ADVISOR CONNECT Insights and Growth Strategies | July 2017
Signs of Change Point to an Advisory Evolution pg. 26
The Power of Integrating a CRM with Your Marketing Efforts, pg. 18 Determining an Effective Investment Solution, Ben Franklin-Style, pg. 8 But C-Shares are Cheaper than an Advisory Account, pg. 28
Establishing a Distinctive Standard of Care Thrive in the New Fiduciary World Welcome to another edition of ProEquities’ triannual publication, Advisor Connect. This communication for advisors highlights important information and ongoing improvements we’re making to enhance the value we contribute to your business. Chris Flint President & CEO
Don’t miss the recently introduced Fast Facts, providing an at-a-glance overview of ProEquities on page 38. This advisor requested piece is approved for use with your clients, employees, or recruits and will help answer the question, “Who is ProEquities?”. The advisor Q&A with Robert Coode (pg. 32) offers a glimpse into what it takes to run an ensemble practice and why you should consider this model. Don’t forget to register for the 2017 National Business Builders Conference in Chicago this September. This “must attend” professional development event is an opportunity to hear from industry experts, including your peers, and share best practices. Learn about new tools, technology, and practice management resources designed to help you thrive in an evolving advice model and operate more efficiently under a fiduciary standard. There will be some award recognition with time for relaxation, celebration, and networking. The new conference format is ProEquities’ national sales conference where several tracks will be introduced for support staff, branch managers, and advisors providing a custom curriculum that matches your needs and individual experience level. Register today. Only a couple of months ago, we announced our new recruiting site at JoinProEquities.com and enhanced our Facebook profile. These digital assets are designed to improve our brand visibility and provide an overview of ProEquities for advisor candidates wanting to explore a new relationship with an investment advisory company and broker dealer. More recently, we launched a significantly refreshed public site at ProEquities.com, including a Protective Securities webpage. Coming next is a redesign of Advisor Portal, your primary site for conducting business with ProEquities. This highly anticipated release is expected to improve your online experience and ease of doing business with ProEquities. We continue our strong progress towards complying with, and helping you successfully operate under, a fiduciary standard. We remain committed to fostering a “consistent standard of care” and to providing appropriate solutions and advice platforms for all investors, regardless of the account type and compensation structure. With constant change in our industry, please use this publication as another way to stay informed and ahead of the curve. My best —
Promote Your Practice and Color Inside the (Compliance) Lines Determining an Effective Investment Solution, Ben Franklin-Style
pg. 16
pg. 32
Q&A with SecondGeneration FA, Robert Coode
But C-Shares are Cheaper than an Advisory Account pg. 8
pg. 28
Contents WEALTH MANAGEMENT Investment Committee Takes a Long-Term Approach to Portfolio Construction
4
RETIREMENT READINESS Hit the Retirement Sweet Spot with Fixed Indexed Annuities
12
CLIENT ACQUISITION The Power of Integrating a CRM with Your Marketing Efforts
18
PRACTICE MANAGEMENT Prosper Through Partnerships — Custom Recruiting Strategy Signs of Change Point to an Advisory Evolution
22 26
RESOURCES AND SUPPORT Destination: Development 36 ProEquities Fast Facts 38
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Our Investment Committee Takes A Long-Term Approach to Portfolio Construction by Chris Phillips, CFA, MBA, Director of Advisory Investments At ProEquities, portfolio construction is a process of taking diverse investments with a variety of risk, return, and correlative properties, and combining them in such a way that builds an efficient portfolio providing the maximum return for a given level of risk. Our Investment Committee serves as your expert portfolio consultants. The goal of portfolio construction is to try and reach the efficient frontier, or the hypothetical optimum combination of a pool of investments. By doing so, you are theoretically reaching the greatest trade-off between risk and return.
LONG-TERM PLANNING MAXIMIZES SUCCESS
The efficient frontier is an elegant way to describe the specific asset management goal that we as financial planners and wealth managers seek to attain for our clients. We’re aiming to earn a desired annual rate of return (to grow their capital and/or produce income) while trying to reduce the level of risk (the annual uncertainty of value fluctuations).
Returns help us achieve client needs, wants, and dreams while risk does its best to complicate that process. Finding the best balance for your clients is an essential part of the construction process. We take a long-term planning approach to portfolio construction as an Investment Committee. We have internal proprietary advisory strategies, and we’re able to assist our financial advisors through one-on-one consulting as they build out portfolios. Contemplating strategic asset allocations, discussing viable asset managers, and helping construct robust investment portfolios are just some of the value-added services the Investment Committee can provide.
Contemplating strategic asset allocations, discussing viable asset managers, and helping construct robust investment portfolios are just some of the valueadded services the Investment Committee can provide. OUR FOUR-STEP APPROACH TO PORTFOLIO CONSTRUCTION INCLUDES: 1. Strategic Asset Allocation Whenever we begin a discussion about portfolio construction, we start with an initial framework, analyzing the longterm, strategic asset allocation. This refers to the mixture of the different asset classes (stocks, bonds, alternatives), styles (large, mid, small and value,
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core, growth), and geographic locations (international, country specific, emerging markets) that we place into our portfolio. Leaning on historical risk/return relationships, sophisticated optimization tools, and fundamental analysis, we are able to develop strategic asset allocations that meet different risk/return requirements.
lizing scenario analysis, or moving pieces of the portfolio around in different ways to see how they may change the overall longterm risk and return characteristics. Returns are important but so is risk, and if there is a way that we can reach a given level of return with less risk, then we’re willing to try and find that solution. This analysis gives new insights and identifies opportuni2. Product Selection After the initial framework is ties to exchange current managcomplete, we conduct varying ers for others, or adjust individudegrees of ongoing investment al weightings in order to find the analysis and due diligence on a best result. large number of asset manageTECHNOLOGY FACILITATES ment products to provide eligiCOLLABORATION ble candidates for both in-house We often undertake this fourportfolios and customized advistep process in the context of sor model portfolios. Depending the investment advisory platon what investment managers, form we maintain here at Prostyles, or strategies you use can Equities. Our advisory solution, greatly alter the overall risk/reAdvisory Management Plus turn portfolio characteristics. (AMP), is powered by Envestnet 3. Portfolio Construction and serves as a robust platform Putting in the upfront strategic al- with the functionality to accomlocations analysis makes the ac- modate our portfolio constructual construction process much tion requirements. Of the many smoother. Running the screens exciting trends evolving in our and conducting the ongoing due industry right now, the momendiligence for investment manag- tum towards investment advisoers creates further efficiencies ry and fee-based platforms for for our advisors. the purpose of managing client assets helps link the clients’ best 4. Analysis/Testing Once the initial portfolio is con- interests with the financial advistructed, there is still one last sors’ advanced capabilities and step required. We believe in uti- expertise. For Advisor Use Only
Envestnet gives ProEquities advisors access to cutting-edge portfolio construction capabilities. It facilitates direct collaboration with our advisors in our mutual endeavor to provide an efficiently constructed portfolio that ultimately gives clients piece of mind knowing they are on track to attain their financial goals. For more information on portfolio construction or other advisory products and services, email:
Chris Phillips Director of Advisory Investments 205.268.7040 or Chris.Phillips@proequities.com
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When it comes to alternative investments, you can’t put a dollar value on confidence. CNL Securities has spent decades earning that confidence from leading financial advisors.
