Kristin North, Vice President, Institutional Sales - TD Ameritrade - On Articulating Your Value

In a nutshell:

"At TD Ameritrade Institutional, we coach our clients -- financial advisors -- on various techniques and methodologies they may use to engage their clients and prospects.  Miller Heiman's Conceptual Selling Methodology can help anyone in a selling situation understand what is truly important to their clients.  Once a client's "concept" is understood, it is then possible to create a solution that will hopefully fulfill their need(s).  It's always important to realize that clients are primarily motivated by the need to "fix, accomplish, or avoid" an issue at hand.  By asking meaningful, probing questions and then carefully listening to the answers you can build credibility and work together with your client to create win-win solutions.

Additionally, it is important to incorporate the concept of working with buying styles.  By understanding an individual's buying style, it is much easier to tailor your own selling style to their needs. There are 4 primary styles to consider:

The Commander - likes to be in charge, is often guarded, and has a low tolerance for feelings, attitudes, and advice of others.  In order to engage this type of client, the focus needs to be on facts and the dialogue needs to be clear, direct, and formal. 

The Analyzer - is often soft-spoken, asks lots of detailed questions, and uses few gestures.  An Analyzer wants organization, documentation, and detailed facts to make a decision.

The Performer - is very enthusiastic and spontaneous, talks a lot, and laughs easilty.  This individual needs their ideas to be supported, a high level of energy and a perceived audience to commit.

The Empathizer - avoids risk and change, won't easily commit, needs signficant relationship building.  To effectively work with this type of client, you must understand that an empathizer takes things very personally, address any of their concerns, and show sincere interest in them.

The sooner that you can understand both a client's "concept" and understand their buying style, the more quickly you can mold your solution to meet the needs of that client and secure the relationship and a solution (or sale)."

Learn more about Kristin and TD AMERITRADE at www.tdainstitutional.com.

Ed Jacobson, Ed Jacobson & Associates - On Articulating Your Value

In a nut shell:

"The aim is to build a positioning statement – and a practice -- based on your positive core:  the person and professional you are when you are at your best.

Think about your most valued (cherished) client relationships where:

1. You clicked with the client;
2. You were at your best, when with them; and
3. You delivered more than you even dared promise.

What was there about them? About you? About the chemistry?

What do people turn to you for, because they know you’ll come through? (Note: this could be something people have always turned to you for, even as a child, or of more recent vintage.)

Clients? Family? Friends? Colleagues?

What skills, talents, qualities do you prize most about yourself?

Six Things to Do When You’re Anticipating Being Asked, “What You Do?”

1. Remember to breathe – and not just once!
2. Smile. (It will make you attractive, and fool your brain into thinking you’re relaxed and happy.)
3. Recall a client who is irrationally exuberant about you.
4. Imagine that you’re going to be in conversation about your work, and the other person will be fascinated and intrigued, and time will fly by; keep that image of success in mind. (Keeps your amygdale from firing, and hijacking your relaxed alertness.)
5. Be curious about, interested in, and fascinated by them; ask questions that reflect that interest. They will think you’re intelligent, empathic, and a good person to be around.
6. Remember: even though they’re asking about you, it’s not about you: they’re asking if you can solve a problem or make their circumstances better.

MY POSITIONING STATEMENT

What do you do?

Do you know how so many advisors are searching for a way to take their practice and their business – and maybe their life – to the next level, whatever that is for them?

Well, I work with them so that we get very clear on their great strengths, and their proven successes, and on what that next level really looks like. Then, we create ways to leverage those best qualities so they can be successful in getting to that next level – or beyond.

How do I do that?

I create a climate where it’s safe and even exciting for them to explore who they are when they’re at their best, and what they truly want—as individuals or as a firm.

Very often, that means I change the focus of their internal and external conversations from weakness, failure, and doubt to proven successes, positive possibilities, and realistic optimism. That way, my clients become inspired and catch fire, which gives them the drive and courage to take risks for success.

I have mastered a wide range of approaches, and have decades of experience with individuals and firms, which makes me confident that I deliver for (and with) my clients. They sense this, and they trust me to select the right method or tool at the right time."

Learn more about Ed and his Appreciative Financial Planning methodologies at www.edwardjacobson.com. 

Gary Klaben, ChFC, Coyle Asset Management Company - On Articulating Your Value

In a nutshell:

"We focus on the needs of our clients. We do not add new technology, process or system without first asking: Will this help our clients gain greater clarity, improve their lives or eliminate a danger they are encountering? We provide deep support and act as an advocate for our clients. We are in the service business that is based on leadership, a strong relationship and ever increasing new capability. We are the first phone call. We are either a family CFO, coach, ombudsmen, advisor or consigliore to our client families."

