Enjoy the current installment of “Weekend Reading For Financial Planners” – this week’s edition kicks off with the news that SIFMA, which represents broker-dealers, investment banks, and asset managers, released a white paper that argues that CFP Board “increasingly functions as a de facto private regulator for CFP certificants” and proposes that CFP Board eliminate rules and standards that duplicate, conflict with, and/or impose in addition to existing SEC and/or FINRA rules and standards. At the same time, CFP Board has noted that advisors pursue the certification voluntarily and that its standards, which cover the entire financial planning process (unlike SEC and FINRA regulations that largely focus on investment management), help to raise standards for the industry as a whole at a time when advisors increasingly offer comprehensive planning services.
Also in industry news this week:
- A recent study suggests that while a majority of financial advisory clients surveyed have only had 1 advisor, deteriorating client service is a key risk factor that could sway certain clients to leave for a different advisor
- RIA M&A activity in 2024 is poised to surpass the total number of deals seen in 2023, according to one analysis, as lower interest rates and continued interest from private equity-backed firms could as tailwinds for dealmaking
From there, we have several articles on retirement planning:
- How advisors can support clients who want to retire early, including quantitative analyses that can show whether it’s possible and initiating qualitative conversations about how they plan to thrive amidst this major life change
- While followers of the Financial Independence Retire Early (FIRE) movement are often portrayed as penny-pinchers looking to ditch their careers as soon as possible, in reality there are several ‘flavors’ of FIRE that could be appealing for a wider range of clients
- 12 tax planning principles for early retirees, from balancing the 0% long-term capital gains with partial Roth conversions, to being aware of how different income levels can affect various subsidies and tax credits
We also have a number of articles on practice management:
- How bringing on new clients can offer a variety of benefits for an advisory firm, even if it isn’t looking to grow significantly
- 5 growth strategies for independent RIAs, from building strategic partnerships with centers of influence and hiring a diverse team with a wide range of strengths
- A 7-step process for building an efficient, thriving advisory practice, which starts with the firm owner crafting a vision for what they want their client base and personal lifestyle to look like
We wrap up with 3 final articles, all about persuasion:
- Why being comfortable with silence can help an advisor build better relationships with prospects and clients
- Research-backed tactics for being more persuasive, from eliminating filler words to asking more follow-up questions
- How financial advisors can persuade prospects to become clients by leveraging “influence” techniques
Enjoy the ‘light’ reading!
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