CNL Securities | Member FINRA/SIPC (866) 650-0650 | CNL Center at City Commons 450 S. Orange Ave. | Orlando, FL 32801-3336
Investors should be advised to consider the investment objective, risks, charges and expenses of an offering carefully before investing. There is no assurance the stated investment objectives will be met. FOR BROKER-DEALER AND RIA USE ONLY. This information does not constitute a solicitation of an offer to sell and/or buy any specific security offering. Such an offering is made by the applicable prospectus only. A prospectus should be read carefully by an investor before investing. Financial advisors are advised to consider investment objectives, risks, charges and expenses carefully before recommending an investment. There are no assurances an investment’s stated objectives will be achieved. Broker-dealers and other firms are reminded that offering-specific communications distributed by a financial advisor should be accompanied or preceded by a prospectus in accordance with federal securities laws. Investments in non-traded real estate trusts (REITs) and non-traded business development companies (BDCs) are subject to significant risks. These risks include limited operating histories, reliance on the advisors, conflicts of interests, payment of substantial fees to the advisors of the company and their affiliates, limited liquidity, and liquidations at less than the original amounts invested. Investing in these products is not suitable for all investors. Investors should consult a financial professional to determine whether risks associated with an investment in the shares are compatible with their investment objectives. © 2017 CNL Intellectual Properties, Inc. All Rights Reserved. CNL® and the Squares Within Squares design trademarks are used under license from CNL Intellectual Properties, Inc. CSC-0217-16532-BD
Learn more about JAForlines at ETF Trends Strategist Channel, hosted by State Street Global Advisors
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The Tactical Core for Client Portfolios A Risk-Managed Core Holding JFG Portfolios are designed to lower costs and volatility, while producing long-term capital appreciation. We are asset allocators, not market timers—our portfolios evolve over time to manage risk and capture opportunities, rather than switching quickly between assets. Our portfolios are used as the risk-managed core of a client’s portfolio.
We offer 4 risk-adjusted Global Tactical strategies ranging from Income to Growth. Global Tactical Allocation is our flagship moderate risk portfolio.
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63 Forest Avenue, Locust Valley, NY 11560
Global Tactical Allocation
Call us (516) 609-3370
Global Tactical Growth
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The material contained herein is not an offer or solicitation for the purchase or sale of any financial instrument. It is presented only to provide information on investment strategies, opportunities and, on occasion, summary reviews on various portfolio performances. Returns can vary dramatically in separately managed accounts as such factors as point of entry, style range and varying execution costs at different broker/dealers can play a role. For broker/dealer use only.
Determining an Effective Investment Solution, Ben Franklin-Style by Chris Phillips, CFA, MBA, Director of Advisory Investments; and, Mac Frasier, CFP®, Senior Investment Analyst Have you heard of the Ben Franklin T-square? There are a number of resources that make reference to what the official Wikipedia page calls the Decisional Balance Sheet — a very scientific sounding version of what many of us know more simply as weighing your pros and cons. This can be a useful process for any number of problem solving scenarios, including determining the most effective investment solutions for your clients. As we looked into the T-square and what Benjamin Franklin had to do with said square, I became more intrigued, because as weighing your options is a an automated process that we most likely take for granted, Mr. Franklin did an elegant job of externalizing that process. And while we may envision the pros and cons balancing delicately on a tarnished brass scale, I learned that the more appropriate term for this problem-solving process should be “weighting the pros and cons,” at least if Ben had anything to say about it.
FINANCE 101: WEIGHING YOUR PROS & CONS We say weighting because his process is actually quite similar to the scenario analysis, expected return calculation most Finance 101 students have had the pleasure of learning. The abbreviated version is, you are sitting at the roulette table and For Advisor Use Only
plan only to play the color black. What is your chance of winning, or in financial terms, expected return, on such a strategy? To the calculations: If the ball lands on black, you win. If you put a $5 chip down, you get $10 back, that’s a 100% return. If it lands on red, you lose your $5 investment, so 0% return. What are our chances? Well, to make a determination we need the proper probabilities, or weightings. In this case, you have just as many chances to win as you do to lose (apologies to true roulette fans here, but we are assuming no zero spaces for our hypotheti-
Weighing your options is a an automated process that we most likely take for granted, Mr. Franklin did an elegant job of externalizing that process. cal) — 50% black numbers and 50% red numbers, so we say Expected Return = (100%*50%) + (0%*50%), ending up with an Expected Return, on average, of JoinProEquities.com
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50%. This is a simple example, remarkable when you consider but it illustrates the concept of this method of analysis was inweighting your pros and cons. troduced in a fairly casual manner via a friendly letter to Joseph INTRODUCING, THE BEN Priestly in 1772 in response to FRANKLIN METHOD Joseph’s request for help from Franklin’s version of the decision- Franklin on an important issue. al balance sheet works like this: 1. Start with a question, a deci- PESOLUTIONS INVOKES sion you need to make (in our FRANKLIN’S SPIRIT example above, what will be So, why the short history lesson the expected return of our “in- on Mr. Franklin? It has to do with vestment”?) the problem-solving process that 2. Look for criteria (both pro our investment advisory and and con) that will help you financial planning team, affecwith your decision (what are tionately called PESolutions, utithe factors that will lead to lizes when approaching specific success or failure in our ven- inquiries from advisors in the field. Our dedicated PESolutions ture?) crew takes questions simple to 3. Determine the importance of complex, and is always willing the various criteria you have to have a consultative conversaselected (how important are tion about a great many financial those factors to the success related topics. or failure?) 4. Assign probabilities to each A simple example might be if an of the considered criteria with advisor was working on a curtheir levels of importance to rent or even prospective client produce a weighted outcome who was curious about invest(essentially, how likely are ing in different types of products. the different factors to occur We would use our consultative and what will be the overall process to first try and decipher weighted outcome?) what exactly is the question that we are trying to help answer A simple but clever decision- for the individual. In this case it making process that’s structured would be along the lines of “what and mathematical. Seems more would be the best investment For Advisor Use Only
vehicle to use for a particular client, given XYZ criteria?” At this point we might invoke a little of the Benjamin Franklin analytical spirit and build out a pseudo-Tsquare for a number of viable products that may best fit the needs of the client. See page 8.