Hear Gary's comments by watching the video below. Visit www.protinuspro.com, Gary's second business (an intellectual property company providing custom service offerings that help financial advisors deliver deep support to their clients) to learn more about the mindmapping software he's developed.

Kim Jones, CFP, Jones Strategic Financial Planning - On Articulating Your Value

In a nutshell:

"I help people feel happy about their money by providing them tools to organize their financial lives so that they can have confidence in the future.  Most people have some concern about their money that causes them to feel unease.  It seems to me that money can’t buy you love or happiness.  But having your financial life in order can give you options and it’s those options that give you freedom and peace of mind.  What about your money causes you concern?

This puts the ball in the prospect’s court. Many people laugh and say, “My biggest money problem is I don’t have enough!”  If they say that I ask them to tell me more about that.  What does not having enough money mean?  What’s enough?  They then usually disclose a more precise concern such as their finances being in chaos. They don’t have enough money because they haven’t made good investment choices or because they’re not getting enough income from their investments.  They have too many accounts in too many places.  They have old 401k’s that they think they probably need to roll over.  Or, they just don’t know where their money goes.  The point is, whatever they say, it is their concern.  It’s not my agenda.  And, it’s not me providing a solution before I even know what’s bothering them.  Once I’ve heard their concern, then I describe how I can help."

Listen to Kim's comments. Visit www.garrettplanningnetwork.com to learn more about the "all american planners" network to which Kim belongs.

Andy Millard, CFP, Millard & Company, Inc. - On Articulating Your Value

In a nutshell:

"Our market is retired couples and individuals whose adult children are scattered across the country. They need a reliable, trustworthy financial partner who can stand with them to help manage their assets and make smart decisions. Our slogan is 'Low-stress portfolio management for cautious investors.' (We own the trademark for the term "Low-Stress Investing," and I have published a book under that title.)"

Listen to Andy's comments at #FPA2010. To learn more about Andy's practice, visit his Website. 

Chip Workman, CFP, The Asset Advisory Group - On Articulating Your Value

In a nutshell:

"Internally, our mission and purpose is to provide financial and emotional security for like-minded individuals and their families.  We accomplish this through comprehensive financial and life planning and disciplined investment management.

We have been shifting how this mission is communicated to the outside world by integrating right-brained concepts and verbiage in our typically left-brained driven minds.

In other words, while our core values as an organization have not changed, we are in beta testing phase with our positioning statement as we work to make the value we provide our clients that much clearer.

Our Positioning Statement:

We provide guidance and planning surrounding the financial implications of our clients’ life goals.  We serve individuals and families seeking to protect their lifestyle, help their families, achieve comfort in retirement and build a legacy for the future.  With regular checkups, our clients are free to go about accomplishing their goals, knowing that their financial matters are in the hands of someone they trust and know to always have their best interests in mind.  We are the good guys, and we are not afraid to admit it. 

Those terms speak much louder to our clients, prospects and other centers of influence that we work with as opposed to terms like investment management, insurance, retirement and estate planning.  Yes, most everyone we work with needs all of those things, but, in their minds, it’s what those things do, not what they are, that’s more important."

Unfortunately, Chip's video clip did not save down to the camera correctly. We are happy that he was able to reconstruct some of what he shared at #FPA2010 by providing the written comments above.

Chip writes a blog for FPA. His website is www.taaginc.com.

Roger Wellington - Kinder Institute of Life Planning - On Articulating Your Value

In a nutshell:

The Kinder Institute of Life Planning trains advisors to talk with clients in a broader way than just focusing on the numbers side of financial planning. Here Roger Wellington, Kinder Institute Executive Director, shares his thoughts on best ways to communicate your value to current and prospective clients.

"The Life Planning approach to wealth management is often difficult to encapsulate quickly.  And if it takes you a paragraph to describe how your holistic approach differs from others, you’re likely to have lost your audience.  One of the pithiest summaries of Life Planning I’ve heard is as follows,  'We help clients explore how to use their money to make a life instead of using their life to make money.'”


Learn more about Roger and the Kinder Institute at www.KinderInstitute.com.

 

Live Tweets from #FPA2010 by @marieswift

To make the session more fun - and to help FPA Members who could not attend the session in person get the gist of what was happening in the Twitter Live! session - Marie Swift did some "tweeting" live during the session.

