A Client Portal For Financial Planners To Build A Business On (55-Second Video)
Wednesday, January 28, 2015 13:35
For IA reps who offer financial planning services, here’s a client portal to build a practice around.
Advisor Products has been providing client portals for a decade and our progress with developing a simple solution has moved doggedly slow. This new version is a breakthrough, however, a giant leap ahead.
Putting Performance In Proper Place
The new Advisor Products client portal puts performance in its proper place, literally as well as figuratel.
You have control of the layout of a client dashboard comprised of widgets that show snapshot reports from portfolio performance apps, documents you want the client to read, and a MoneyGuide Pro plan success rate. By placing the goal-based financial plan widget on top of the page, alongside recent documents you've uploaded for the client to read, you send the message to clients that financial planning is more important than investment performance.
Financial Planning Is Key
As robo-advisors commoditize investment management services, financial planning services represent a safe haven, an excellent business model upon which a financial professional could build a firm. This platform is meant to support that way of thinking.
One caveat: If you’re an active stock or fund manager or have some other way of adding alpha, by the way, that can also be a way of sustaining a professional advice practice. However, you better have a track record and it better be good.
Apart from a small number of advisors with exceptional technical, quantitative, or fundamental research skills, IA reps serving the mass affluent and wealthy will face extreme fee pressure for the foreseeable future.
Leverage Your Natural Abilities
To sidestep the business challenge posed by the commoditization of investment advisory services, you must offer specialized services. Leverage your natural abilities. It may be advising airline pilots in an airline hub city, the self-employed in Denver, or the parents of blind children in Milwaukee.
For example, two days ago, I was talking with a CPA turned advisor, and I showed him how he could use this client portal to create a network of people interested in helping blind children in a major U.S. city. Along the way, I introduced him to Dr. Craig Israelsen of 7Twelve Portfolio and, along the course of a 90-minute phone call, we figured out how to cut his fees by 50 basis points, we named his company and got him a logo. That’s a true story!