Chris Phillips Director of Advisory Investments 205.268.7040 or Chris.Phillips@proequities.com
Mac Frasier Senior Investment Analyst 205.268.2056 or William.Frasier@proequities.com
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wealth management EFFECTIVE INVESTMENT SOLUTIONS BASED ON CLIENT NEED Investment Solution
PROS • • •
Stocks
• •
Potential for capital appreciation, dividends, and share buybacks No fees other than transactional costs Trades intraday and generally one of the most liquid investment vehicles No required minimum investment Can use trading techniques to protect principal
CONS • • • •
Separately Managed Accounts, SMAs
• • • • •
•
Mutual Funds
Exchange Traded Funds, ETFs
• • •
• • • • •
Direct ownership of underlying positions Transparency Professional, active management Client can take advantage of loss harvesting Client is able to place restrictions on what can be purchased
• •
Allow for diversification without having to make multiple purchases. Professional, active management Typically have low investment minimums Can specialize to access specific sectors or niche markets
• •
Low transactional cost and ongoing fees More tax efficient than mutual funds Can specialize to access specific sectors or niche markets No investment minimums Trade intraday
•
•
•
•
Single investment represents greater risk as opposed to diversified portfolio of stocks Common stockholders are last ones to get a return of principal in event of company liquidation Requires particular level of knowledge and skill to appropriately analyze and select Subject to uncontrollable, company specific events High account minimums Typically they are focused on single asset class (i.e. Large Growth) May require larger account sizes to properly diversify a portfolio
Higher fees can impact returns Tax inefficient due to imbedded capital gains No intraday liquidity, price and trade at the end of the day
Typically they replicate an index and do not have active professional managers Niche ETFs or thinly traded ones can develop large bid-ask spreads
Based on the chart above, our Investment Committee considers a variety of traits and characteristics that factor into how a client would be best served in a particular situation. In every case, we are probably not going to take it to Ben’s level of calculating specific importance numbers and percentage probabilities but we are undertaking a deductive process. For many cases, those internal calculations are happening, and the consultative discussions based on your clients’ / prospects’ needs assessment help us reach a successful answer in due course. For more information on investment solutions and services, email:
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IN-HOUSE CONSULTANTS FOR PESolutions ADVISORY, PLANNING & PRODUCTS @proequities.com Our dedicated PESolutions crew is . . . Your go-to investment research and due diligence team Your one-stop shop for advisory, planning, and product questions Your AMP geek squad Your annuity consultant Your retirement plan consultant
Email us at PESolutions@proequities.com, and we’ll match your question with the right expert.
WHO WE ARE
2 CFP s ®
Plus a CFA, CIMA , CRPC, CPFA ®
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Subject Matter Experts Dedicated to Serving You
138 50+
Years Combined
Combined Years of Financial Industry Experience
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Spent Practicing as Financial Advisors
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Hit the Retirement Sweet Spot with Fixed Indexed Annuities by Jim Wagner, Senior VP of Annuity Sales, Protective Life In today’s economic climate, baby boomers nearing retirement age are looking for the protection and guarantees of a fixed product and the growth potential of market participation. Since fixed indexed annuities offer both, their popularity has been on the rise for the last several years. Where were you in 1982? More specifically, where was your money? If you can’t recall, don’t worry – 35 years is a long time. Odds are that you had plenty of concerns about money, both yours and your clients’ (and when isn’t that true?). But it was a notable year, because it was the beginning of a very long bull market in bonds. Bonds have been a solid place to be ever since for retirement planning, built around reliable fixed-income returns. That reality has started to waver. The Fed has bumped interest rates for the second time in
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five months, and has signaled that two more increases could be on tap this year. Early reactions show that these changes are projecting to the bond market. The Bloomberg Barclays US Aggregate Bond Index, a benchmark bond performance indicator, fell sharply after the Fed’s first rate increase in November 2016, and after the arrival of the second increase in March 2017, it is now down 2.3% from the pre-rise levels last fall. The change in Fed posture obviously carries implications for
those looking at retirement and fixed-income clients. An alternative that has performed particularly well in recent years is fixed indexed annuities.
ATTRACTIVENESS OF THE WITHDRAWAL BENEFIT
Many indexed annuity products offer some type of optional withdrawal benefit as an alternative to annuitization. These optional withdrawal benefits have long been a driving force in variable annuity sales and are now proving the same for fixed indexed annuities. According to LIMRA, the rate of election for optional withdrawal benefits industry-wide was 64% among those indexed annuities offered in the 3Q 2016. Of those sales reported, over 87% of the indexed annuities offered an optional withdrawal benefit. Clearly, there has been a paradigm shift in the way consumers are thinking about retirement. A growing number want to provide for retirement income while still protecting and growing assets, and insurance carriers have responded accordingly. JoinProEquities.com
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retirement readiness When you add in the aspect that fixed indexed annuities have an extra layer of security, since they don’t decrease in value due to market downturns, the appeal of these products to retirees becomes very clear.
DEFINING THE SWEET SPOT
Fixed indexed annuities offer similar guarantees as fixed annuities, but with potentially higher interest rates tied to overall index performance. They feature additional earnings potential when index performance is positive. Growth is dependent upon the individual performance of each interest crediting strategy allocation, which can be positive or flat, but never negative. This ability to protect against principal loss
Clearly, there has been a paradigm shift in the way consumers are thinking about retirement. A growing number want to provide for retirement income while still protecting and growing assets, and insurance carriers have responded accordingly. For Advisor Use Only
has the potential to emerge as a very attractive factor against the looming impact that could come if higher interest rates continue to cause bonds to lose value.
RIDING THE MOMENTUM
No matter how clients wish to structure their retirement, they are all subject to an unyielding reality – the need to protect and grow assets. Fixed indexed annuities can become a key part of a sound retirement strategy, as they hit the sweet spot – offering potentially higher returns linked to the performance of a market index, along with downside protection and benefit withdrawals that cannot be outlived and are insulated from emerging risks.