Here is the Twitter stream that resulted - plus a few other #FPA2010 related tweets generated by her: 

Tom Rabaut #FPA2010 coaching provided by TD Ameritrade practice management team has made a difference for him in communicating his value. Focuses on life transitions. Process for sudden changes. 11:19 AM Oct 11th via web  



Andy Millard #FPA2010 is embracing social media through email blast on Monday morning that ties to his video blog www.andymillard.blogspot.com 11:16 AM Oct 11th via web

Andy Millard #FPA2010 specializes in working w/ retired clients. Offers low stress money management for cautious investors. Goal: work thru $ issues 11:15 AM Oct 11th via web

 
Gary Klaben at #FPA2010: Talks about their financial advocacy process. We serve as Family CFO. Take from complex state to simple state. Partners with clients. 11:13 AM Oct 11th via web
 


Gary Klaben #FPA2010: Ask about their meaning, values & principles. People love to talk about these very important issues for them. Takes 1-4hrs 11:11 AM Oct 11th via web

 
Gary Klaben speaking at #FPA2010 how he communicates value to prospects. What is it he sees in them? Frustrated. Complex lives. Clients feel powerless. 11:10 AM Oct 11th via web 


Ed Jacobson at #FPA2010 - Have picture of a client in your mind who is irrationally exhuberant about you. What would they say? How do you feel? Craft your positioning statement by thinking about that. 11:06 AM Oct 11th via web 
 


Ed Jacobson speaking at #FPA2010 says anticipate what you will say when asked what you do. Remember to breathe. It will calm and center you. Smile! 11:05 AM Oct 11th via web 
  


Ed Jacobson: Think about who you work w/ best, where you are at your best. You will develop better positioning statement if get in that mindset #FPA2010 11:04 AM Oct 11th via web 
  


Ed Jacobson speaking at #FPA2010 at Twitter Live Positioning Statements session live in exhibit hall. RE: How to think about your work. 11:02 AM Oct 11th via web

Ed Jacobson: Client meeting an opportunity for you to shine as their trusted advisor and deepen the conversation. #fpa2010 11:01 AM Oct 11th via web

Kristin North practice management consultant with TD Ameritrade says there are gender differences. Women tend to fall on the empathizer side. Men tend to fall on the commander side. #FPA2010 11:00 AM Oct 11th via web 
  


Kristin North TD Ameritrade speaking at #FPA2010 on personality types and how to best work with clients / connecting, articulating value. 10:59 AM Oct 11th via web 
  


@marieswift gave example advisor who positions self as human GPS system - charting course & there with clients every step of way, come what may. Encourages advisors to draw "word pictures" in the listener's mind. #FPA2010 10:58 AM Oct 11th via web 
  


Kristin North TD Ameritrade says advisors can use conceptual selling to connect w/ clients & prospects. Doing live positioning stmts now in exhibit hall Learning Center #FPA2010 10:56 AM Oct 11th via web 
 


Roger Wellington of the Kinder Institute says planners cannot lead with a "money conversation" when trying to communicate w/ prospects at #FPA2010 10:53 AM Oct 11th via web

Kim Jones says at #FPA2010 - I help people feel happy about their money, give them tools to help them feel good about their future. Money = options.

Chip Workman says at #FPA2010 says to provide guidance & planning around clients life goals. Keep their best interests in mind. Do not be afraid to say you are a good guy in a white hat.

Eavesdropping on the #FPA2010 conference via @RIAbiz http://bit.ly/98O9sh by @marieswift

@marieswift and her team are proud to be working w/ industry thought leaders such as Influencer Award winner Myra Salzer…http://lnkd.in/U3ZEqJ

@marieswift with @lindner_capital at #FPA2010 after party post exhibit hall http://twitpic.com/2xot

Join @marieswift via Financial Planning magazine discussion boards. Add your thoughts on rebuilding trust www.tinyurl.com/FAtrust #FPA2010 8:33 AM Oct 11th via web

Join @marieswift today in the Learning Center (back of the Exhibit Hall) at 11:45 am MST today at #FPA2010 and talk about articulating value 8:30 AM Oct 11th via web

RT @MichaelKitces Deborah Fox's college program is very popular. Just finished, and she's mobbed with people asking even more questions! #fpa2010 Mon Oct 11 10:33:57 2010 via TweetDeck Retweeted by marieswift

RT @juanros Don Trone on fiduciary ethos: "Through the eyes of your clients, you have to be viewed as a leader." #FPA2010 Sun Oct 10 15:10:26 2010 via Twitter for iPhone Retweeted by marieswift 

 
Join @marieswift via Financial Planning magazine discussion boards. Add your thoughts on rebuilding trust www.tinyurl.com/FAtrust #FPA2010 Mon Oct 11 10:33:29 2010 via web 

 
 Join @marieswift today in the Learning Center (back of the Exhibit Hall) at 11:45 am MST today at #FPA2010 and talk about articulating value Mon Oct 11 10:30:27 2010 via web 
 


@MichaelKitces Congratulations on your Influencer Award! It was great seeing you and your wife last night at the Financial Planning party! Mon Oct 11 09:57:29 2010 via web in reply to MichaelKitces 
 


