More on Related Themes
2013-05-22 Cyprus and the Eurozone...Still Stuck in the Middle by Gregory Hahn of Winthrop Capital Management
The debt crisis in the Eurozone turned another chapter as Cyprus finally reached the point of requiring a bailout from the European Union. The wisdom of Gerry Rafferty’s hit song “Stuck in the Middle with You” which was written in 1973, rings true today as we watch the EU and the European Central Bank navigate the mess in Europe. With each attempt at containment, there appears some plot twist, the proposed Cyprus bank bailout is no exception. While the bailout of Cyprus and its banks is not large in size, only 10 billion, relative to the Cyprus economy, it is significant.
2013-05-22 Asia Brief: China's Car Fleet The Largest in the World? by Edmund Harriss, James Weir of Guinness Atkinson Asset Management
Car sales in China have grown rapidly since 2009 and it is on course to outstrip the US in terms of the size of its car fleet by the end of this decade. This presents a major challenge to the Chinese government, which must balance its people’s happiness and political stability with economic development in an environment which has already been compromised. The momentum of demand for new passenger vehicles is likely to make air quality worse and Beijing has introduced emissions and efficiency standards to address the problem.
2013-05-22 Malaysia's Post-Election Investment Outlook by Scott Klimo of Saturna Capital
Earlier this year we identified ASEAN as the most attractive region within the emerging markets universe. That prediction has proved accurate. Market indices (USD returns) year-to-date through April in the Philippines, Thailand, and Indonesia are 23%, 22%, and 16%, respectively. Singapore (which we do not consider an emerging market) gained 6%, while Malaysia rose only 3.9%. So what’s the outlook for Malaysia?
2013-05-21 Social Media Best Practices: Slow and Steady Wins the Race by Wendy Cook (Article)
If a website is the center of your marketing universe, social media is the gravitational force pulling your audience into the world you’ve created for them. But social media is easily a full-time endeavor of its own. LinkedIn, Twitter, Facebook, Pinterest, Google+ … Where do you begin? Equally important, where should you leave off?
2013-05-13 Uncomfortable With the Debate of Our Times by Michael Kayes of Willingdon Wealth Management
A relatively weak first quarter earnings season is winding down, while major stock market indices are reaching all-time highs. This doesn’t quite add up, does it? Overall, corporate profits advanced at an anemic 2.5% in the first quarter, well below the long-term average of 7%. Worse over, revenues were actually flat in the first quarter, below expectations in most cases. On top of that, most companies that have reported earnings have also lowered estimates for the remainder of the year.
2013-05-07 Breakaway Brokers: What the Data Really Say by Bob Veres (Article)
For the past 15 years, and especially since 2008, few assumptions have been accepted as widely or confidently in the financial services world as the idea that brokers are leaving the wirehouse environment in increasing numbers – and taking their clients with them. Underlying that assumption is another: that the trend is accelerating, and will continue to do so until the brokerage industry’s retail footprint has been severely diminished. The more extreme projections see the entire brokerage asset gatherer/sales model following Lehman, E. F. Hutton and Bear Stearns into extinction.
2013-04-23 Dividend Growth and Stock Returns by Peter Nielsen of Saturna Capital
The compounding impacts of dividends have historically been significant in terms of market returns for long-term investors. The importance of these cash flows to investor returns can be seen across countries and industries.
2013-04-17 Present and Emerging Risks to the Gold Trade by Amit Bhartia, Matt Seto of GMO
The notion of gold as a hedge against systemic risks is flawed. We believe that the concept of gold’s role as an insurance policy needs to be narrowed significantly.
2013-04-12 Everyone Wants More Financial Stability, But at What Cost? by Carl Tannenbaum of Northern Trust
For all the good intentions, there is no guarantee that the rush to re-regulate will be successful. The next crisis may look nothing like the one just past, and the political will to take tough preventative steps during good times cannot be taken for granted.
2013-04-10 Looking for Warm Milk and a Blanket by Blaine Rollins of 361 Capital
Conspiracy theory economists would say that the Government fudged the data weaker so that it could help sell $60-70 billion in U.S. debt this week. Whatever the outcome, last week we had a perfect storm of high expectations for the data + very below average March weather + the payroll tax hike impact + the upcoming sequester worry. Economic data will move violently from month to month, but unfortunately last week, it was mostly in the WEAKER THAN EXPECTED direction and investors did not hesitate to bring pain on risk assets.
2013-04-10 Making It Possible for Investors to Be Secure in Their Later Years by Michael Golub of The Golub Group
Stock investing should be viewed as old-age insurance. Stocks are serious business because, for most of us, how we handle them will determine how we will be able to live in our later years. The challenge of living comfortably for the rest of our lives has become more of a challenge as the Prudential Life Insurance Company has recently pointed out that the first human to live to 150 years old is alive today. The Wall Street Journal reported in its March 19, 2013 issue, that many workers are saving too little to retire.
2013-04-09 Tips for Building a Compelling Web Site by Wendy Cook (Article)
Is your current website still living in the “online brochure” days or even non-existent? Don’t dwell on what’s been holding you up. Let’s move your site – and you along with it – into the 21st century.
2013-04-02 The Most Important Practice Management Challenge by Bob Veres (Article)
The future of the advisory business is all about people, according to Philip Palaveev. No matter what happens with consolidation and pricing, he says, no matter what role technology plays, the most successful firms of the future will be those which excel at retaining, motivating and organizing their people.
2013-03-27 Call Him Ishmael by Jeffrey Bronchick of Cove Street Capital
One of the hardest things to conquer as a value investor is the concept of "price." The industry remains mired in fascination with abstract prices like 100, 1,000, 14,000, previous highs, new lows, etc. The stock is up x% from x dollar price; it is down x% from x price. There is also much in print and general fretting in regard to "price action," with lots of attention paid to where the stock has "been" and how this move relates to other "moves," as in "the largest move since last December 12th."
2013-03-26 When Employees Get Too Friendly with Clients by Beverly Flaxington (Article)
One of my employees has become overly friendly with one of our larger clients. This concerns me because I know when people are friendly they can share too much information, or if the relationship turns sour we might lose the client – or the employee. I value this employee but if I let her go, the client could pull their $5 million account. What advice do you have?
2013-03-25 Energy: Perilous Present, Promising Future by Milton Ezrati of Lord Abbett
For oil and gas, an era of abundant supplies and lower prices awaits. But investors will have to weather a tricky geopolitical situation before it arrives.
2013-03-13 Argentina on Sale by John Mauldin of Millennium Wave Advisors
(From Cafayate, Argentina) There are some who worry whether the path that Argentina has taken to monetary ruin on multiple occasions (and that it seems intent on taking again) is one that the US may also find itself on. That worry has crossed my mind a few times, I must confess. Today we will look at Argentina more in depth. From a monetary perspective, it deserves attention. And once again there will be opportunity.
2013-03-07 Guanxi, Mianzi, and Business: The Impact of Culture on Corporate Governance in China by David Smith of Aberdeen Asset Management
There are two key cultural and sociological issues of particular importance when evaluating Chinese companies: guanxi (relationships and networks) and mianzi (face). When analyzing the potential of a Chinese company, it's important to understand how guanzi and mianzi affect transactions, board composition and deliberations, and shareholder engagement, among other issues.
2013-03-05 You’re The Cream of the Crop: Key Findings from the 2012 Advisor Perspectives Reader Survey by Jeff Briskin (Article)
Experienced. Results oriented. Focused on serving the needs of individuals and families. Confident in your abilities. Eager to expand your knowledge. If this sounds like you, you're not alone. These are the traits that stand out among Advisor Perspectives readers, based on the findings of our 2012 Reader Survey.
2013-03-05 Increasing Center-of-Influence Referrals by Beverly Flaxington (Article)
I'm frustrated by the lack of success my advisors are having with centers-of-influence (COIs). I know all of the supposed tips but nothing works in practice. I was led to believe that if we follow the right process we will get referrals from them. It doesn't work this way. Do you have any ideas for increasing COI referrals?
2013-02-22 Emerging Markets Outlook: Will Emerging Markets Continue Their Run in 2013? by Scott Klimo of Saturna Capital
A number of times we have been asked whether emerging markets will continue their run in 2013. Our response typically begins with the following clarification: "Emerging markets" may be a handy way to refer to the countries that constitute a generally recognized asset class, but this group is far from monolithic. Widely differing levels of development, economic drivers, opportunities to invest, and returns exist under the emerging markets umbrella. For this reason it's not entirely correct to imply that "emerging markets" had a run in 2012.
2013-01-31 Q4 2012 Letter by Team of Grey Owl Capital Management
During the second half of 2012, central banks turned their massive and coordinated monetary intervention "up to eleven." This is the overwhelmingly dominant economic and market force today. Despite the long-term consequences (which are very real), we believe the central bankers commitment is steadfast. It has and will likely continue to mute both real economic and financial market volatility (at the expense of long-term growth). A deeper analysis of what has changed, our assessment of the impact, and our portfolio response follows.
2013-01-28 A Few Things to Consider. Plus a Look at Maine and Illinois by Gregg L. Bienstock of Lumesis
This week's commentary is a slight departure from our standard format. It's been a few weeks since we mentioned the fiscal cliff, sequestration and the like. This is due to our collective saturation and the perspective of so many that the problem was solved. Well, we want to provide a reminder or two and throw a few thoughts at you to kick around. We conclude with a quick look at Maine and Illinois.
2013-01-22 Pensions, Housing and The Inauguration by Gregg Bienstock of Lumesis
This week we look to 2011 pension data for States and Cities and zero in on funded ratios, unfunded liabilities and some of the assumptions of the underlying plans. We also touch on recent housing data that gives us some hope and offer some thoughts following inauguration day. We conclude with a reminder to take a look at the MMA/Lumesis FAQ addressing Municipal Holdings and OCC/FDIC Compliance.