Most fixed indexed annuities protect consumers from market risks, since prior earnings are locked-in and protected, provided they are not withdrawn during the surrender charge period. In exchange for this protection, earnings do not necessarily reflect the full return of the market index, as they are often “capped.” Nevertheless, the interest rate returns are typically significantly Effective June 9, 2017, all FIA higher than fixed annuity rates. trades are processed in-house at ProEquities. Technology is BOOSTING RETIREMENT still evolving, so trades and cliINCOME ent analysis are currently paFixed indexed annuities also per-based. In 3Q17, tech-based offer an option in the form of a solutions will be introduced to withdrawal benefit that can pro- automate processing. vide enhanced growth opportunities with protected lifetime income. With it, clients may still capture market gains and even be guaranteed a certain rate of growth for a specified number of years. Once retired, they are assured steady and predictable retirement income for life, re- Jim Wagner gardless of market conditions. Senior Vice President of Annuity This added layer of protection, Sales, Protective Life available at an additional cost, can help meet clients’ changing 513.362.4853 or needs as they near retirement. James.Wagner@protective.com JoinProEquities.com
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2.8 TRILLION $
AT RISK
The emerging trends of today’s market could pose hidden retirement risks your clients may not be aware of—like the fact that $2.8 trillion in bond funds could face losses with additional interest rate increases.1
Uncover retirement risks and solutions at: www.myprotective.com/uncertainty 1
Based on the total net assets in bond funds as of February 2017. Data provided by Morningstar®.
Protective Life refers to Protective Life Insurance Company (PLICO) and its affiliates, including Protective Life & Annuity Insurance Company (PLAICO). Annuities are issued by PLICO in all states except New York and in New York by PLAICO. Both companies are located in Birmingham, AL.
www.protective.com CABD.604446
(04.17)
For Financial Professional Use Only. Not for Use With Consumers.
TOGETHER WE Bring Best Practices to Life
Should Your Practice Be More Referable? According to a 2015 study by Spectrem Group1, 58% of affluent investors reported referring their financial
advisor to family and friends. But, financial advisors who work with Loring Ward are different. Very different.
In a 2017 survey of affluent investors working with Advisors who partner with Loring Ward and Dimensional Fund Advisors, 98% said they would refer their financial advisor to friends or family members. Why are Advisors who work with Loring Ward so much more referable? Perhaps it is because they can spend more time focusing on a better client experience and planning, rather than prognostication and managing portfolios. And that can make all the difference for you and your clients. Build the practice and partnership you’ve always envisioned, backed by Loring Ward’s nearly three decades of experience, durable Asset Class Investing approach and exclusive focus on independent advisors.
To find out more about our distinctive approach to wealth management, visit loringward.com or call our Advisor Relations team at 800.366.7266 – Option 6. THE
WEATLITOH N SOLU ructure to St Bringing cial Life Your Finan THIRD
EDITI
ON
ts Alex Pot i Clark & inson, Jon Z, RKOWIT Steven Atk nces RRY M. MA by DR. HA e in Economic Scie Afterword el Priz of the Nob Recipient
Wealth Management? We wrote the book on it. Loring Ward’s The Wealth Solution offers a comprehensive look at the major challenges involved in growing and protecting wealth today. At the heart of the book is a process for managing wealth that is based on almost nine decades of academic and behavioral research as well as extensive practical experience. For your complimentary copy, email Jess at jcathcart@loringward.com.
loringward.com 1 Spectrem Group. (2015). New Spectrem Study Reveals that Affluent Investors Seldom Refer Their Financial Advisor to Others Despite Professing Strong Loyalty [Press Release]. © 2017 LWI Financial Inc. All rights reserved. The material in this communication is provided solely as background information for registered investment advisors and is not intended for public use. Investment advisory services provided by LWI Financial Inc. (“Loring Ward”). Securities transactions offered through its affiliate, Loring Ward Securities Inc., member FINRA/SIPC. Dimensional Fund Advisors is a registered investment advisor and is unaffiliated with LWI Financial Inc. R 17-123 (05/19).
Promote Your Practice and Color Inside the (Compliance) Lines by Jeff Miller, Senior Advertising Specialist One of the critical components of your business growth is marketing, because building a business relying solely on word-of-mouth presents a challenge. Promoting your business and following regulatory guidelines can seem daunting, and we’re here to help decode the rules so you can promote your business compliantly. The basic rules for advertising and communication to your clients have not changed since they were put into effect more than 75 years ago. And we recognize that communication mediums have changed dramatically. When the rules were created, an advisor could only communicate by handwritten or typed letters, or advertisements placed in a newspaper or magazine. Today, methods of communication are seemingly endless with radio and television commercials, interviews, websites and blogs, promotional items, billboards, newsletters, client events, seminars, brochures, event sponsors, and, of course, the hottest rage — social media. The genius of the regulation though, makes the original rules applicable to any method of communication available today and for another 50 years.
DECODING THE REGULATIONS
The regulations stipulate that adverting statements must be fair and balanced, not omit maFor Advisor Use Only
terial information, and provide a sound basis for evaluating the facts. Statements cannot be false, exaggerated, unwarranted, or misleading. Advisors also must consider the audience that may view the items, and consider the perception understood by the reader. In addition, all advertising must be pre-approved, and, for what has become the most arduous of requirements, archived and maintained.
Our Supervision and Advertising Department supports advisors through all methods of advertising. We work with advisors often to modify or revise work, so it’s ultimately compliant.
FINRA has made no statement regarding mediums to which an advisor may use for advertising. All mediums are allowed by FINRA. Each firm is responsible for assuring the regulations are upheld. Our Supervision and Advertising Department supports advisors in their business development endeavors through all methods of advertising. We work with advisors often to modify or revise work, so it’s ultimately compliant. It is our privilege to assist the advisor in creating compliant collateral pieces for both current and potential clients. JoinProEquities.com
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client acquisition OFFICIAL REVIEW THROUGH ADTRAX
BROADRIDGE MARKETING CONTENT INCLUDED IN As social media has grown into YOUR TECH PACKAGE THE SOCIAL MEDIA REVOLUTION
the massive space it occupies today, many consumers are using these platforms to find providers for a variety of services. Financial services are certainly no exception to this behavior. Advisors are using LinkedIn, Facebook, and Twitter in a variety of ways to promote their business and raise awareness of their brand. Approved vendors, like FMG Suite, provide FINRA reviewed and ProEquities approved content featuring the financial services industry designed to educate and excite existing or potential clients. ProEquities often shares industry trends and social media best practices on our LinkedIn, Facebook, and Twitter pages. Connect with us and get some ideas for your own social media posts.
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Broadridge Advisor Solutions (formerly known as Forefield) offers a plethora of client-facing material, including articles, videos, and seminars about every aspect of financial services. These items can be branded for each advisor with a cover page and custom header image. Not only is Broadridge included in your technology package, compliance approval is much quicker, since the material has already been reviewed by FINRA.
All advertising and communications material is submitted to AdvertisingTrax for review, approval, and archiving. It’s a seamless process that takes only minutes to complete the required information, upload documents, and submit to your principal for review. The home office has final approval of all advertising items, and principals make the final decision on correspondence. Advisors can access AdTrax through Advisor Portal > Compliance Tools > AdTrax. Advertising within strict regulatory guidelines can be difficult, and our team is here to help you color within the FINRA lines. Compliance approval is a collaborative process, so call me anytime if you have questions or reach out to your principal and brainstorm promotion ideas.