RT @fpapubs: Daily Pulse now online! Check out photos of your colleagues and session highlights from #fpa2010: http://bit.ly/c308Oj. 7:56 AM Oct 11th via web 
 


@finplan what a lovely evening! Enjoyed attending/seeing everyone at the inaugural Influencer Awards at @FPA2010 http://www.bit.ly/cxCQC1 12:41 AM Oct 11th via Mobile Web in reply to finplan 
 


Myra Salzer named Technology Wizard at @finplan magazine's Influencer Awards Party while at #FPA2010 12:36 AM Oct 11th via Mobile Web 
 

Sheryl Garrett named Practice Management Guru at @finplan magazine's Influencer Awards party while at #FPA2010 12:34 AM Oct 11th via Mobile Web 
 


Tom Bradley at #FPA2010 says choice for consumers re fees is good. Explain clearly. Let them choose. 1:39 PM Oct 10th via Mobile Web 
 


Tom Bradley spkg at FPA2010. Systemitzed referrals a key component for success. Also use Funnel Management system to priortize prospects. 1:35 PM Oct 10th via Mobile Web 
 


Tom Bradley speaking at #FPA2010. Says advisors need to build more efficient businesses. Example - use portfolio rebalancing software. 1:30 PM Oct 10th via Mobile Web 
 


Join @marieswift & luminaries Don Trone George Kinder Ed Jacobson Geoff Davey George Tamer Julie Littlechild at #FPA2010 10/10 8 AM room 206 11:46 PM Oct 9th via web 
 


@ddjfjy Great having you in the Web 2.0 and Social Media Boot Camp today, Dan! Your new blog looks fabulous. Amazing what you accomplished. 11:40 PM Oct 9th via web in reply to ddjfjy 
 


Just getting back from after party hosted by @marieswift after #FPA2010 official functions ended tonight. Great seeing new friends and old! 11:36 PM Oct 9th via web 
 

@marieswift & @fpaassociation had surprising number of walk-in registrations today at Web 2.0 and Social Media Boot Camp pre-con at #FPA2010 11:35 PM Oct 9th via web 
 


#FPA2010 off to a great start! Dan Ariely, author of "Predictably Irrational, very funny but thought provoking in opening keynote speech. 11:32 PM Oct 9th via web 
 


@calebbrown is telling us at the Speaker Spotlight #FPA2010 that he will share how to hire NextGen Planners during his session Sunday 10 am. 5:10 PM Oct 9th via web 
 


@cicilymaton will speak at #FPA2010 on Tuesday 8:15 am on working with a therapist. Will share success stories from her practice, tools. 5:08 PM Oct 9th via web 
 


@lindastimak says her session will help FAs gain sustainable growth. Don't miss finding out what your DNA Footprint is on Tuesday #FPA2010. 5:06 PM Oct 9th via web 
 

@lindastimak giving preview of her Rainmaker session to happen Tuesday a.m. She is speaking live right now at Speaker Spotlight at #FPA2010 5:04 PM Oct 9th via web 
 


@gradycash is live speaking at Speaker Spotlight at #FPA2010. Giving preview of session he will give with @rickkagawa. Startling statistics! 5:03 PM Oct 9th via web 
 


@gradycash will talk with @rickkagawa on Managing Health Issues for Aging Clients at #FPA2010. 5:01 PM Oct 9th via web

Dr. Jacobson's frame work includes 4 phases and action steps, tools at his session Tuesday morning at #FPA2010. Life Abundance Portfolio. 4:59 PM Oct 9th via web 
 


@edjacobson speaking at #FPA2010 Tuesday morning. Reengergize Relationships with Client Review Meetings. Dr. Ed is fantastic speaker, Ph.D. 4:57 PM Oct 9th via web

Marie Swift, Impact Communications - Welcome

Welcome to Twitter Live! with the Industry Thought Leaders. My name is Marie Swift. I am president and CEO of Impact Communications, a full-service marketing and PR firm for independent advisors and the institutions that serve them.

We are celebrating the 40th anniversary of the financial planning profession. My how things have changed in just the past 20 years that I have been a part of the industry. I remember doing business before their was anything called “email” or “the internet.”

Today Twitter is all the rage. And since FPA has always been progressive, we decided to try something new this year – we’ll be combining the best of “high tech” with “high touch” here at Twitter Live.

20 Industry Thought Leaders are here in the audience. They will each come to the microphone and in 2 minutes max share the #1 thing that, from their perspective, advisors should be thinking about – or doing – as we round the corner into 2010 and beyond. I will ring this small chime 3 times to indicate that there are only 30 seconds left in the allotted time slot. I will ring the chime once when time is up. And I will be forced to use this gong if the Thought Leader just won’t stop – that’s doubtful, but you just never know when passionate people start speaking.