2013-01-22 Keep Your Eye On The Ball - 2012 Year End Letter by Team of Sloan Wealth Management
The members of the Portfolio Management Team at Sloan Wealth Management (SWM) coach two baseball teams, two soccer teams, one T-ball team and one basketball team for our collective young children. Thus, we find ourselves stressing the basics. Learning the fundamentals of how to catch a pop-up will eliminate some of the fear of getting hit in the face. In 2012, we found many parallels to the capital markets as our portfolios posted high double digit returns in the face of fear.
2013-01-18 Quarterly Review and Outlook by Van Hoisington, Lacy Hunt of Hoisington Investment Management
The American Taxpayer Relief Act has lifted the immediate uncertainty of the fiscal cliff. Nevertheless, tax increases that are already in effect from this act, as well as the Affordable Care Act, impose a major obstacle to growth for the U.S. economy in the first half of 2013. The result of these taxes is considerable, especially in light of the poor trend in household income. In addition, these tax increases will continue to act as a drag on economic growth until late in 2015 and are unlikely to produce the revenue gains advertised.
2013-01-17 End of An Era: 30 Years of Double-Digit Chinese Growth by Bryce Fegley of Saturna Capital
Slumping exports, lackluster domestic consumption, and slowing urban migration contribute to lower growth expectations for China. With Chinese manufacturing capacity now saturated relative to global demand, and developed economies facing the consequences of over-indebtedness, external tailwinds to China's growth have passed.
2013-01-15 Dealing with an Unreasonable Compliance Department by Beverly Flaxington (Article)
I am in a very successful practice within a B/D. The firm brought in 'new guns' to oversee our compliance. I got along fine with our old team. Now everything we do is scrutinized and most of the time we are told 'no.' How should I deal with an unreasonable compliance officer?
2013-01-08 Should Bonuses be Tied to Performance? by Beverly Flaxington (Article)
We do performance reviews for our staff every year. I do not believe performance should be directly linked to bonuses – they are different topics. But my COO says that we should divvy up the profit pool based on everyone's performance. Who is right?
2012-12-26 The Ten Key Benefits of Investment Committees by Bob Veres (Article)
In this first part of a two-part report, I'll identify ten core purposes that investment committees serve in different types of firms, ranking them in order of the number of responses I received. If your investment committee is serving all ten purposes, based on the survey, you're among a select minority - which means that many advisors may find new ways to use this versatile new tool in their RIA practices.
2012-12-24 Data Observations, A Free Spin with Ambr & Holiday Wishes by Gregg Bienstock of Lumesis
This week's commentary will provide some observations and insight on data recently released and try and stoke your thinking as the folks in DC play with us.We will conclude with our annual holiday wish and a reminder regarding Ambr.
2012-12-17 The Market's Next Appointment: Health Care by Milton Ezrati of Lord Abbett
Even if a "fiscal cliff" resolution is achieved, investors will receive another dose of uncertainty courtesy of the Affordable Care Act.
2012-11-13 The Downside to Socially Responsible Investing by Robert Huebscher (Article)
Who wouldn't want a cleaner environment or a more just society? We can all agree these are worthy goals. But it's an established fact that pursuing them through one's investing is costly; environmental-, social- and governance-based investing (ESG) does fine on a gross basis, but loses money net of fees. Now, a recently published paper argues that that ESG is basically a waste of time.
2012-11-13 Quarterly Letter by Team of Grey Owl Capital Management
The multiple hurricanes of fiscal deficits and monetary malfeasance are headed our way. Unfortunately, financial market models that seek to assess the magnitude, direction, and timing of economic tempests are far less precise than those of our scientific brethren. So, we prepare for the worst, but we dont immediately evacuate. There are still plenty of opportunities for solid investment returns and we will describe two new investments in the pages that follow. Yet, the risks are real, as we have discussed frequently in these letters, so our overall portfolio structure remains conservative.
2012-11-06 The Prize for the Fiduciary Standard: Global Market Leadership by Stephen Winks (Article)
Tough times in the brokerage business are about to get tougher. A difficult investment environment and damage to its reputation are threatening the industry, and now it faces regulatory challenges under Dodd-Frank as it evolves from its current sales-driven culture to a professional services culture focused on advice and the fiduciary standard. Bold leadership will be necessary to navigate this challenge; without it, the brokerage industry and their clients will suffer.
2012-11-06 Overcoming Meeting Mania by Beverly Flaxington (Article)
My company is going to win the award for “Meeting Mania.” When clients want to meet, I can’t accommodate them because of all the meetings we are required to attend: update meetings, investment meetings, focus groups, team breakouts, etc. It’s crazy, and I am not productive in this environment. How can I stop the insanity of these meetings?
2012-10-30 Finding Hidden Revenue with Existing Clients by Dan Richards (Article)
Investor skepticism and an uncertain economy are challenging advisors to maintain revenue growth and practice profitability. That's why I was intrigued by an advisor who's used a simple strategy to achieve substantial growth in assets from existing clients, even though she already managed most of their money.
2012-10-25 October 2012 Newsletter by Harold Evensky of Evensky & Katz Wealth Management
Oh the joys of driving to a baseball game; sitting in endless traffic four miles from the stadium, inching past full lot after full lot, or not finding your car when it's time to go home (was it D-4 or 404 Green?). Now you can streamline your parking experience with ParkWhiz, a Chicago-based company that's recently gone national. This and other missives from Harold Evensky.
2012-10-23 How to Change the Regulatory Debate - Before it's Too Late by Bob Veres (Article)
After almost a decade of lobbying, arguing, and posturing, the long fight on Capitol Hill over who will regulate RIAs and how to define 'fiduciary' is approaching a close. Within the next six months, there will no longer be any real excuse to put off a decision, and new players, both in Congress and at the SEC, will be eager to start fresh.
2012-10-16 When Strong Client Relationships Aren’t Enough by Beverly Flaxington (Article)
Building strong personal relationships with your clients and consistently exceeding their expectations for direct, personal service – these traditionally were the best ways to generate referrals. But what if that's no longer enough?
2012-10-09 LinkedIn Endorsements: A New Feature to Bug Advisors by Wendy J. Cook (Article)
I've long been a fan of advisors using LinkedIn judiciously to network among colleagues, clients and potential resource providers (such as yours truly). But late last month LinkedIn released a shiny new enhancement - Endorsements - that is not the 'feature' they claimed it was, at least not for the advisor community.
2012-10-08 Maybe the Wind Isn\'t Blowing.. by Michael Kayes of Willingdon Wealth Management
I begin this edition of Willingdon Views with a tribute to a great American, Neil Armstrong, who passed away last month at the age of 82. The first man to walk on the moon was from Wapakoneta, a small town in west-central Ohio. Despite his fame and extraordinary accomplishments, Armstrong maintained his small-town values throughout his life. In a statement released shortly after his death his family referred to him as "a reluctant hero who always believed he was just doing his job." Makes one wonder what they'll say about us after we're gone...
2012-10-08 Strong Employment But Still Lots of Slack by Christian Thwaites of Sentinel Investments
The ECB's dearth of tools came through loud and clear last week. Rates remained unchanged not because the economies have a ghost of a chance of recovery but because inflation, at 2.7%, scored well above the 2% target. There's a certain amount of in-built inflation in European economies not present in the US, for example, indexing across many industries and pensions, VAT and euro denominated commodity costs. The combination of higher oil costs and a weaker euro put some of the YOY increases in energy costs as high as 40%.
2012-10-02 The Risk in Safety by Greg Nejmeh of HS Management Partners
The "risk on/risk off" sound bite is routinely applied by financial commentators when attempting to explain inexplicable market fluctuations. As the pendulum oscillates between greed (risk on) and fear (risk off), the fulcrum the pivot point where the scale rests in perfect balance can best be characterized as safety. It is from that state of equilibrium that the market begins each trading day...
2012-09-25 Investing in a Resource-Constrained World by Richard Vodra, JD, CFP (Article)
The potential consequences of stagnant oil production and climate change for society are written about frequently, but here is a simpler question that is important to our community: How are these and related facts likely to affect investment returns going forward? How can we even frame such questions usefully?
2012-09-25 The Ramifications of a Robin Hood Tax by Frank Holmes of U.S. Global Investors
Chief Justice John Marshall, in 1819, once described policymakers' great influence, remarking, "The power to tax involves the power to destroy." With rising fiscal deficits and a desperate need to raise revenue, many nations have come up with various tax solutions to raise billions of dollars. One hotly contested idea in the U.S. and Europe lately, and once advocated by John Maynard Keynes during the Great Depression, is a financial transactions tax imposing a cost on buys and sells of stocks or bonds.
2012-09-21 There is a Lot of Value in this Market: Part 1 by Chuck Carnevale of F.A.S.T. Graphs
Whenever there is a rise in stock values as we have experienced over the past year or so, it seems to be human nature to automatically assume that valuations have become too high. However, although it is possible that this is true, it is not necessarily so. A lot has to do with where valuations were before the run-up occurred. For example, if valuations were extremely low, then even after a rise, they can continue to be low or perhaps only have risen to becoming fairly valued.
2012-09-21 The Ramifications of a Robin Hood Tax by Frank Holmes of U.S. Global Investors
Could a transaction tax have unintended consequence for American banks? While the jury is still out on that answer, Hungarys example is a reminder to policymakers to comprehensively consider the rewards of collecting a Robin Hood tax along with the risks. Profits and bank credit growth rates across Hungary plummeted due to the hefty bank levies imposed.
2012-09-19 Power Struggles and Progress in Romania by Mark Mobius of Franklin Templeton Investments
Bordering the Black Sea in Southeastern Europe, Romania offers visitors a variety of beautiful and dramatic landscapes concentrated in a relatively small land area, including modern cities and medieval villages, sweeping mountain vistas, broad plains and sandy beaches. Romania may also be one of the more attractive investment destinations in emerging Europe today, but its political environment has been characterized by some power struggles as dramatic as its scenic views.