Access Broadridge on Advisor Portal homepage > My Business Tools > Broadridge and begin browsing the resource centers. Jeff Miller You’ll find content on popular fi- Senior Advertising Analyst nancial topics that speak directly to your target audience, like mil- 205.268.5596 or lennials, military veterans, wom- Jeff.Miller@proequities.com en, or retirement plan participants. JoinProEquities.com
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The Power of Integrating a CRM with Your Marketing Efforts by Craig Faulkner, FMG Suite In the world of client acquisition, it seems like there’s always a new concept or strategy. While some of these trends may fall to the wayside, there is one tool that should always be in your marketing arsenal — a Client Relationship Management (CRM) system. A CRM is used to manage relationships with your clients, and serves as a powerful tool for establishing a distinctive standard of care and building strong client relationships through high-touch marketing. There are too many CRMs to list, but some of the most popular ones in the financial services industry are Redtail, Salesforce, and Infusionsoft.
FINANCIAL ADVISORS CAN USE A CRM FOR COUNTLESS TASKS, INCLUDING: • Analyzing email metrics and other digital communications • Managing basic portfolio information and project statuses • Storing contact information for clients and prospects • Scheduling appointments with clients As a business grows, so does its project list and need for accountability and process improvements. CRMs can help your firm stay organized and strategic. Some of the most salient benefits of using a CRM for financial advisors include increased efficiency, opportunities for collaboFor Advisor Use Only
ration, and an improved customer experience. Let’s dive into a couple of these elements further.
INCREASE EFFICIENCY CRMs can integrate with your marketing platform to help automate lead generation tasks, such as sending personalized emails and keeping your contact information up-to-date. FMG Suite integrates with Redtail. This allows advisors to keep client contact information and online form fill submissions synced between both platforms, saving you time and energy on data management tasks.
By integrating your marketing automation tools with CRM software, you can streamline messaging strategy, target ideal clientele, and ultimately grow your business.
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client acquisition PROVIDE A DISTINCTIVE LEVEL OF SERVICE
The more you can tailor your marketing messages to address and meet your clients’ needs, the better you can retain current clients.
Ultimately, any business owner’s goal is to provide the best customer experience possible. This helps retain clients and creates positive word of mouth marketing. CRMs save you time and resources, which allows you to spend more quality time with cli- Tailored content and strategic targeting will help you stand out in a ents. crowded and competitive indusUse a CRM to effectively nurture try. CRM software can capture leads by answering these ques- relevant information for targeted campaigns, such as birthday tions: cards or timely blog posts on retirement planning. This high• Who should receive my touch approach is much more email newsletters? favorable than generalized mes• Where did this lead come saging and is easier to implement from and what does that than advisors might think. By inmean for their needs as a tegrating your marketing automaclient? • What products or services is tion tools (i.e. FMG Suite) with CRM software (i.e. Redtail), you this prospect interested in? can streamline messaging strate• In which stage of the gy, target ideal clientele, and ulticustomer journey is this mately grow your business. prospect?
ESTABLISH STRONG CLIENT RELATIONSHIPS
When it comes to something as personal as investing, clients need to feel valued by their advisor and require a relationship built on trust. The more you can tailor your marketing messages to address and meet your clients’ needs, the better you can retain current clients and attract new ones. For Advisor Use Only
Craig Faulkner, Founder & CEO, FMG Suite FMG Suite offers a complete automated marketing solution for independent financial advisors. Learn more at FMGsuite.com. JoinProEquities.com
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Does a RISING RATE ENVIRONMENT or lack of yield have you concerned?
Are you and your clients well-positioned to handle MARKET VOLATILITY or a pullback?
Braver Tactical High Income 3 Total Return Bond Strategy 3 Tactical, Risk-Focused 3 High Income Generation When Engaged 3 Long-Term Track Record 3 Complements a Bond or Equity Portfolio
Innovation Built on Experience
ABOUT BRAVER CAPITAL | Since 1988, Braver Capital has been managing traditional, fundamental Total Portfolio Solutions designed to meet the growth, moderate and conservative objectives of long-term investors. In addition, we employ quantitative, tactical Satellite strategies engineered to complement a core portfolio with a sleeve designed for alpha-seeking growth, enhanced income opportunities, or downside risk controls.
To learn more, visit our website at www.bravercapital.com email us at info@bravercapital.com or call us today at 617-559-3413. All investments involve risk, including the loss of principal, and cannot be guaranteed against loss. The strategy seeks to achieve high income for its investors by investing in high-yield mutual funds and ETFs. The material in this communication is provided solely as background information for registered investment advisers and is not intended for public use. Unauthorized use is prohibited. Braver Capital Management is an asset management division of Adviser Investments, LLC, an investment adviser registered with the Securities and Exchange Commission.
Prosper Through Partnerships: Custom Recruiting Strategy for Your Practice by Matt Williams, MBA, Director of Marketing Services Growth is integral to the success of your business. The fastest way to grow is to merge, acquire, partner with, or hire other advisors, and our dedicated business development team can help you recruit skilled, talented, and productive advisors to create a strong foundation for the future of your firm. Where is your practice today? • Are you an advisor at capacity that needs to add a partner? • Have you started to think about how to monetize your business when you decide to retire? • Do you and your partners discuss expertise skillsets that your firm needs to expand? • Is your large branch struggling with how to add advisors and what to look for in potential candidates? Maybe your practice fits in one of the categories above, or even in a few. Once you start thinking about these questions, many more arise related to effective solution, navigating the landscape, and actual execution. That’s where our recruiting team can help. Let’s walk through a few of the business development resources that are available to you today.
COLLABORATE WITH STRATEGIC PARTNERS
We have updated recruiting materials, including our recruiting website at JoinProEquities.com, For Advisor Use Only
designed to increase overall brand awareness. Our website provides a one-stop shop for information about ProEquities, the affiliation models we support, and our people and culture. This site will soon become a platform for growth-oriented advisors to complete and submit their initial paperwork online. We are also working closely with third-party recruiting firms to support the influx of qualified prospects. These recruiting resources give us access to higher quality prospects, allowing our team to cherry pick the ideal prospect for your firm, based on criteria you’ve provided.
Our business development team will match your criteria to the right, quality prospect and create growth opportunities, based on the skill sets and personalities your firm has identified.