We have set up a Twitter page so you can sign up to follow all the great ideas that today’s Thought Leaders will share – and the other great information that FPA wants to share with you. Just go to http://www.twitter.com and sign up for a free account. Then follow “fpassociation.” So, the Twitter feeds will be found at http://www.twitter.com/fpAssociation.

We will also be video taping today’s contributions. You can find the video blog entries at http://www.fpatwitterlive.blogspot.com.

I hope you will take notes, follow the blog and twitter feeds, retweet the things that interest you and leave comments on the blog. Let’s start a dialog online – and include the other people who could not for some reason be here with us live.

In addition, if you want to speak further with the Thought Leaders here today, come by Booth #651. There you will find many of the 20 people who will be speaking here today.

To follow me on Twitter: @marieswift (http://www.twitter.com/marieswift) To follow my blog: www.marie-swift.blogspot.com.

Thanks for being here. Let’s get started!

Liz Weston, Journalist LA Times / Author "Your Credit Score"

I’m Liz Pulliam Weston, the most-read personal finance columnist on the Internet and author of the book, Your Credit Score, and I believe credit will be the big story for 2010.

We’ve already seen a revolution in the credit card industry, with issuers doubling or tripling rates, lowering credit limits and shuttering accounts even for customers with great credit scores and perfect payment histories.

This is pushing many over the financial edge into bankruptcy, and threatening the credit scores of others by reducing their available credit. Those who still have good credit need to know they have the power to fight back against these changes, or take their business elsewhere, since customers with credit scores of 740 and above are still in high demand.

If the economy continues to shed more jobs than it creates, defaults will remain high and issuers cautious about extending credit to anyone with less-than-exceptional scores. Expect truly good balance transfer offers to get scarce and rewards deals to get less appealing for all but the sterling-credit class.

New rules mean people under 21 will have a much tougher time getting a credit card starting in February—but they will still need good credit scores to get decent apartments, insurance rates and car loans when they’re out of school. Parents need to think about whether they want to co-sign for a card or add a child as an authorized user to one of their own accounts. This is a child-by-child issue—co-signing can work for the most responsible but could be a disaster otherwise.

If your clients have credit card debt, they should fix their rates now by paying off their debt with a three-year, fixed-rate personal loan from a credit union, where those with good credit can get a fixed rate of 10% to 11%. Other alternatives: social lending sites such as Prosper or Lending Club.

If they can’t pay off the debt within three years, they need to talk to a legitimate credit counselor and possibly a bankruptcy attorney. The old days of easy credit aren’t coming back soon, and strapped borrowers need to realistically assess their options rather than continue to struggle with unpayable debts.

You can learn more at www.asklizweston.com

Mary Zimmerman, Path Financial / Kinder Institute of Life Planning

Hi, I’m Mary Zimmerman. I’m a Certified Financial Planner® professional and Registered Life Planner ™. I’m proud to be a founding member of the Kinder Institute of Life Planning and was the first certified faculty member of the institute in the United States. I serve on the Board of the Greater Phoenix Financial Planning Association as Director of Public Awareness.

The one big thing all advisors should anticipate is managing change.

How do we do that? When we invest time with our clients, deepening our relationships with them, we find out what is most important in their lives.

As their trusted advisor, we understand their goals of keeping the family home or putting a premium on education. As a result, we put structures and safeguards in place to help protect our clients’ priorities.

We should walk side by side with our clients through change. Change isn’t always easy, and your guidance and support will help them through a difficult time.

Remember to
1) Be nimble. Change doesn’t just affect our clients; it affects us, our families, our societies, and our planet.

2) Be alert. If one of your clients wants to “go green,” and you know about cash for clunkers or energy credits for heat pumps, alert them!

3) Be enthusiastic. Crackle with ideas that support and encourage our clients’ dreams. For example, a middle class client, working for Southwest Airlines wants her parents in Milwaukee to have a driver. You can encourage your client to trade driving for buddy passes.

4) Be still. Make sure to have some quiet time. Just like I tell my grandchildren, it’s good for the soul.

If you have any questions, you can contact me via my financial life planning practice, PATH Financial Strategies, LLC., at mary@pathfinancialstrategies.com, or via the Kinder Institute's Find a Life Planner map at www.KinderInstitute.com.

Deena Katz, Texas Tech University, Evensky Katz Wealth Management

I’m Deena Katz, Associate Professor at Texas Tech University and Chairman of Evensky & Katz Wealth Management.

It’s a new world. After many years of negative returns, the past year of significant recession, and an unprecedented array of investment scams and fraudulent activities, we are now in a new world, a regulatory world that will set off a sea change of events like we have not seen in our lifetimes.