2012-09-18 Selling Your Practice – After Negotiations Fall Apart by Beverly Flaxington (Article)
I was hoping to sell my firm to another financial advisor. When the time came to close the deal, he turned into a different person, trying to negotiate for all kinds of things and generally being very nasty. The deal fell apart. How do I find a suitable buyer who will treat me with respect and negotiate fairly?
2012-09-11 A Lesson in Damage Control (Ron Rhoades, This One's for You) by Wendy J. Cook (Article)
Mistakes. Bigger or smaller, sooner or later, we all make them. With meteoric speed, one goof-up can leave a gaping crater in a firm's otherwise stellar reputation. Ron Rhoades provided a case in point when he recently withdrew from becoming the next NAPFA chairperson after becoming entangled in a minor regulatory problem. Ron's actions provide a lesson for dealing with a situation where your judgment lapsed and the damage is done.
2012-09-11 Dealing with Facebook-Addicted Employees by Beverly Flaxington (Article)
Is it reasonable to expect my younger staff to stay off Facebook and their phones, and concentrate on what they need to do to be successful? Is there anything I can do to get them to unplug and concentrate on our work during work hours?
2012-09-10 Fixed Income Investment Insight by Michael Siviter of Invesco
At the beginning of a crucial period for the Eurozone, Michael Siviter, Portfolio Manager in Invesco Fixed Income, outlines the challenges the authorities face.
2012-09-07 The ECB: No Rest for the Weary by Carl Tannenbaum of Northern Trust
The economic picture in Europe is worsening, exposing flaws in the foundation of the euro compact. The European Central Bank is trying its best, but remains hindered by its charter. European policy makers should focus on stabilizing the situation first, and seeking retribution later.
2012-08-07 The Game-Changer for Attracting Affluent Clients by Dan Richards (Article)
Until now I've been a skeptic on the value of social media for attracting affluent clients. You can use Facebook and Twitter to connect with investors in their 20's and 30's - but not the older, more prosperous clients advisors target. But last week, three separate conversations changed my mind on this.
2012-07-27 Who is Muhammad Lee? by John Scott of Saturna Capital
Who is this Muhammad Lee? (So named, as these are the most common first and last names in the world.)1,2 Where is he from? How many brothers and sisters will Muhammad Lee have in the future? What are the implications of his arrival for U.S. investors?
2012-07-23 Quarterly Market Overview by Robert Carey of First Trust Advisors
While it is nice to get the news in real time, the need for speed on the information superhighway can lead to incomplete or erroneous reporting. Look no further than the current election campaign season where the finger pointing has already started between President Obama and Mitt Romney. Good thing the Internet has also brought us some fact-checkers to help sort things out. Helping to sort things out is what we strive to do for our clients, as well.
2012-07-19 Europe Risk Preparedness by William De Leon of PIMCO
PIMCO's risk management process is dynamic and flexible, allowing us to evolve to understand, quantify and manage risks in broad scope and at the portfolio level. We are particularly focused on preparation for multiple potential scenarios, from a one-country redenomination to a full break-up of the eurozone into 17 separate currencies.
2012-07-17 Breaking Bad by Michael Lewitt (Article)
With our largest business and government institutions committing every conceivable act of legal or moral anomie, we have every right to ask who is going to protect the rest of us from those who have been entrusted with so much power and influence. The institutions that were supposed to be the lifeblood of our economy are the same institutions that inflicted the greatest harm on society. When the family has to be protected from the man who is supposed to protect the family, the family is in serious trouble.
2012-07-09 Disclosure? Not Good Enough. by Dan Ariely of Predictably Irrational
Several studies have shown that when professionals disclose their conflicts of interest, this only makes the problem worse. This is because two things happen after disclosure: first, those hearing the disclosure dont entirely know what to make of it were not good at weighing the various factors that influence complex situations and second, the discloser feels morally liberated and free to act even more in his self-interest.
2012-07-02 Anatomy of a Bear by John P. Hussman of Hussman Funds
The unusually bad outcomes of similar historical precedents help to convey why we retain such a durable sense of doom, even after last weeks scorching risk on advance. A moderate continuation of constructive market action would likely be sufficient to move us to soften our presently hard defense by retreating from a staggered strike option hedge. At present, conditions remain aligned with those that have preceded some of the most negative consequences in market history.
2012-06-13 Risk For Breakaway Brokers Equals Opportunity For RIA Firms by Joseph Giulitto of Trust Company of America
There are challenges aplenty in the world of the breakaway broker. From the obvious considerations of the market over the last decade, to the constant bombardment of the 24 hours news cycle keeping your clients informed of all the potential and peril that exists in the financial arena. With ongoing regulatory changes that create a virtual minefield of violations, and let us not forget the do it yourself marketing that is pummeling the investor to think that they dont need professional guidance.
2012-06-07 Remarks to the 12th Annual International Seminar on Policy Challenges for the Financial Sector by Mohamed A. El-Erian of PIMCO
Let me start with what I will refrain from doing specifically, I will not pre-empt the detailed discussions that you may have on such topical issues as regulatory principles, SIFIs, market infrastructure, stress testing and, of course, the rapidly changing nature of sovereign risk in advanced countries. Instead, I will try to touch on three more general topics that, in addition to your critical detailed analysis, I believe are important in assessing the potential impact of regulatory reform in terms of the past, present and future.
2012-05-29 Micromanaging to Failure by Justin Locke (Article)
During my time as bass player with the Boston Pops, our renowned conductor, Arthur
Fiedler, constantly pushed us to the limit of what was musically possible. It didn't
work 100% of the time, but his faith in our ability as an orchestra more often than
not produced exceptional results. By contrast, when a guest conductor tried to
dictate every detail of a performance, the results were miserable.
2012-05-08 Letter to the Editor by Various (Article)
A reader responds to Bob Veres' article, How to Respond to the Bachus-McCarthy Bill, which appeared last week.
2012-05-07 Q1 2012 Letter by Team of Grey Owl Capital Management
The overall equity markets strong first quarter rally was narrowly focused and, from our perspective, fragile. Cutting to the chase, we think both stocks and bonds are expensive. During the quarter, we used opportunities presented by Mr. Market to trim some of our lower quality positions and to add starter positions in a few high quality businesses. We also added to our short-term, high-yield fixed income holdings, sources of return that we expect to show less volatility but results equal to or better than the broad equity market indices.
2012-05-01 How to Respond to the Bachus-McCarthy Bill by Bob Veres (Article)
I recommend that everybody contact your elected representatives and tell them that the proposed Bachus-McCarthy legislation would be detrimental to the small businesses in their district or state. Below is a sample letter for you to send to your elected representatives, and a press release for you to send to your local paper and press contacts.
2012-04-20 Preferred Securities First Quarter 2012 Review and Outlook by Team of Cohen & Steers
Preferred securities continue to offer a compelling total return proposition. Treasury yields are at or near historic lows, and the Federal Reserve appears committed to holding interest rates steady for the foreseeable future. At the same time, with preferred yields near 7%, the yield spread between preferred securities and Treasuries remains far wider than its long-term average, and few other investments offer as much income.
2012-04-19 Current Conditions Cater to Our Rigorous Muni Investment Process by Team of American Century Investments
The last four years have been a remarkable period in municipal bond (muni) market history. The 2008 Financial Crisis and the Great Recession transformed the high-grade U.S. muni market and how people invest in it. What was once a relatively homogenous bond sector in terms of its credit quality and ratings became much more heterogeneous. Under these conditions, we believe experienced professional credit research and portfolio management are now crucial to investment success. This article outlines our muni investment processes.
2012-04-17 Two Words to Get in Front of Prospects by Dan Richards (Article)
Even advisors who are successful in every aspect of their business struggle when it comes to getting meetings with prospects. The key is to understand how prospective clients look at requests for action - and to frame anything you ask with two words in mind.
2012-04-14 The War for Spain by John Mauldin of Millennium Wave Advisors
The inflection point that I thought the ECB had pushed down the road for at least a year with their recent 1 trillion LTRO is now rushing toward us much faster than Draghi had in mind when he launched his massive funding operation. So, we must pay attention to what Spain has done this week which, to my surprise, seems to have escaped the attention of the major media. It may be considered a tipping point when the crisis is analyzed by some future historian. And then we'll get back to some additional details on the US employment situation, starting with a few rather shocking data points.
2012-03-28 Are You Going to the Doctor Less? by Harlan Sonderling of Columbia Management
Throughout 2011, the healthcare sector saw another year of reduced medical consumption, measured by doctor visits, hospitalizations, elective surgeries and more use of generic pharmaceuticals over branded products. This led to better earnings for managed care companies (payers) and lower earnings for hospitals and device companies (providers). So far, 2012 looks to be similar, but investors are watching carefully indicators like gross domestic product and employment growth and procedure and pharmaceutical volumes for signs of an uptick in utilization (unit consumption) and trend (price).
2012-03-27 The Secret to Motivating your Team by Dan Richards (Article)
Many advisors struggle with staff members who regularly fall short in terms of work ethic, attention to detail or ownership of outcomes. Getting the most out of your team is essential, and a new book illuminates an effective way to build motivation in your organization.
2012-03-26 Monthly Investment Commentary by Team of Litman Gregory
We recently spoke with portfolio managers from two fund management teamsChris Davis and Ken Feinberg of Clipper and Selected American Shares, and Pat English of FMIwho have historically exhibited different views toward banks and financial services firms. In addition to providing insight on current risks and opportunities in the financial sector, the interview touches on a number of topical subjects including the Federal Reserve, the European debt situation, and the housing market.
2012-03-16 February Leaps to a Multi-Decade Market Open by Doug Cote of ING Investment Management
The markets YTD success has been fueled by a dramatic reduction in global risk and upbeat economic data. The fence to contain the euro crisis has been definitively established. Oil prices are a concern, but the real economy has the wind in its sails. Though equity fund outflows continue, its never too late for investors to do the right thing.