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practice management
LEAN ON YOUR DEDICATED RECRUITING CREW
Communications and Branding We have developed marketing Our team is your team, and we material that carries our updated want to help you succeed. We’re brand elements with strategic meshere to work with you closely saging that conveys our unique and assess your recruiting wish differentiators and inherent value. list, creating an ideal advisor We also recognize the brand equiprofile specific to your practice. ty of advisor practices and can help Our business development team shape or enhance brand marketwill match your criteria to the ing for businesses in the field. right, quality prospect and create growth opportunities, based on EXECUTING WITH the skill sets and personalities THE RIGHT PEOPLE Our focus on the concerted recruityour firm has identified. ing efforts among our advisors, field branches, and home office Access to Data and staff will position your business Business Intelligence We can effectively target potential for continued growth and success candidates through a variety through shared resources and colof touch points (phone calls, laboration. Because our success direct mail, email messaging, is deeply integrated with your sucetc.) to communicate strategic cess, we are setting the stage for a messages to a select audience. mutually beneficial future. We will also be sharing business intelligence gathered throughout the recruiting process.
Face-to-Face Visits Together, we can coordinate introductions in the field or at the home office. This gives us the chance to present a robust and comprehensive overview of ProEquities and your business, customized to the candidate’s unique needs.
For Advisor Use Only
As we continue to build and adapt during this transformational period in our industry, we look forward to taking advantage of the many opportunities that are at hand. ProEquities is operating from a position of stability and consistency with a long-term vison for success. Working with the right advisors to develop their individual branches has been integral to our success, and collaborating with thoughtful, strategic partners will propel our growth.
This is the framework for your success, and now is the time to engage us to help build your plan…and execute it. Contact our recruiting team at Join.Us@ ProEquities.com or 866-9332163 to begin developing your customized strategy. We have the resources and expertise to help! Be on the lookout for the next article in this Prosper through Partnerships series, as we continue to offer custom recruiting solutions.
Matt Williams Director of Marketing Services 205.268.5430 or Matthew.Williams@proequities.com
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SMARTSTOP ASSET MANAGEMENT, LLC
THANK YOU FOR YOUR PARTNERSHIP The self storage industry has been one of the fastest-growing sectors of the U.S. commercial real estate industry over the last 40 years according to the Self Storage Association “Industry Fact Sheet” (7/15).
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You’ve always been a generation of rule breakers and change makers, so it’s no surprise that you’re redefining retirement, too. After all, you’ve still got it. As the Boomer generation breaks free of the 9-to-5, Jackson® will be there to help you explore new possibilities. Jackson is proud to be the official U.S. sponsor of Exhibitionism – The Rolling Stones, the band’s first ever global touring exhibition.
Visit Jackson.com to learn more. Jackson is the marketing name for Jackson National Life Insurance Company® (Home Office: Lansing, Michigan) and Jackson National Life Insurance Company of New York® (Home Office: Purchase New York). Jackson National Life Distributors LLC.
CMC17868 11/16
Signs of Change Point to an Advisory Evolution Regardless of the fate of the DOL Fiduciary Rule, we at ProEquities believe that a consistent standard of care will emerge across all investment accounts. That standard of care will be “defined by the need for advisors to focus on financial planning and personal finance coaching to deliver a truly advice-centric experience”1 for their clients. Looking across the industry we can see that transactional business continues to decline. Total variable annuity sales in 2016 were 21% lower than 2015. by Darren Guerrera, Chief Financial Officer
In a recent Financial Planning article2, the author stated that the “[investment advisory] business model continues to be in the vanguard of the fiduciary evolution, which prioritizes advice over sales, and continues to draw advisors and assets from the sales-driven brokerage world.” This sentence sums up well the thinking at ProEquities regarding the future of investment advice. GROWTH OF INVESTMENT ADVISORY REVENUE In the 4Q2016 “The Path Forward” webinar, I mentioned that one of the positive trends at ProEquiFor Advisor Use Only
ties is the continued growth of investment advisory revenue as a percentage of advisors’ total revenue. In the fourth quarter of 2016, investment advisory fees were 29% of ProEquities advisors’ total revenue, which represents a high-water mark for our firm. To put that metric in context, in 2015 the average Financial Services Institute (FSI) member firm derived 41% of revenue from investment advisory fees, a number that most surely increased in 2016. It is clear that our peers in the industry have adopted the advice and planning model of serving clients more quickly than we have. JoinProEquities.com
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practice management A deeper dive, however, shows that ProEquities’ top 50 producing advisors have embraced the investment advisory business model faster than other advisors at ProEquities. At 38% advisory business, the top 50 ProEquities advisors are closer to industry averages, compared to all other ProEquities’ advisors at 24%. As our executive council has said many times, adopting a planning and advice model drives higher productivity, and the numbers bear this out. INDUSTRY SHIFTING FROM TRANSACTIONAL TO PLANNING MODEL Looking across the industry we can see that transactional business continues to decline. Total variable annuity sales in 2016 were 21% lower than 2015. This represents the fifth consecutive year of variable annuity sales declines. Variable annuity sales are nearly $80 billion lower than their peak in 2007, and are at their lowest level since 1998. For 2016, total annuity sales fell 6%3. Mutual funds have experienced similar declines. In 2016, net cash flows out of mutual funds totaled $228 billion4. The obvious conclusion from analyzing this data is that clients and advisors are shifting their focus from transactional business to comprehensive planning and advisory relationships.
References: 1. How independent financial advisers can build practices that thrive regardless of DOL fiduciary rule outcome, InvestmentNews.com, March 14, 2017. 2. RIA Leaders 2017: Is this decumulation?, Financial-Planning. com, January 3, 2017. 3. LIMRA Secure Retirement Institute’s Fourth Quarter 2016 U.S. Annuity Sales Survey. UMB Fund Services: Industry Trends - May 2016, August 2016, November 2016, and February 2017.
Darren Guerrera is the Chief Financial Officer. 205.268.5553 or Darren.Guerrera@proequities. com
No matter where you find yourself on the spectrum of change, be assured that we at ProEquities are committed to helping you navigate toward a business model built on planning and advice.
We know that brokerage accounts that accommodate certain investors, and brokerage products aimed at supporting income generation, will continue to have a place in an advisor’s business model. At the same time, we recognize that our industry is on a persistent shift away from a transactional, product-centric focus. No matter where you find yourself on the spectrum of change, be assured that we at ProEquities are committed to helping you navigate toward a business model built on planning and advice. We strive to be a valued partner to you as we work together to help your clients achieve their financial goals and dreams. For Advisor Use Only
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But C-Shares are Cheaper than an Advisory Account! by Steve Youhn, Chief Compliance Officer One of the most common responses provide when asked about their decisions to place clients in mutual fund C-shares is that C-shares are cheaper than an advisory account. While in some instances this may be true, keep in mind that this comparison subjects you to risk and can put you in the regulators’ crosshairs. The rationale lies in the regulatory distinction between brokerage accounts and advisory accounts. Everyone knows that a registered representative sells products in a brokerage account and receives a commission. We also know that a financial advisor is in the business of providing advice for a fee in an advisory account. Fundamental to the above definitions is that a registered representative cannot provide advice and be compensated for it beyond commissionable product sales. In other words, one cannot act in a registered representative capacity and receive an advisory fee from a brokerage account.
licated an ongoing advisory fee by using the C-share trails. This is a strategy that we refer to as synthetically creating an advisory account. This can’t be done in a brokerage account.
