Financial advisors have long complained about the difficulty of making money on writing financial plans. But is it really problem? Here's a short survey aimed at helping find out.
In June 2011, I write a post saying that the CFP business model needs help and that planners have a difficult time making money on writing financial plans. The story has received more than 23,000 hits and for months was one of the most popular posts trending on A4A. That post argued that the CFP Board should provide continuing education (CE) credit for practice management to help planners address this business issue.
Last week, after the CFP Board proposed revising its CE credit requirements to provide up to four hous every two years for practice management topics, I applauded the CFP Board taking a step in the right direction but chided the Board for not going far enough.
Today, A4A blogger Sheryl Rowling posted calling on advisors to charge for preparing financial plans and saying it was unwise to regard plan preparation as a loss leader next to investment management. I'm not sure how realistic that is.
To facilitiate the discussion, please take this survey and let us know where you come out on this issue.