2012-03-13 Investor Communications: Are You Upbeat, or Upfront? by Wendy J. Cook (Article)
When discussing scary markets with your clients, how do you combine the upbeat inspiration they may want with the upfront, honest information they may need to hear? Striking the right balance makes all the difference.
2012-03-01 Cures for the Apathetic Investor by Frank Holmes of U.S. Global Investors
A lack of faith and trust has driven investors to the sidelines and halted the flow of capital in the U.S. According to the Investment Company Institute, investors pulled more than $130 billion from equity mutual funds during 2011. This is a common reaction in the cycle of market emotions where investors generally move from a fear of losing money, to becoming apathetic about the markets, to feeling confident about investments, and finally, to irrational exuberance. Right now, many investors appear to be stuck in an apathy sandpit.
2012-02-25 Tax That Other Guy by John Mauldin of Millennium Wave Advisors
Last week's letter on taxes drew more response than any letter I have written in years. Questions that were raised simply beg for an answer, and some of the replies were very thoughtful, well-written suggestions for alternatives. This week I am going to do something I can't ever remember doing, and that is to use the entire letter to involve and respond to my readers.
2012-02-24 Preferred Securities - January 2012 Review & Outlook by Team of Cohen & Steers
Preferred securities had their best month in more than a year in January, driven largely by significant improvement in European credit markets. Investors also gained encouragement from positive U.S. economic data, as well as improving credit trends for U.S. banks despite their lackluster profitability. In Europe, yields on bank and sovereign debt declined sharply in the wake of the European Central Banks long-term refinancing operation. The program reduced systemic risk in the financial system by improving European banks liquidity, while also giving banks the capacity to buy sovereign debt.
2012-02-23 Is America Over-Regulated? by Frank Holmes of U.S. Global Investors
The cover story of this week
2012-02-02 Knowledge is the Antidote to Fear by Team of Sloan Wealth Management
We feel investors should focus on the high probability that this could be a rewarding decade. The volatility of the market can often mask the improving fundamentals. Now two years into the decade, we are pleased that the SWM Moderate Risk Composite is up 14%. This election year will create endless entertainment, needed discussion on the future of our great nation and finally clarity for corporations and individuals. This clarity should allow corporations to loosen their purse strings and continue to fuel growth.
2012-01-10 I Can See Clearly Now... by Mariko Gordon (Article)
There is a lot to learn by bringing in an objective third party to weigh in on one's investment process. I highlight the benefits we realized by allowing a trusted adviser behind the curtain.
2011-12-29 On the Sharia and Islamic Finance by William Maeck of Seafarer Capital
The practice of banking according to Islamic principles, or the Sharia - the moral code and religious law of Islam - is relatively unknown within developed nations. However, in many parts of the developing world, Islamic banking is a burgeoning industry. It deserves closer scrutiny not only because it is bringing new and otherwise un-banked customers into the fold, but also because it serves as an alternative model for finance and it may manage certain types of risk better than conventional Western models.
2011-12-19 The Volcker RuleAn Exercise in Confusion by Milton Ezrati of Lord Abbett
This past October, a group of four regulatory bodies jointly released draft proposals of the so-called Volcker Rule. Part of the Dodd-Frank financial reform legislation set to go into effect this coming July 2012, this rule would forbid banks any substantial interest in either hedge funds or private equity firms and also prohibit banks from doing any proprietary trading on their own account in securities of any kind. Apart from the legitimate concerns and arguments on both sides, the most threatening and dangerous aspect is the debilitating lack of clarity.
2011-12-12 Teutoburg Forest Remembered by Christian Thwaites of Sentinel Investments
The European Council agreed to some startling actions to stem the crisis: 1) all fiscal deficits not to exceed 0.5% of GDP 2) excessive deficit rules to come into effect when they breach 3% of GDP 3) the Commission to sign off on national budgets and 4) enforce sanctions if debt exceeds 60% of GDP with 5) fiscal integration to follow and 6) EFSF and ESM capital to remain at around 500bn with another 200bn committed to the IMF. The markets' reactions were generally favorable but I doubt any of this will hold.
2011-12-12 Europe Crisis: Not Over Yet! by Komal Sri-Kumar of TCW Asset Management
On Friday European leaders completed their 14th or 15th crisis-related summit meeting since the beginning of 2010. Fitting a pattern, the results were termed a success by the leaders. Wolfgang Schuble told Focus magazine that he was certain that the leaders will be able to handle the debt crisis in Europe with the agreed, far-reaching measures on institutional reform of the European currency union. A close examination of factors behind the agreement suggests, however, that the decisions may end up being another band-aid solution to the still festering crisis.
2011-12-09 Corporate Market Transparency Report: November 2011 by Chris Shayne of BondDesk Group
November was an extremely volatile month on Wall Street. Concerns about Europe caused a temporary free fall in the equity market, and later in the month American Airlines filed for bankruptcy. Not surprisingly all the turmoil drove up yields for corporate bonds as concerns about credit risk resurfaced. "A" rated corporates experienced the biggest increase, and we continue to believe that investors looking for yield should consider purchasing those bonds opportunistically. Demand for corporate bonds also increased in November, marking the fifth consecutive month buying activity has gone up.
2011-12-06 Two Simple Questions to Motivate Your Assistant by Dan Richards (Article)
High on the list of holiday wishes for many advisors would be a cheerful, motivated, efficient team, united in the common goal of moving your business forward. And while you have no control over many things, you have a great deal of influence over how well your team operates.
2011-11-21 Why the ECB Does Not Bail Out Distressed Debt by John P. Hussman of Hussman Funds
Investors are not likely to be treated with a "surprise" announcement that the ECB is going to expand its purchases of distressed European debt. Any significant ECB intervention would likely follow a formal revision of EU treaties that trades greater ECB flexibility in return for more centralized fiscal control.
2011-11-15 An Endgame for Japans Debt? by Bryce Fegley of Saturna Capital
The Japanese government's ability to extract itself from two decades of runaway debt has become all the more challenging in the face of its shrinking tax base, rising interest payments, and social security obligations, not to mention the aftermath of its earthquake, tsunami, and nuclear disasters. The recent precedent of the country's dysfunctional political system does not bode well for making tough choices necessary to stabilize the debt. Of the possible consequences of the runaway debt, eventual monetization, high inflation, and currency devaluation are the most likely outcomes.
2011-11-08 Corporate Market Transparency Report: October 2011 by Team of BondDesk Group
October was the stock market's best month in nearly a decade. As expected, the strong equity rally caused retail corporate bond yields to fall as concerns about credit risk receded. Bonds rated single A experienced the biggest decrease in yields, though yields for triple B bonds remained largely unchanged, providing continued opportunity for investors willing to own lower rated investment grade bonds. The buy/sell ratio increased to 1.9 in October, a modest increase over the 1.8 ratio in September but a material increase over the historical norm of 1.4.
2011-11-01 Regulatory Armageddon by Bob Veres (Article)
Suppose you were somehow able to convince 40 advisors, who are all well-known thought leaders in the profession, to gather in the same room for a six-hour brainstorming session. The goal: to identify the single most important thing that the financial planning profession should be thinking about now. What do you think they'd come up with? Fasten your seat belts, because this may be the most important report you'll read all year.
2011-10-19 Herman Cain's Hidden Nine by Peter Schiff of Euro Pacific Capital
Herman Cain has been gaining much traction with his 9-9-9 Plan, a bold proposal to replace our dysfunctional tax code with what could be a simpler and more economically stimulative. While I don't agree with the full spectrum of Mr. Cain's policy choices, I applaud his courage on the tax front. Judging by his rising poll numbers, this appreciation is shared. However, the plan has deep flaws the most glaring of which is its creation of a hidden payroll tax which represents a fourth "nine" This serious pitfall has been unmentioned by Mr Cain and overlooked by those who have analyzed his plan.
2011-10-18 Focusing on Relationships is a Mistake: Harvard Business School by Dan Richards (Article)
Conventional wisdom says that when it comes to client loyalty and profitable businesses, deep relationships are what counts. But a September Harvard Business Review article raised some important questions about whether this is the case.
2011-10-07 Corporate Bond Transparency Report by Chris Shayne of BondDesk Group
The equity market turmoil impacted yields for retail corporate bonds as expected, but the effect was not consistent across rating grades. Yields for 2nd tier investment grade (A, BBB) bonds increased substantially, while upper tier (AAA, AA) were largely unchanged. This was a continuation of the trend established in August.
2011-09-30 Are You Properly Positioned for the Return of the Economic Vitality of America by Chuck Carnevale of F.A.S.T. Graphs
It has been my observation over my last four decades of studying the stock market that investors have a penchant for projecting into the future what is currently happening. In other words, when the market is behaving badly, they tend to believe it is going to continue to behave badly far into the future. And as I reflect on this, it occurs to me that every bull market has ended with a bear market, and conversely, every bear market has ended with a bull market. The most important attribute to remember about free-markets is that they self adjust. Most know this as the law of supply and demand.
2011-09-27 Errata and Letter to the Editor by Various (Article)
A reader responds to our article, Counterparty Risk in Large Total-Return Funds, which appeared last week, and we correct an error in that article.
2011-09-20 A Simple Email – Today's Best Prospecting Strategy by Dan Richards (Article)
How do you use the recent market turmoil to open conversations with prospective clients? Here's how one advisor used a simple email to solidify relationships with existing clients and to attract new ones.
2011-09-04 Its All About the Jobs and Gold by John Mauldin of Millennium Wave Advisors
If somehow a Republican appeared in the White House tomorrow, there is no magic he (or she!) could bring with him/her to fix the unemployment problem. There are just some things the private sector will have to do for itself, and the sooner the government stops getting in the way, the sooner will get things fixed. But it will take a long time, no mater what. For the record, I think you should own about 5% of your net worth in gold, as insurance, not as an investment.
2011-08-12 Developed Market Banks: Why PIMCO Pathfinder Takes a Selective Approach by Charles Lahr of PIMCO
The Pathfinder Strategy is currently limited to only a handful of banks that are best characterized by PIMCO as deep value opportunities.
