit provide?
A retainer that covers comprehensive services with no surprise fees33% Expertise in financial services, especially the advice industry50% A broad network of centers of influence that might help build my practice17% Flexible staffing so my firm can work with a team, not just with an individual