TWO FACTORS INDICATE What some registered repre- APPROPRIATE SHARE sentatives will do is provide CLASS ongoing financial advice and rather than charge the client an advisory fee in an advisory/ managed account, they put the client in mutual fund C-shares in a brokerage account, where they receive an ongoing trail (of usually 1%).
In other words, they have repFor Advisor Use Only
As a dually registered advisor/ representative, your threshold question when dealing with clients is whether they should be in an advisory or brokerage account. If you determine the client should be in a brokerage account, and you make the subsequent determination that mutual funds are the appropri-
C-shares in some instances are appropriate for brokerage customers, but never when the intent is to create an ongoing commission stream so advisors can receive compensation for providing ongoing advice.
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practice management
ate investment, the next determination should be whether the client should invest in A-shares or C-shares. This will be a decision primarily based on two factors: (a) the amount invested, and (b) the customer’s holding period. Generally, smaller investments with shorter investment time horizons are more appropriate in C-shares while A-shares are more appropriate for longer-term investments and larger dollar amounts (due to breakpoints). It is not proper to justify placing a client in C-shares by indicating the client pays less than if he was placed in an advisory account. A pattern of placing a large number of your clients automatically into C-shares can be problematic and is activity for which ProEquities audits and surveils.
should use the FINRA mutual fund expense analyzer. The Fund Analyzer contains information on over 18,000 mutual funds and ETFs, and allows you to compare A-shares against C-shares to help determine which share class is most appropriate for customers given their investment amount and anticipated holding period. The chart below shows the redeemed values for a hypothetical $100,000 investment for a period of ten years with an estimated annual return of 5% for the A- and C-share classes of the Principal Strategic Asset Management Conservative Growth Funds.
Generally, smaller investments with shorter investment time horizons are more appropriate in C-shares while A-shares are more appropriate for longer-term investments and larger dollar amounts (due to breakpoints).
WHEN IN DOUBT, REFER TO THE FUND ANALYZER
C-shares in some instances are appropriate for brokerage customers, but never when the intent is to create an ongoing commission stream so advisors can receive compensation for providing ongoing advice. In determining the appropriate mutual fund share class, advisors For Advisor Use Only
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practice management The Fund Analyzer demonstrates the redeemed value for the A-shares beginning to be higher than the C-shares shortly after five years. At the end of six years, the C-shares’ redeemed value is $117,650.22 compared to $118,450.36 for the A-shares. This suggests that for clients with a holding period of less than five years, at the $100,000 investment level, C-shares may be more appropriate. A customer with a longer term investment horizon would stand to benefit from A-shares. In summary, C-shares may be appropriate for some of your clients, but they are not appropriate for all of your clients. Creating an ongoing stream of commissions from C-share trails, and justifying it by noting it may be cheaper to the client than an advisory account, is not a permissible practice.
Steve Youhn Chief Compliance Officer 205.268.3369 or Steve.Youhn@proequities.com
FINRA FUND ANALYZER (excerpt)
For Advisor Use Only
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Turn Compliance Challenges into Business Opportunities Regardless of regulatory uncertainty, market and consumer forces are reshaping the delivery of advice. The fiduciary environment is here to stay and poses significant challenges for advisors and firms in numerous areas including compliance, operations, client relationship, product offering, etc.
This is your opportunity to stand out.
Envestnet’s Fiduciary Solutions are here to help you not only comply but thrive under an evolving regulatory environment.
Best Interest Advice
Advice Implementation
Account Aggregation to demonstrate and document understanding of the client with Yodlee and Wheelhouse
PMC product shelf development, including product research, selection, due diligence, and monitoring that can help justify advice solutions
Financial planning with Logix and MoneyGuidePro
Account Documentation and Disclosures Seamless account opening process with Best Interest Contract, rationalization, and notices integrated into proposal generation
Enterprise Oversight and Efficiency Scaled data management including account management and analytics, monitoring DOL oversight, and reporting with Vantage
To learn more about how Envestnet’s fiduciary solutions can help you navigate the regulatory change, please visit www.envestnet.com/fiduciary. FOR HOME OFFICE AND ADVISOR USE ONLY. ©2017 Envestnet, Inc. All rights reserved.
A Candid Conversation with Robert Coode This second-generation independent financial advisor prioritizes clients and family first for continued business success. His ensemble practice approach has served him well throughout the tremendous changes in the industry. He believes recruiting the right advisor that exemplifies your business philosophy is nothing short of chemistry. Talk about your business model and why this model works for you? Our business mix is primarily made up of asset management…about 70% of which is fee-based and 30% which we’re transitioning to fee-based. The fee-based arrangement puts us on the same side of the table as the client. I never want the client to question our motivations, and the fee-based model is the most effective model. I never want our clients to wonder if we’re making trade decisions based on commissions received. My firm began to transition from the transactional model to fee-based about seven or eight years ago, since we anticipated the industry trend and made a business decision to support growth. The transition process is a lot of hard work and requires a dedicated team. But it’s the best model available. For Advisor Use Only
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practice management What would you tell advisors who are just beginning the transition to a fee-based model? Pick up the phone, call the client, and setup a meeting. Prepare the reasoning for the transition and reiterate the philosophy of your firm. You’ve got to craft the story, so your clients will be comfortable with the shift. It will take a couple of times talking through your story before you find the version that makes the most sense for your clients. It’s a great story to tell, since the feebased model is in the best interest of your client. Your firm is comprised of five financial advisors, and financial planning expertise. How would you characterize your collective wealth management approach? We all put the client’s needs first. Many times the client needs help defining or visualizing what their needs and goals are given what stage of life they’re in. That’s why we feel taking a holistic approach makes the most sense. We want the team to view the client’s financial life from all angles. Help them put their arms around planning for retirement, the purchase of a new home, or sending a child to college. A good sound plan is one that stands the test of time, including when the seas get rough. Our team’s job is to collectively try and poke holes into the plan and make sure she still floats. If she’s taking on water, we’ve got a complete unbiased portfolio of solutions that will plug the hole.