We generally do not see meaningful upside potential in equity positions of developed market banks over the secular horizon.
Our concerns primarily revolve around three factors: loan growth, balance-sheet risk along with capital levels and regulation.
2011-07-27 From Asset Allocation Nirvana to Asset Allocation Nightmare by Bill Smead of Smead Capital Management
We believe the next 10 years will be about money moving back into non-cyclical US large cap stocks and domestic companies which enjoy lower commodity prices and the repatriation of money from highly risky asset classes with poor odds. Being widely asset allocated today prepares folks for an under-performance nightmare In our opinion, bonds are expensive, commodities are outlandish, small caps trade at a huge premium and as Chinas economic contraction occurs, the crowd will flee emerging markets.
2011-07-25 Down to the Wire by Howard Marks of Oaktree Capital
The problem isnt the ceiling, its our behavior. The debt ceiling merely imposes a discipline that our national leaders should provide but generally havent. On this note, in his press conference on July 15, when asked about conservatives insistence on a balanced-budget amendment to the Constitution, President Obama replied, We dont need a constitutional amendment to do that [balance the budget]; what we need to do is to do our jobs. But clearly we do need some enforced discipline, because the years in which we havent run a deficit have been by far the exception of late, not the rule.
2011-07-19 You and the Internet, Part II - Places to Go, People to See by Wendy J. Cook (Article)
In my last article, How to Waste Time and Influence People, we covered productive ways to wander on the Internet. You also can benefit from harnessing the Internet as it relates to your advisory practice.
2011-07-14 Ben Bernanke channels Genworth Financial; Chris Laursen on bank trading under the Volcker rule by Team of Institutional Risk Analyst
This week we republish an important article by Christopher Laursen, NERA Vice President, on bank trading under the Volcker rule. And we ask whether Fed Chairman Ben Bernanke knew he was saying about the conforming loan limit yesterday before the House Financial Services Committee.
2011-06-29 Covered Bonds: Strong Demand, New Regulations Create Global Momentum by Ben Emons and Kris T. Mierau of PIMCO
Basel III’s long-term funding and liquidity coverage requirements could boost demand, create technical support for valuations.
The EC has proposed an exemption excluding covered bonds from private sector participation in post-insolvency burden sharing.
The Covered Bond Act could alter the way regional banks in the U.S. rely on the Federal Home Loan Bank (FHLB) system for funding.
2011-05-10 Red Flags for Advisors - Communication Gaps with Affluent Clients by Dan Richards (Article)
When hard facts come to light that contradict your preconceptions, it's time to sit back and reassess your thinking. That's exactly what advisors should do following a new research study of Americans with at least $3 million in investments.
2011-04-26 Cerulli Survey Results: Advisor Use of Tactical Allocation by Tyler Cloherty (Article)
Advisors have increasingly turned to tactical allocation to manage client risk. While there has been abundant discussion on how this approach should be executed in theory, our survey results show what advisors are doing today in their practices.
2011-04-20 Is Europe at the Tipping Point? Sol Sanders & Bill Alpert on Keynes, Keynesianism -- and Keynesianit by Team of Institutional Risk Analyst
With the world preparing for the collapse of the post-WWII, post-Bretton Woods economic order, we thought it might be useful to look at what Keynes actually said. We depart from our optimism due to the situation in Europe. Forget the threat of a ratings downgrade by S&P, Washington on debt ceilings or our part-time POTUS, the final collapse of the southern states of Europe is accelerating. Most banks in the EU are insolvent and the states supposedly backing them cannot access the global markets. The collapse of the EU bank bailout effort could be the next catalyst for global contagion.
2011-04-19 Two More Changes to Facebook by Kristen Luke (Article)
In last week's article, What Facebook's New Features Mean for your Business, I discussed a recent change Facebook made that allows business pages to interact throughout the site as a business and not just as an individual. Facebook made two other changes to business pages that affect how advisors use them as a marketing tool.
2011-04-12 What Facebook's New Features Mean for your Business by Kristen Luke (Article)
In March, Facebook changed how business pages can interact with other Facebook users. Most notably, a new feature called 'Use Facebook as a Page' allows business to 'like' and comment on other users.
2011-04-12 Private Mortgage Insurance Endgame by Team of Institutional Risk Analyst
In this issue of The Institutional Risk Analyst we feature a comment on the XBRL pilot program at the Securities and Exchange Commission by Daniel Roberts CEO of raas-XBRL. First let's focus briefly on some related technical developments at the IRA HQ in Torrance, CA. Both of these data points directly impact investors, regulators and other consumers of financial data. And we feature a reader comment on the endgame of the private mortgage insurers at Fannie Mae and Freddie Mac, namely stuff the taxpayer.
2011-04-07 Weekly Market Update by Team of American Century Investments
“Dodd-Frank” is shorthand for the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010. The main focus of the legislation is on increasing regulation/supervision of banks and other major players in derivatives, lending, and securitization businesses. Few of the law’s provisions are aimed directly at the registered fund industry, likely reflecting the industry’s distance from the 2008 financial crisis and general effectiveness of the framework already in place. Nevertheless, a number of provisions could affect mutual funds and their investment advisers in meaningful ways.
2011-03-25 Benefits of deadlines by Dan Ariely of Predictably Irrational
The organization that funded science in the UK decided that instead of asking people to submit grants by 2 specific dates each year (which is that the US funding agencies do), and get people all stressed over the deadlines — they will let people submit grant at any time that they want and they will review the grants that have arrived using the same 2 times a year. What happened? Fewer grants were submitted and eventually the Brits changed back to the twice a year setup. All this is to show us, how useful deadlines can be.
2011-03-24 Bernanke Ducks as Food Prices Shoot Higher by Peter Nielsen and Bryce Fegley of Saturna Capital
As rising food prices gain prominence in media headlines worldwide, Federal Reserve chairman Ben Bernanke now finds himself deflecting accusations that the Fed's $600 billion "QE2" Treasury buying program is the main culprit of global food price inflation. In his February 18, 2011, speech to governors of the Group of Twenty in Paris,1 Bernanke completely rebuffed these claims and offered up other explanations as well, but nowhere in his speech did he concede any possibility that the Fed's QE2 program is playing a role.
2011-03-22 Emerging from Developed Profit Pools by Gregory A. Nejmeh of HS Management Partners
Much has been debated about the anticipated growth of the emerging markets and the tectonic shifts in political, economic and military force that such changes may yield. While the implications are significant, we are also mindful that economic activity in developed markets not only make them worthy of investor attention, but provide the stability of cash flows that will facilitate multinationals ability to invest in developing markets. We take a holistic perspective and appreciate the size and scope of developed market profit pools as a means of self funding developing economic participation
2011-03-15 Love Means Always Having to Say You're Sorry by Mariko Gordon (Article)
In practice, it's not a question of whether or not money managers will make mistakes, it's simply a matter of when. Mariko Gordon looks at why the way in which a particular firm handles mistakes is as important as the errors themselves.
2011-03-09 Searching for Growth in Asia by Taizo Ishida of Matthews Asia
There are many ways one might define “growth” and go about uncovering it. There are a few key elements I look for: main drivers of growth, sustainability and scope of growth, and market expectations. Many global investors today are seduced by the last several years of strong stock performance in China and India, fueled by robust economic growth. However, economic growth alone does not guarantee good stock performance. In fact, many studies argue that, historically, there has been little correlation between stock market performance and economic growth.
2011-02-22 Stop Wasting Time and Money on Client Communication by Dan Richards (Article)
The world has changed in all kinds of ways. What worked in terms of client communication as recently as five years ago doesn't work nearly as well today. As a result, you need to fundamentally change how you communicate with clients.
2011-02-22 Winning New Business, Growing Your Firm by Michael Slemmer, CFA (Article)
How are advisors reaching prospects and winning new business today? What's working well for advisors as they seek to grow their businesses, and where are they finding challenges? To answer these questions, we conducted a survey in late November, 2010, aiming to learn the most common and successful business-building tactics for wealth managers, investment advisors and related professionals.
2011-02-10 Outlook 2011 by Bill Smead of Smead Capital Management
The year 2010 took us on quite a ride and ultimately delivered acceptable returns in both the US stock and bond markets. Our returns were commensurate with the index, but did so without exposing our clients to what we consider the primary long term risks that exist today. Those two primary risks we see in 2011 involve bonds and China.
2011-02-08 Undoing Meredith Whitney's Damage by Hildy Richelson, Ph.D. (Article)
Meredith Whitney did the municipal bond market an immense disservice with her misguided comments on 60 Minutes when she predicted massive defaults. Two recent articles in this publication provided accurate rebuttals to her analysis, but they failed to clarify important reasons why muni bond investors do not face the imminent peril that Whitney predicted.
2011-02-01 Stop Using Outlook for Email Marketing by Kristen Luke (Article)
Unfortunately, many advisors confuse the ability to send hundreds of emails through Outlook with conventional email marketing. Advisors who do this don't know that they are putting themselves at risk of violating the federal CAN SPAM laws.
2011-02-01 Fourth Quarter Letter by Team of Grey Owl Capital Management
In spite of Bernanke’s objective to put a floor on asset prices, including equities, we remain conservatively positioned. Equity and credit markets appear overvalued. In addition, with the U.S. and most developed-market economies significantly more leveraged than in the last 50 years, economic growth will likely be more volatile. Further, many potential exogenous forces could negatively influence public markets: over-leveraged municipalities, the PIIGS, and continued issues in the US housing market to name a few. Finally, there is no evidence that monetary policy can create real growth.
2011-01-25 Ten Resolutions for Greater Prosperity in 'The Year of the Fiduciary' by Jeffrey Briskin (Article)
If you think selling and servicing 401(k) plans isn't easy today, ERISA is about to make it even harder. The good news is that firms that adjust to these challenges can use them to their competitive advantage Here are ten steps your firm can take to prepare for The Year of the Fiduciary.