Be prepared. The latest draft of the Investor Protection Act of 2009 makes it clearer that the SEC must adopt rules setting a fiduciary standard for advisers and brokers providing investment advice to retail investors. It now states that the standard of conduct “shall be to act in the best interest of the customer without regard to the financial or other interest of the broker, dealer, or investment adviser providing the advice.”

Most people, who are afraid of accepting fiduciary responsibility with regard to the client relationship, interpret “fiduciary” in purely legal terms only. They worry about litigation in being held to a “trust” standard. They explain that they cannot be an agent of their firm and a fiduciary to their client. But, if we look at the FPA’s Standards of Care, there are five simple statements, that considered separately, are nearly impossible for anyone to raise serious objections:

1. Put the client's best interests first.
2. Act with due care and in utmost good faith.
3. Do not mislead clients.
4. Provide full and fair disclosure of all material facts.
5. Disclose and fairly manage all material conflicts of interest.

This, my friends, these are the definition of Fiduciary.

As you look toward 2010, remind yourself that in this New Regulatory World, we will be regulated. If you want to have a voice in that, contact your local representatives, volunteer and support advocacy at FPA. And finally, remember, all professions are regulated. And, we are a profession.

If you'd like to hear more of my thoughts, I write a regular column in Financial Planning magazine.

Julie Littlechild, Advisor Impact, Client Audit

Hello – my name is Julie Littlechild and I’m the President of Advisor Impact and the creator of the Client Audit, a client feedback tool for financial advisors.

The #1 thing that I believe advisors need to do is to clearly define and communicate their value to clients. And I think I’m backed up by the more than 70,000 clients we’ve surveyed over the last several years about what they need, want and expect.

The good news is that overall satisfaction has held strong in the last year. The bad news is that it doesn’t matter that much. What we’ve found is that there are two groups of clients. Both groups would define themselves as satisfied, overall, and both would describe themselves as dissatisfied with investment performance. That’s where the similarities stop. For the first group their dim view on the market is creating a negative halo – they said they have no confidence in their plan for the future and don’t feel their advisor has managed the relationship proactively. The second group, however, may be dissatisfied with investment performance but can see their plan forward and feels the advisor is managing the relationship. Advisors with more clients in the second group have done a better job of defining their value and creating a disconnect between market performance and the value of advice. In the process, those advisors have reduced risk.

So what can we do? I believe that advisors need to define and then communicate their value. They need to be able to clearly explain to clients what they do for them in words that are meaningful for clients. They need to document that value, from fundamentals such as contact levels to descriptions of the planning process. Consider creating a service agreement as a tactical approach to communicating your value. Research shows a clear connection between client engagement and knowing what kind of service they can expect. We also know that if your clients can’t clearly describe the value you provide, they’ll never be in a position to tell anyone else, and that will have an impact on referrals.

If you’d like to learn more about our Client Audit process, visit www.advisorimpact.com

Sheryl Garrett, Garrett Planning Network

Hi, I’m Sheryl Garrett, founder of the Garrett Planning Network - a network of fee-only advisors offering hourly, as-needed financial planning.

The number one thing I want advisors to be thinking about is that our emerging profession is on the verge of–potentially–the most important re-regulation of investment advisors ever. The public at large has little or no understanding of what a financial planning professional does, nor do they have faith in the financial markets or financial advisors.

To truly evolve into a respected profession, we must get politically active now! The proposed re-regulation of all those that render investment advice needs to be clear, powerful and client-centered. To truly emerge as a profession, we must make competent, objective financial advice accessible to ALL people.

We must have regulatory reform that ensures that all consumers of financial advice can trust that advice to be rendered by competent fiduciaries. Our society is desperate for quality advice from professionals they can trust to put their best interests first, always!

If you’d like to talk further about this issue, or learn more about the Garrett Planning Network, please contact me through my website, www.garrettplanningnetwork.com

Blaine Aikin, Fiduciary360

Hi. I’m Blaine Aikin, CEO of Fiduciary360, an organization focused on promoting a culture of fiduciary responsibility and improving the decision-making processes of investment fiduciaries.

The #1 thing advisors should have on their mind is that soon, every advisory relationship will need to be treated as a fiduciary relationship. This change is happening, and soon will be made necessary either through new legislation and regulation or because the market will demand it. Either way, advisors need to be prepared for it.

The debate on financial regulatory reform has moved beyond whether or not a fiduciary standard will apply for advisory relationships, and on to how it will be applied and who will be charged with oversight. Once the details are decided comes the task of compliance. But advisors who are already following processes to the highest standard possible won’t have to worry about playing catch up.

Meanwhile, the financial crisis has caused investors to become more distrustful, while also becoming more informed than ever. Those advisors who are fiduciaries are reaping the benefits as more new clients want the assurance that a fiduciary standard of care provides.

