Enjoy the current installment of "weekend reading for financial planners" - this week's issue starts off with some breaking news about new legislation from Representative Maxine Waters that would authorize the SEC to collect user fees to increase oversight of RIAs (although it's not clear the legislation will gain momentum, it's viewed by many as a favorable alternative to FINRA oversight of RIAs). There's also a call from the Consumer Financial Protection Bureau for a fresh crackdown on "senior designations" and a good in-depth look at the potential fiduciary rule coming out of the Department of Labor in the next few months.
From there, we look at a few articles on notable industry trends, including a review of recent Aite Group research suggesting that there may be more unhappy advisors in RIAs than working in wirehouses, a look at how CFP certificants are geographically distributed around the country, and a review of InStream Solutions financial planning software and its numerous innovations in how advisors can use its software to enhance their outcomes with clients.
In addition, there are a couple of research and technical articles this week, including a good summary of this week's Reinhart and Rogoff research controversy and exactly what the purported flaws were in the original study, a discussion of whether dividend investing is really just a value tilt in disguise (and that dividends might actually be a detractor from performance after adjusting for value!), and a look at a recent research brief from the Center for Retirement Research which finds that "nudges" like automatic enrollment programs may actually be a more effective government policy to encourage retirement savings than just providing a subsidy in the form of tax deductions.
We wrap up with two practice management articles - one with a list of good tips for using LinkedIn, and the other about how to introduce new technology tools to your clients - and close out with an article suggesting that advisors may be talking to clients with more jargon than they realize (and what to do about it), and another looking at financial planning trends in the future and suggesting that while expert knowledge is important, the best financial planners will be differentiated by their ability to use "left-brain" abilities to connect with clients emotionally to really leverage their right-brain knowledge. Enjoy the reading!Continue reading "Weekend Reading for ... »