2010-12-17 Kicking the Can Down the Road by John Mauldin of Millennium Wave Advisors
A collapse of a major European bank could trigger counterparty mayhem in the US banking system, at least among our major investment banks. The ECB is now earnestly continuing to kick the can down the road, buying ever more debt off the books of banks, buying time for the banks to acquire enough capital. If the ECB were to keep this up, even in a deflationary, deleveraging world it would eventually bring about inflation and the lowering of the value of the euro against other currencies. One country after another in Europe is coming under pressure. This week the debt of Belgium was downgraded.
2010-12-07 'Shadow' NAVs for Money Funds Available by Team of American Century Investments
In January 2011, so-called "shadow" net asset values (NAVs) for money market funds (MMFs) will become available publicly for the first time. They will be posted by the SEC on their Web site 60 days after they are filed monthly with the commission by fund management companies, including American Century Investments(R). As one of the investment industry's MMF pioneers, American Century Investments supports the new regulations and manages five MMFs.
2010-11-18 The Dollar Survives Again by John Browne of Euro Pacific Capital
As far as investors are concerned, the G-20 provided little new information, but confirmed the continuing drift. The international monetary system is still based upon the gravely flawed U.S. dollar. The Yuan will not be allowed to rise in the near term, the euro faces great political challenges, and the U.S. dollar seems continually to be devalued. Meantime, precious metals, key commodities, and hard currencies should continue to benefit.
2010-11-10 Corporate Bonds March to Their Own Drummer by Chris Shayne of BondDesk Group
During the first week of the month traders bet big on QE2, purchasing Treasuries with abandon and dropping long term yields. On October 8th, 10-year yields hit a new low for the year, falling all the way down to 2.38%. But for reasons that arent completely clear, things changed in mid-October.
2010-09-28 Three Traps that Chew Up Your Day by Dan Richards (Article)
Time has always been the scarcest resource for successful financial advisors. Given all the demands advisors face, today it's essential to make maximum use of your workday. To make that happen, Dan Richards says you have to overcome three common traps.
2010-09-28 It's a Break-out! by Mike Hurley of Incline Capital
While stocks are overbought and may well pull back over the short term, market internals are in good shape and suggest stocks will likely headed higher over the intermediate term. Specifically, both breadth and leadership are confirming the ‘break-out,' with the next key question being how they compare if and when stocks will challenge their early 2010 highs. A key factor in the strength in equites has clearly been interest rates, which have moved sharply lower over the past six months. This has not only helped stocks move higher, but gold as well.
2010-09-27 'Rules are Rules?!' (An Email From Grandma) by Jeffrey Saut of Raymond James Equity Research
Last week most of the major stock market averages broke out of their May-September trading ranges to new recovery highs (small cap indices did not). While we are not necessarily looking at a repeat of the 2009 stock market rally, the S&P 500's April highs now seem achievable. Meanwhile, the bears continue to growl 'Where's the volume?' The reply to that question is that the whole 2009 rally came on declining volume, as did this year's May mauling, begging the question: Does volume really matter?
2010-09-14 How to Star in a TV Special on Retirement Challenges by Dan Richards (Article)
Meeting clients' needs requires strategies that spread across a variety of investment classes, financial securities, and custodians. To ensure you continue spending more of your time managing your clients' assets than their data flow, Envestnet's reporting capabilities give advisors the flexibility to integrate multi-custodian performance reporting at a variety of levels.
2010-09-07 Basel III Gets the Headlines, but EU Article 122a is the Story by Christopher Whalen of Institutional Risk Analyst
This issue features a comment by Richard Field of TYI LLC about a new European Union rule for the asset-backed and structured securities markets in the European Union called Article 122a. This rule is a direct challenge to the U.S. regulatory community. Implementation will very quickly divide those financial institutions which are compliant and those which are not. Banks which are not in compliance with the EU rule will be obliged to offer investors significantly higher yields on debt than those banks which are compliant.
2010-09-07 Looks Like a Bottom! by Mike Hurley of Incline Capital
WWhile the odds suggest stocks are most likely headed higher from here, trend-following indicators such as the 'golden cross' or the weekly MACD have yet to confirm a new intermediate term up trend. The MACD is quite close however, which would reverse the 'sell' signal it registered during the the week of May 7. Commodities are looking ready to move higher as well.
2010-08-31 Five Steps to Choosing the Right Marketing Firm by Kristen Luke (Article)
Finding a marketing firm for your advisory practice can be a daunting task and hiring the wrong firm can be an expensive mistake. It is essential that you spend time doing due diligence to find the right partner for your growth. Kristen Luke provides five steps that will help you with this process.
2010-08-27 On Critical Support by Mike Hurley of Incline Capital
While stocks have so far held key areas of support, there is a very real chance the equity markets are forming a cyclical top. The action in the weeks ahead will be absolutely critical.
2010-08-24 How to Choose the Right Social Media Archiving Strategy by Blane Warrene (Article)
Advisors who have embraced social media as an important component of their marketing and service toolbox must monitor and manage the content they distribute. In this guest contribution, Blane Warrene discusses how to collect and store postings and comments made by you and others on social media platforms and store the information in a readily accessible database.
2010-08-18 Ten Ways to Improve The Returns on Your Portfolios by Kendall J. Anderson of Anderson Griggs
On May 25, 2010, Dr. Paul Woolley, former head of the International Monetary Fund's investment and borrowing activities and founder of the UK arm of Grantham, Mayo, van Otterloo, laid out 10 policies that if adopted, could increase annual returns after inflation by 25 percent and long-term returns by at least 50 percent. He addressed his comments to the world's biggest public pension and charitable funds. His 10-point manifesto, however, will work just as well for individuals, offering the same, if not greater, potential return benefits to their portfolios.
2010-08-14 Technical Market Take by Mike Hurley of Incline Capital
Market technical are of concern technically. Specifically, there was not only a noticeable absence of new 52-wk highs during the recent bounce in equities, but last week’s decline saw more than twice the number of new lows, than new highs (A). Most definitely action which supports the opinion that stocks may well be forming some type of cyclical top. The bottom line being, that the market continues to suggest that the wisest course of action going forward is to underweight equities (or avoid them entirely, depending on suitability) while overweighting bonds.
2010-08-10 Performance that Plan Sponsors Value Most by Jeffrey Briskin (Article)
Advisors serving 401(k) plans may successfully improve investment performance, only to find out that the plan sponsor is totally unsatisfied. In this guest contribution, Jeffrey Briskin relates a recent conversation that made that painfully obvious, and a recent study by his company confirmed that such outcomes occur all too often.
2010-08-09 Systemic Regulator Risk: Does the Fed of New York Need a Haircut? by Christopher Whalen of Institutional Risk Analyst
Given its second lease on regulatory life, one might expect that the Fed's bank supervision function would be gearing-up to take a fresh, smart, and tough line with respect to financial company oversight. However, the appointment of Sarah Dahlgren as head of supervision by the Federal Reserve Bank of New York indicates this may not be the case. Ms. Dahlgren has been at the center of many of the Federal Reserve's most embarrassing failures in the area of bank supervision, including the fiasco surrounding American International Group.
2010-08-07 A Quick Review of Gold by Mike Hurley of Incline Capital
Mike Hurley presents charts of prices for gold contracts, as well as two key gold stocks: Newmont Mining and El Dorado Gold Corporation. It looks pretty clear that gold, and the stocks shown, are in good shape technically and ready to move meaningfully higher from here - despite what many of the bears are saying. It will be a very different story once gold breaks the up trend line shown, but until then the market itself is saying that it's 'all clear ahead!'
2010-08-04 No Man's Land by Mike Hurley of Incline Capital
Rallying nicely on the month of July, the U.S. markets moved back through key areas of resistance and in doing so have formed what may end up being be ‘bear traps’ on their charts. While the jury remains out on the direction of equities, however, interest rates literally across the board have broken important support levels. Among these are yields on 10-year U.S. Treasury bonds, which are now below 3 percent, and are headed lower from here. This is a trend which may well have legs, and which advisors should include in their planning for clients going forward.
2010-07-31 Bull/Bear Standoff by Liz Ann Sonders of Charles Schwab
Bulls and bears both have strong cases. With earnings results and economic data indicating continued growth, we lean toward the bullish side—although risks to the bullish case are elevated. Uncertainty and concern regarding government actions continue to weigh on sentiment, while the Federal Reserve leaves all options on the table. Some questioned the credibility of European stress tests, but the market responded favorably. Meanwhile, China's growth appears to be moderating but remains relatively robust.
2010-07-28 Grey Owl Capital Management's Q2 Letter by Team of Grey Owl Capital Management
The equity and fixed income markets are still modestly overvalued. In addition, the economic recovery may only have been a mirage that the slow dwindling of the government stimulus will reveal. The majority of Grey Owl's equity portfolio is made up of 'high quality' companies – those with consistent earnings growth and low financial leverage. Japanese-style deflation and 1970s-style stagflation are both possible given the slow private sector growth, increasing government regulations, growing government debt loads, and expansive monetary policy.
2010-07-26 Mike Hurley’s Technical Take (7/26): A Bear Trap? by Mike Hurley of Incline Capital
While we have not yet seen a trend-following 'buy' signal in the weekly Moving Average Convergence/Divergence, stocks could continue to rally from here over the short term – particularly given that the Stochastics are just now moving off oversold levels. The more important question is whether or not the strength will become anything more than a 'right shoulder' of a head and shoulders-type topping formation. Mid-cap stocks will most likely outperform on the upside should the market move higher in the weeks ahead.
2010-07-20 The Opportunity in Build America Bonds by Jeff Westergaard (Article)
While the unique aspects of Build America Bonds (BABs) and recent Treasury Department actions are meaningful, the risks to investors have been over-emphasized. BABs remain an attractive vehicle for investors and issuers, and the market for them is likely to grow.