Implementing fiduciary processes now puts advisors both ahead of the compliance curve for when a fiduciary standard is implemented and gives them a competitive advantage for new clients.

If you’d like to learn more about this important issue further, I invite you to visit www.fi360.com

Bonnie Hughes, American Capital Planning.com, Financial Planning Association Board of Directors

Hello, I’m Bonnie Hughes, Principal at American Capital Planning.com and a member of the Financial Planning Association Board of Directors. I’ve been asked to share some insights with my colleagues as we look out into the next year and I think the main point I’d like to focus on is how planners might serve markets other than the high net worth market. Planning is a sharing profession. I have been fortunate to get to know many planners through conferences, industry events, and visits to their offices. I’ve had time to dig deep into what works for them and where challenges lie in serving those that planners may assume cannot or will not pay for financial planning services. During my own career I have consistently straddled the world of serving high net worth clients and everybody else.

Planners can help change the public’s perception of financial planning by engaging the press and local employers. Rules of thumb seen in the press can be useful as a starting point but rarely serve as a solution on an individual basis. Share case studies with reporters while still protecting your client’s privacy. We know from good research that employers benefit from having the full attention of their workers and if they are distracted by their money problems, they will be less productive at work.

Developing a business model to serve folks starting out who do not have a complex situation could be done on a renewable flat fee basis. We know that 70 to 140 people can be served by a planner during a given year. Charging $1,500 for an initial plan brings revenue of $105k - $210k. In the first year and thereafter, a monthly charge of $99 brings another $83k - $166k. A four person office working this way sharing resources is a workable model. Offerings for the monthly charge might include exclusive access to a quality newsletter, private blog, webcasts and webinars and 4 hours of your time with each client.

But building it and hoping they come won’t work. We all need to work together to change the idea that planning is only for the wealthy. Planning is for anyone who wants to make informed financial decisions for themselves with the guidance of an experienced, ethical, and educated planner.

You can learn more about me and my firm at www.americancapitalplanning.com.

Randy Gardner, Gardner Financial Planning, Inc.; Professor, Tax and Financial Planning, University of Missouri, Kansas City

Hi. I’m Randy Gardner, Professor of Tax and Financial Planning at the University of Missouri – Kansas City, contributing columnist, with Leslie Daff, for The Journal of Financial Planning, author and editor of several books at the on-site bookstore, and President of Gardner Financial Planning, Inc. My firm performs tax and estate planning services for financial planners and their clients across the country.

The #1 thing advisors should be aware of during the next year is evolving government policy, with its opportunities and threats.

I have been advising clients over 30 years and have not seen a more proactive executive branch than in the past 8 years. Proactivity has its pluses but also its minuses.

Recently, government policy has created windfalls for our clients with 15% (and maybe 0%) dividend and capital gain rates, $250,000 immediate expensing allowances for business purchases, $8,000 refundable credits for home purchases, and “Cash for Clunkers” programs and deductible sales taxes for vehicle purchases. Act quickly though; these government giveaways do not last long.

The executive branch’s need for revenue to accomplish its goals is apparent to all, but less apparent are the heavy handed tactics the executive branch is using to increase revenue. IRS audit rates are climbing; offers in compromise are denied more frequently than ever; and, if the executive branch does not get its way with Congress or the courts, it legislates through the issuance of Regulations, not only a bad precedent, but a violation of the Constitution.

The government is about to respond to some of the critical issues facing the country – the health insurance crisis with its implications for Medicare and Medicaid, the “lack of” retirement savings crisis and Social Security, and the estate tax. What form will these responses take, and at what expense?

As a financial planner, I feel my role is evolving to that of a watchdog for my client’s resources. Some days, I am reading tax updates looking for coupons my clients can cash in. However, on most days, I am keeping the government away from my clients’ doors with solid compliance and well-executed strategies.

You can contact me through UMKC.

Deborah Fox, Fox College Funding, Fox Financial Planning Network

Hello. My name is Deborah Fox. I have been a practicing financial planner for 25 years and have personally coached many financial advisors all over the country. I am best known in our industry as the founder of Fox College Funding, a specialty planning company. Just this year, I have introduced a new training program for financial advisors called Fox Financial Planning Network, a complete financial planning delivery system. If you want to learn more about me or my programs, just put “Deborah Fox financial planning” in a Google search or stop by booth #651 – “The Industry Thought Leaders’ booth”.

My message today is “Systematize, Document and Delegate.” Over the years, I have come to realize advisors who master and implement these three things are likely to not only have built a best-in-class practice, but also be in a position where they truly enjoy their work and can live a balanced life. Do you feel like you work too many hours and your practice is in disarray? Michael Gerber, author of The E-Myth points out that when most people go into business for themselves, they don’t run a business, they merely create a 12 hour-a-day, 6 or 7 day-a-week job for themselves.

