LPL Financial is planning to introduce a range of new services aimed at providing a more personal client experience, including household wealth management and support for multi-custodial practices, according to chief executive officer Dan Arnold.
“This has always been a relationship business. But over the next decade, this is going to increasingly become more of an experience-driven business," Arnold said Wednesday at LPL’s Focus 2021 conference.
"Simply put, perhaps 90% of value will come from the problems you help clients solve and most importantly, how you make them feel. So we will be even more intentional about creating a differentiated and compelling experience for you and your clients,” he added.
Household wealth management, also known as householding, involves managing the assets with a view toward the needs of an entire family, rather than just a single person, and LPL plans to introduce the capability for advisors to do that in the coming months, Arnold said.
“Your clients expect an experience that transcends accounts, and [householding] allows you to manage your clients as the families they are,” chief investment officer Burt White said in conversation with Arnold.
“The first clients get access this quarter," White said, without elaborating on the kind of support that advisors and their clients will be getting.
LPL is also introducing support for multi-custodial practices for advisors that have assets both at LPL and elsewhere, according to Arnold. Advisors’ personalization of their practices is like finding the perfect drink at Starbucks, and the goal is to let advisors construct their perfect practice, he said.
Advisors have also been asking for a unified platform for LPL’s digital solutions, according to advisor services division president Edward Fandrey, and that’s coming, he said, without providing specifics.
Also coming down the pike is Practice Hub, a digital tool designed to “provide advisors with tailored insights and guidance all in one UI [user interface],” said Fandrey, adding that more details will be revealed later this week.
He also touted the successful introduction of the firm’s Meeting Manager tool earlier this year. Meeting Manager is a centralized platform for advisors to gather documents across multiple systems to help them prepare for upcoming meetings.
So far, advisors have reported the tool has reduced planning sessions from eight hours to one, Fandrey said.
This was the second time that LPL has held its annual Focus conference virtually. Around 13,000 are registered to attend the conference, which runs until Friday.
Do you have a news tip you’d like to share with FA-IQ? Email us at firstname.lastname@example.org.