2010-07-13 A Marketing Guide for RIAs: Part 3 – Build a Website by Kristen Luke (Article)
Kristen Luke discusses the steps to take to build your website.
2010-07-06 A Marketing Guide for RIAs by Kristen Luke (Article)
Kristen Luke begins a series of articles that will provide step-by-step instructions on how to start marketing your new RIA firm. She assumes that your firm does not have tens of thousands of dollars to spend on marketing. Here is an overview of the series.
2010-07-06 Implications of a Likely Economic Downturn by John P. Hussman of Hussman Funds
Instead of directing savings toward investments in real, productive assets that we would observe as physical output, fixed capital, and equipment (and claims on those assets in the form of corporate stocks and bonds), our economy has been forced to choke down a massive issuance of government liabilities in order to bail out bad debt. For every dollar of debt that should have defaulted, we now have two dollars of debt outstanding: the original debt, and a newly issued government security. What appears to be 'sideline cash' is simply the evidence of past spending.
2010-06-22 Three New Ways to Use LinkedIn to Market Your Business by Kristen Luke (Article)
LinkedIn is constantly evolving and has become a better marketing tool in the process, writes Kristen Luke. If you haven't logged in recently, here are three new ways you can use the site to market your business.
2010-06-15 Strategy Advice from Apple and Google by Dan Richards (Article)
Last week Dan Richards conducted a webinar focused on the key decision that will drive advisors' long term success. Richards talks about what advisors can learn from the success of Apple, Google, Coke and Walmart.
2010-06-15 Monthly Letter by Kendall J. Anderson of Anderson Griggs
On Friday the Dow Jones Industrial average lost 3.2 percent. The Standard & Poors 500 lost 3.4 percent, while the Nasdaq composite fell 3.6 percent. The reason for the drop was the monthly job report, as issued by the Labor Department, which indicated that only 41,000 out of 431,000 new jobs were created by the private sector. Of course this report brought with it images of an economy in trouble - that the recovery we've all been hoping for has stalled and the future is bleak. Kendall J. Anderson's response as an investor, and his suggestion to you, is to 'seize the day.'
2010-06-08 What’s Driving Investment Management Outsourcing? by Northern Trust Investments (Article)
Advisors who fully outsource their investment management want to free time for clients and grow their practice. But, as Northern Trust Investments' research explores, not all advisors are comfortable with full outsourcing. We thank Northern Trust for their sponsorship.
2010-06-08 Three Words to Blow Away Clients by Dan Richards (Article)
Every advisor's goal is to build deep relationships with key clients, partly to foster loyalty and increase the assets you have from them, partly to open the door to referrals. One way to do that is to have clients "wowed" by their experience in dealing with you, and Dan Richards says three key words will create that "wow" effect with important clients.
2010-06-07 Disclosure? It's Not Good Enough by Dan Ariely of Predictably Irrational
Pfizer disclosed that it paid $20 million in consulting and speaking fees to 4,500 doctors in the second half of 2009. The company also shelled out $15.3 million to U.S. academic medical centers for their clinical trials. This marks the first time a company has disclosed its payments for clinical trials. As such, some may see this as a good deed on Pfizer's part, a noble step towards eliminating or reducing some of the conflicts of interest in medicine. Several studies have shown, however, that when professionals disclose their conflicts of interest, this only makes the problem worse.
2010-06-07 Rajiv Sethi on High Frequency Equity Trading by Christopher Whalen of Institutional Risk Analyst
This commentary features a piece by Barnard economics professor Rajiv Sethi on high-frequency trading and its implications for the use of equity-market data, both for profit and risk management. Sethi notes that trading must be based on fundamental information rather than pure market data for prices to remain stable. Banning specific classes of algorithms is unlikely to provide a lasting solution to the problem, however, unless the advantage is shifted decisively and persistently in favor of strategies that feed information to the market instead of extracting it from technical data.
2010-05-25 The Prospecting Approach that Works Today by Dan Richards (Article)
The problem with viewing a prospect conversation as an event is that you have to ask for a firm commitment at the end of any interaction - whether it is a request to meet when talking on the phone or asking for a decision to invest when meeting face-to-face, according to Dan Richards. All too often, that request will be premature - and if it's too soon in the process, the prospect feels under the gun. Richards offers a solution.
2010-05-21 Financial Regulation - The New Landscape by Asha Bangalore of Northern Trust
The Senate passed a new financial reform bill on May 20, while the House passed its own version in December. The next step is a reconciliation of the two bills, which should be ready for the president's signature by July 4th. The bills contain elements that will affect consumer protection, systemic risk, ‘too big to fail,’ derivatives, bank regulation, the Federal Reserve, credit rating agencies and securitization, and represent the biggest overhaul of financial regulation since the 1930s.
2010-05-18 Search Engine Marketing for Financial Advisors by Dan Sommer (Article)
How do you take advantage of search engine marketing as a financial advisor? The goal of search engine marketing is to ensure that your website appears on as many results pages as possible for queries that relate to your business, and in this guest contribution Dan Somer explains the details of Search Engine Optimization (SEO) and Pay-Per-Click (PPC) advertising.
2010-05-15 Europe Throws a Hail Mary Pass by John Mauldin of Millennium Wave Advisors
This week's $1 trillion EU bailout is analogous to the US TARP program, and represents a "Hail Mary" last-ditch attempt to save the eurozone. The problems in the EU run deeper than government debt; when private debt is included, overindebtedness is even more striking. Mauldin says the prospects for growth in the EU are dim, the euro will go to parity with the dollar, and the EU will dissolve in the next 5-7 years.
2010-05-11 Tagline, You’re It by Wendy J. Cook (Article)
Have you ever noticed that it can be easier to write a 6,000-word treatise than to come up with six perfect words, like, say, "You're in good hands with Allstate®"? As Wendy Cook writes, sometimes less is more - more frustrating, that is. How do you say a lot with a little in corporate taglines?
2010-05-04 The Future of Consumer Financial Protection by Charlie Curnow (Article)
Among the items that headline the proposed financial reform legislation is a new Consumer Financial Protection Agency (CFPA) that would consolidate regulatory responsibilities for consumer financial products, currently handled by four separate agencies, in one central office. Charlie Curnow looks that the goals of the CFPA and its implications for consumers.
2010-05-04 Alternative Centers of Influence by Kristen Luke (Article)
Just because you haven't had much luck generating referrals from traditional centers of influence (COIs), don't give up your COI marketing strategy all together. COIs don't have to be CPAs or attorneys, says Kristen Luke. They can be anyone who has the ability to influence a potential client to pick up the phone and call you.
2010-04-27 Writing in Plain Speak by Wendy J. Cook (Article)
Wendy Cook specializes in helping advisors write newsletters and create presentations, and in this guest contribution she shares a number of tips to improve your writing skills. Cook is passionate about writing, and her article covers topics such as the importance of brevity and how to tailor content to your audience.
2010-04-27 Four Reasons to Keep Sending Your eNewsletter that No One Reads by Kristen Luke (Article)
If nobody opens your eNewsletter is a waste of time? Not at all! Having your contacts read your eNewsletter to stay informed about your business and educate themselves about their finances is just one possible outcome. Kristen Luke gives four other reasons why you should continue to send your eNewsletter, even if no one is reading it.
2010-04-26 Quarterly Letter by Jeffrey Erber and Eric Brugel of Grey Owl Capital Management
While the stock market paused briefly to catch its breath in January, risk taking was broadly rewarded beginning in mid-February. As we entered March and passed the one-year anniversary of the 2009 market lows, the market took off again. As if it was scripted, the most highly indebted and economically sensitive companies have performed the best during this rally. Financials, in particular banks, have roared. The market has been fueled by consistent marginal improvements in the economy, which have led to expectations of much bigger improvements in coming quarters.
2010-04-19 Goldman SEC Litigation: The End of OTC?; Alan Boyce on the Duration of Fed Open Market Operations by Christopher Whalen of Institutional Risk Analyst
This piece features a comment from Alan Boyce, chief executive officer of Absalon, on the impending end of the Fed Purchasing Program. Boyce says that as FPP ends, there is the real potential for unintended consequences in domestic and foreign markets. If markets were to become unglued, the Fed may purchase more mortgages and Treasury debt. Foreign central bankers will likely snap and become sellers, however, if the Fed decides to monetize more debt. Markets would likely take it as a sign that the Fed is politically unable to exit the mortgage market, or quantitative easing.
2010-04-15 Europe Fiddles, Gold Sizzles by Peter Schiff of Euro Pacific Capital
Much to the relief of jittery global markets, Greece's chronic debt problem has been papered over in a burst of European solidarity and apparent magnanimity. This act of mercy, however, may cost Germany its key position of financial dominance over the European Central Bank, which, in turn, could be detrimental to the long-term health of the euro. And so even though the euro stiffened once the immediate default fears abated, the price of gold was pushed to a new all-time high in euro terms, and a five-month high in dollar terms.
2010-04-13 Unforeseen Pitfalls of Social Media Success by Kristen Luke (Article)
There is a pitfall that is rarely anticipated and only occurs for those who are the most successful using social media, writes Kristen Luke. Social media can create more relationships and opportunities than one person can reasonably handle.
2010-04-06 Ten Steps to Get Started with New Media Marketing by Kristen Luke (Article)
For advisors not familiar with social media (Facebook, Twitter, LinkedIn, Viddler, BlogTalkRadio, and YouTube), Kristen Luke provides a 10-step plan to get started.
2010-04-05 Disclosure? It's Not Good Enough by Dan Ariely of Predictably Irrational
In compliance with a federal integrity agreement, pharmaceutical maker Pfizer released details of its financial involvement with the medical community. Several studies have shown, however, that when professionals disclose their conflicts of interest, this only makes the problem worse. This is because two things happen after disclosure: first, those hearing the disclosure don't entirely know what to make of it, and second, the discloser feels even more liberated to act in his own interest and to disregard the public good.