What’s the solution? Every client service you deliver should be systematized, documented and then assigned to a person who is responsible for delivering that service. Whether it’s a back office task or something that is done in front of the client, there should be an order and a system for everything you do. By designing a workflow for your practice and then delegating tasks that you personally shouldn’t be spending time on, you can stop working a job and start living the life of a true entrepreneur by having time for the things that are important to you in your life.

Systematizing and documenting your practice can also make possible for you to offer a higher level of service to your clients and can prevent you from being left in a debilitating position if you lose a key member of your team. Ever since I documented my entire practice, I have been able to focus on the higher level activities of my practice that I am both good at and enjoy doing. This is just part of what I teach through the Fox Financial Planning Network where I literally hand over to you all the documented mechanics of my complete financial planning process.

If you'd like to learn more, visit my website, www.advisortrainingcenter.com.

Mark Pace, ObjectivEdge on Life Insurance as an Asset Class

Hi. I’m Mark Pace, Principal with ObjectivEdge, an insurance asset management consulting firm.

The #1 thing I want advisors to be thinking about is that Life Insurance is not a passive asset. 90% of all life insurance sold in the last 30 years is NOT performing as originally expected. However, we have found that only 25% of these policies merit "replacement," termination, or settlement. Most currently non-performing policies should not be replaced ... because they can often be remediated more successfully than subjecting the client to new fees, loads, surrender charges, and possible diminished returns and/or performance. This result is only possible when applying actuarially-derived tools, techniques and systems - independent of carrier illustrations and non-guaranteed pricing assumptions implemented by competently trained financial professionals. The financial planner is uniquely positioned to fulfill this role.

The perfect storm of reduced industry revenue and increasing policy charges will produce an unprecedented wave of policy crashes. Guaranteed death benefit policies have been all the rage for the last 10 years, but carrier revenue doesn't begin to support these policies in the long-term. While not being able to change pricing on the in-force "block" of such policies, it's anticipated that all current assumption policies (UL, VUL, EIUL) will experience increases in cost of insurance and other expenses - subject to the maximums imposed by the underlying policies. Most consumers and financial professionals have been unaware of the lifetime re-pricing possibilities carriers have contractually reserved for future profit management. Concerned financial planning professionals are ideally positioned to advise clients with proper training and Life Insurance Property Management independent analytical tools.

Whole Life insurance - for lifetime needs - has gained renewed respect as an uncorrelated asset class within an investment portfolio's fixed return allocation. Further, larger needs and policies (typically greater than $5 million) can be optimized into a portfolio of policies with techniques that not only can but SHOULD be applied to the acquisition and asset management of life insurance.

To learn more, visit my website, www.objectiview.com. I also invite you to visit my colleague Dick Weber's website, www.ethicaledgeconsulting.com

Karen Lee, Karen Lee and Associates, Integrated Financial Group, Securities America

Hi. I’m Karen Lee, President of Karen Lee & Associates. My firm is part of the Integrated Financial Group, a consortium of 40 elite advisors and one of the largest branches of Securities America Advisors.

The #1 thing that advisors should be aware of is how common it is for clients to be their own worst enemy when it comes to implementing a financial plan.

I’ve been a financial planner for over 20 years and I can’t tell you how many times I’ve seen clients trip over their money baggage. It’s like an elephant in the room and unless we, as advisors, acknowledge its presence and help clients see how it can cause them to sabotage their best-intentioned plans, we are not serving them well.

Have you ever had a client tell you that he wants to get his kids through college and then retire at 55? Sure - we all have. So you develop a financial plan that will help him do just that. But instead of following the plan, he’s always got an excuse as to why he’s spending the money that he should be saving.

I have found that if I uncover clients’ issues around their relationship with money when I first start working with then, we are much better able to discuss their behavior and avoid some of the things that throw them off track.

As advisors, we are not therapists - nor should we be. But we can develop a protocol with new clients that enables us to ask questions like:

- How were money decisions made when you were growing up?
- Who kept the purse strings?
If I’m working with a couple, I’ll probe for answers to those questions from both partners. I’ll ask them how they make money decisions in their own relationship - which inevitably tells me whether one is a spender and the other a saver.

While we often learn about issues over the course of working with clients, getting it out on the table at the beginning of the relationship is a tremendous advantage in helping them avoid - or at least be conscious of - the traps they might fall into. They are able to be more successful in achieving their goals, which makes me more successful as an advisor.

To read more about this subject, read my article, A Fine Line, in Financial Planning magazine. You can contact me through my website www.karenleeandassociates.com.