2010-04-01 Mr. Hu, Tear Down This Wall! by John Browne of Euro Pacific Capital
Over the last few decades, China has built a 'Great Firewall' to keep socially disruptive web content from reaching its citizens. American companies have long acquiesced to this censorship charade in order to have access to China's booming online market. Last week, however, Google changed its mind, shut down its regulated site on the mainland, and redirected users to its uncensored Hong Kong portal. This laudable act of defiance indicates that China's bustling marketplace is straining under its authoritarian political regime. Euro Pacific Capital expects the regime to yield.
2010-03-30 Seven Tips for a Successful Family Foundation by Nancy Opiela (Article)
Managing a foundation's assetswins you the cachet of being seen as helping your clients fulfill their philanthropic goals, and it is extremely lucrative work that can create a practice-building bridge to the next generation.The administrative aspects, as Nancy Opiela writes, can be daunting and she offers seven tips for a successful family foundation.
2010-03-30 Get More Bang for Your Charitable Buck by Kristen Luke (Article)
Whatever your level of involvement in charitable activities, you can probably still do more, writes Kristen Luke. This is especially true when it comes to incorporating your charitable support into a marketing strategy for your own business.
2010-03-25 Do Higher Cigarette Prices Deter Smoking? by Deliana Kostova, Hana Ross, Evan Blecher and Sara Markowitz of VoxEU
Tobacco is a leading cause of preventable death worldwide, and is expected to claim nearly a billion lives in the 21st century. The majority of the tobacco public health burden will be carried by developing countries, due to the unfortunate combination of increasing consumption and health system inadequacy. New evidence shows, however, that developing countries could reduce cigarette consumption by raising taxes. A 10 percent increase in cigarette prices would reduce youth demand by 18.3 percent.
2010-03-23 Three Ways to Enhance Your Facebook Business Page by Kristen Luke (Article)
A business page on Facebook provides you with a way to connect with people interested in your practice without having to use your personal profile. Kristen Luke offers three tips for improving your Facebook visibility.
2010-03-18 You Want China to Float the Yuan? by Eric Brugel of Grey Owl Capital Management
Members of the U.S. House of Representatives sent a letter to the Treasury and Commerce departments urging them to use all available resources to end what they view as damaging currency manipulation in China. These congressmen are pandering to concerned workers, while ignoring the fact that their constituents benefit from current exchange rates whenever they buy cheap goods from China. While a higher RMB/U.S. dollar exchange rate may be politically popular, it would lead to higher real costs, higher inflation and higher interest rates in the U.S.
2010-03-13 Postcard from Southeast Asia by Sharat Shroff of Matthews Asia
Asian entrepreneurs are confident about their long-term prospects. Despite this confidence, however, some countries still need to develop stronger institutional frameworks. Billions of dollars worth of new projects for an industrial zone in the Gulf of Thailand have been halted since an environmental lawsuit was filed two years ago. And failings associated with the 2008 government bailout of Indonesia's PT Bank Century point to institutional weaknesses in that country. Failure to address these institutional issues could cost Asian economies crucial capital from foreign investors.
2010-03-09 The New Rules of Marketing - A Roundtable by Dan Sommer (Article)
Given the ever-shifting landscape of information consumption and consumer behavior, financial advisors have been forced to change their thinking about the way they market themselves. In this guest contribution, Dan Sommer speaks with two investment professionals who answer a series of marketing-related questions for advisors.
2010-02-09 Transforming Your Business with an Integrated Solution by Marie Swift (Article)
Marie Swift evaluates the various systems and processes that are kicked-off at a typical firm from one of the most common client interactions - an inbound call. Many firms work with disparate software systems and utilize far too many manual tasks - resulting in duplicate data entry and poor customer service. Conversely, Marie evaluates this same scenario utilizing an integrated software and services solution, Tamarac Advisor 9, and finds dramatic gains in efficiency, accuracy and overall firm profitability. We thank Tamarac for their sponsorship.
2010-01-30 This Time is Different by John Mauldin of Millennium Wave Advisors
Mauldin begins with an analysis of the reported Q4 GDP numbers, saying that it is not indicative of underlying growth in the economy. He then comments on the Reinhart-Rogoff book "This Time is Different," focusing on the point that governments can survive debt-fueled growth until confidence in them evaporates. He is discusses Greece's fiscal problems.
2010-01-29 Quarterly Letter by Jeffrey Erber of Grey Owl Capital Management
Jeff Erber says the S&P is now 20-30% overvalued, but “with a no-end-in-sight loose monetary policy this rally could continue for quite some time. “ He discusses his firm’s investment process and add
2010-01-26 Karma Marketing by Kristen Luke (Article)
A few weeks ago, Kristen Luke was speaking with an advisor about the types of marketing his firm does. He listed several standard marketing campaigns, and then went on to tell me that his main marketing strategy is to help others first with their needs. Business tends to follow, and he calls his strategy "Karma Marketing."
2010-01-19 To Trust or Not To Trust, That is the Question by Mariko Gordon (Article)
Last year's financial roller-coaster ride may have you convinced that the less you trust, the better off you'll be. Recent research, however, supports Daruma's Mariko Gordon's long held belief that "too little" trust can be just as detrimental to investment gains as "too much."
2010-01-12 How to Use LinkedIn When Your Compliance Department Says No by Kristen Luke (Article)
For those advisors who are allowed to have a LinkedIn profile but are restricted in their use of the site, there are still strategies that can be utilized to make LinkedIn a valuable sales and marketing tool. Kristen Luke provides four strategies to implement even if you can't use LinkedIn to its fullest potential.
2009-11-10 Not by Return Alone: Judging Investment Performance by Adam Jared Apt (Article)
In the latest installment of his articles intended for an educated layman, Adam Apt addresses the relationship between risk and return, and shows that the connection between them is neither rigid nor obvious, and that we can be cheated of our money by disregarding risk and fixating only on return.
2009-11-03 I am a Fiduciary Financial Advisor by Ron A. Rhoades, J.D., CFP (Article)
The fiduciary standard of conduct is necessary to properly align investors' interests with those of the advisors who serve them, says Ron Rhoades in this guest contribution. Moreover, the fiduciary standard of conduct is not onerous and should not be feared. Advisors who embrace a fiduciary standard of conduct must simply follow the guidelines he sets forth.
2009-10-27 Should You Write Your Own Blog? by Kristen Luke (Article)
If you decide to include a blog in your marketing mix, you can use "canned" material from an outsource provider or you can write your own. Kristen Luke looks at the pros and cons of each approach.
2009-10-06 Five Marketing Lessons from Schwab IMPACT by Kristen Luke (Article)
Kristen Luke recently attended Schwab's IMPACT conference in her home town of San Diego. The three days offered a vast amount of information, and she shares her five favorite marketing lessons from IMPACT this year.
2009-09-22 Three Ways to Market Your Business Using Facebook by Kristen Luke (Article)
Kristen Luke explains three ways advisors can promote their practice through Facebook: utilizing a basic personal profile, creating a business page and creating a group page.
2009-09-15 How to Setup a Facebook Business Page by Kristen Luke (Article)
Facebook is not a good strategy for every advisor, but it may be appropriate for advisors with strong personal and community relationships. Kristen Luke shows how a business page allows you to share information with your "fans" just as you would with your "friends" through your personal profile.
2009-09-08 Advisor Survey Shows Best Ways to Business Growth by Michael Slemmer, CFA (Article)
Many investment advisory and wealth management firms have struggled to increase assets in the recent difficult markets. In order to understand how advisors feel they are faring - and the keys, and obstacles, to success - we partnered with Advisors Trusted Advisor to survey advisors on the state of their business-building efforts.
2009-08-18 New Rules of Growing Your Book of Business: Microblogging with Twitter by Dan Sommer (Article)
Twitter has quickly become one of the fastest-growing and most talked-about marketing channels on the web. In this guest contribution, Dan Sommer explains how this rapid growth and wide adoption across many demographics makes it ideal for financial professionals looking for new ways to reach potential clients and build thought leadership.
2009-07-21 SIFMA’s Proposed by Ron Rhoades (Article)
On July 17, 2009, the Securities Industry and Financial Markets Association ("SIFMA") announced that its Private Client Group Steering Committee unanimously supports a new federal fiduciary standard for broker-dealers and investment advisors, embracing a proposal advanced by the Obama administration a week earlier in a draft of the "Investor Protection Act of 2009." Ron Rhoades looks at whether this shift in direction by SIFMA poses a radical change in business models, or whether the "new federal fiduciary standard" is something else in disguise.
2009-07-21 Taking Care of Compliance by William G. Mulligan (Article)
Without technology and automation, compliance will consume valuable time and resources. Even when things go relatively well, important regulatory obligations and requirements often fall through the cracks. William Mulligan of HedgeOP argues that getting the right tools in place doesn't just simplify a firm's regulatory responsibilities; it also sends a strong message to clients that the firm is trustworthy, operationally sound and up-to-date with its fiduciary responsibilities.
2009-06-23 New Rules for Growing Your Book of Business: Reach Clients and Prospects Through Their In-Boxes by Dan Sommer (Article)
E-mail marketing is no longer a new marketing channel, but if used effectively it can become a powerful marketing and relationship building tool for financial advisors. In this guest contribution, Dan Sommer explains the benefits of e-mail-based marketing and provides tips to get started down this path.
2009-06-16 What Separates Great from Ordinary CRM Systems by Gary Kinghorn (Article)
In this guest contribution, Gary Kinghorn of AdviceAmerica says that effective CRM system must be centralized applications where all team members can view, share and update information, such as client tasks, documents, data and portfolios. This ensures everyone has current and accurate information at a glance.
2009-06-02 Helping Advisors Grow by Susan Weiner (Article)
George Tamer, Director of Institutional Sales at TD AMERITRADE Institutional, discusses the innovative strategies advisors are using to add clients and improve profitability. Tamer is also seeing an upturn in merger activities, and describes how advisors looking to buy or sell a firm can best position themselves. We thank them for their sponsorship.