just in case one of us does, their plan continues on uninterrupted as the rest of the team is there to pick up the ball and run with it. Clients also mentioned they like the fact their plan is reviewed by multiple sets of eyes that challenge the strength or weakness of the plan. Lastly the team comes to the table with varying and complementary skill sets that cover all aspects of financial planning. What is your firm’s three to five year growth strategy? It goes without saying, we will continue to grow organically through direct client acquisition done through referrals, marketing and advertising. Where we see the potential for more meaningful growth is through mergers and acquisitions. To find a decent-sized individual or group practice would be ideal. This approach comes with its own set of challenges that in the past may have shied
Why is it important to establish an ensemble practice? We’ve found that prospective and existing clients like the team approach an ensemble practice brings to the engagement. We ask our clients ‘why us’? Hands down the most often cited reason why our clients like the approach is continuity. Now while none of us are going anywhere, For Advisor Use Only
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practice management us away from pursuing a few opportunities. Looking ahead though, independent firms are either going to be acquiring or will be acquired…I’d rather be the former. The leadership at ProEquities is well-positioned to provide a step-by-step blueprint for absorbing right-sized firms. I’m very excited about the business opportunities that lie ahead. In what ways does an ensemble approach help your firm establish a distinctive, higher standard of care for your clients? That’s a good question. I can only answer by saying our team does what my father started over 47 years ago…put the needs of our clients and their families first. Advancements in technology, reform, and the way business is done will change over time. And it will likely change more quickly. What won’t change is what my dad taught all of us and still preaches today…give the best every day to your family and your clients. If you can think of a higher standard, I’d love to hear it, because I’ve been following his standard for 45 years of my life.
The technical side is critical without a doubt, but we spend more time seeking the best personality fit to round out our team when brining a new advisor onboard. Our clients expect the technical competency, but ultimately people want to do business with people they know or trust. Clients and prospects are intuitive, and they can pick up on that chemistry…or lack of it. Robert Coode is an independent financial advisor affiliated with ProEquities. He can be reached at 440.449.6800 or rdcoode@smcofinancial.com.
What advice would you offer to an advisor beginning to build her ensemble practice? A win-win situation could be created between seasoned advisors, with 15 to 20 years until retirement, and a young advisor who’s looking to start his career. With the right personality fit, this can become a mutually beneficial relationship. This relaxed timeframe allows the senior advisor to mentor and pass down core competencies in tandem with the vision and philosophy of the firm, and the younger advisor has the luxury to grow at a steady, thoughtful pace. The senior advisor is helping an early career advisor ease into the business, and in turn the ensemble helps the senior advisor ease her way out. For Advisor Use Only
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Chicago — Sept 17-20
2017
NATIONAL BUSINESS BUILDERS CONFERENCE
REGISTER NOW! Enter to win a pair of Chicago Cubs tickets if you register by July 21.
5 REASONS YOU MUST ATTEND
“Let’s face it, you can’t afford to miss this conference and thrive as an independent advisor committed to this business and your clients.” — Jay Matthews, OSJ and ProElite Advisor
1 2 3 4 5
Learn from Experts and Grow Your Practice Gain valuable business development insights from industry leaders and top producing advisors.
7+ Keynote Speakers 20+ Breakout Sessions
Experience New Technology
Hands-On Tech Labs
Interact with cutting-edge technology platforms and find out shortcuts from the experts who built them.
Invest in Your Success
Advisors who took advantage of the conference last year averaged $106K more GDC than ProEquities’ non-attendees.*
$242K vs $136K avg Attendee GDC
Satisfy Your Annual Compliance Meeting Requirement
Participate in the one-hour breakout session and check the box for your annual compliance meeting requirement. OSJ / DP attendance is mandatory.
Let ProEquities “Take You Out” to the Cubs Ballgame Register by July 21 and enter to win 2 FREE Chicago Cubs tickets on Sunday afternoon, Sept. 17, at Wrigley Field!
Non-attendee GDC
1-Hour Session Win a Pair of Infield Box Tix
*Calculations based on 2016 ProEquities production data for active reps with GDC > $20K.
There are ample opportunities for continuous growth and professional development as an advisor affiliated with ProEquities:
2017 CHICAGO — Sept. 17-20
Join fellow ProEquities advisors for our revitalized, annual enrichment event. National Business Builders Conference is the premier business development conference designed for all levels of advisors and supporting business members. Upgrade your practice with multiple tracks offered to meet diverse business goals, including: • Transition to an advisory model • Discover client acquisition secrets • Benefit from top advisor insights and business development best practices • Participate in peer-to-peer networking
REGISTER NOW AT ProEChicago.com Each year, a different venue is selected based on transportation ease and desired geographic destinations. The 2018 National Business Builders Conference will be held in Nashville, Tennessee on March 18 – 21. Mark your calendar!
For Advisor Use Only
Ellen Michael Director of Marketing 205.268.3106 or Ellen.Michael@proequities.com
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resources and support
2018 BERMUDA — June 27-July 1
The Elite Summit is a rewards celebration for our most distinctive advisors. Trip qualification is based on 12-month performance period, and our elite representatives join the ProEquities leadership team for a luxurious retreat.
Held in both domestic and international locations, an exclusive group of advisors are invited to build closer relationships with their peers and the ProEquities leadership team. It’s an opportunity to recognize commitment to excellence and dedication to professionalism. The 2018 trip will be hosted in Southampton, Bermuda on June 27 – July 1. The exclusive Platinum Experience is earned by ProEquities Advisors and Business Owners / Branch Managers who significantly exceed the qualification requirements and lead their peers by raising performance standards. These distinctive qualifiers benefit from extra amenities during their exotic getaway.
For Advisor Use Only
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Fast Facts ABOUT
Founded in 1985, ProEquities, member FINRA/SIPC, is an independent RIA with a broker/dealer and headquartered in Birmingham, Alabama. Our company, a wholly owned subsidiary of Protective Life Insurance Company, supports more than 750 independent financial advisors nationwide in serving their clients. Our advisors include investment advisor representatives, registered representatives, and registered investment advisors as well as advisors who work through hybrid service models.
ADVISORY PLATFORM GROWTH
2016
750
FULL TIME FINANCIAL ADVISORS
582
FINRA REGISTERED BRANCH OFFICES
118
HOME OFFICE EMPLOYEES
SERVING OVER
192,000 CLIENTS
Our experts include: CFAs, CIMAs, CRPCs, CFPs, JDs, MBAs.
1: 6
EMPLOYEE TO ADVISOR RATIO
OVER
$16 BILLION IN ASSETS UNDER MANAGEMENT
2006 CLIENT SERVICES ANSWERS CALLS WITHIN
8 SECONDS 24 HR AVG
WE’RE CHARITABLE
Trust services offered through Pershing & Reliance Trust.
OVER
200 YEARS
OF EXPERIENCE
SEI, AssetMark, FTJ, Loring Ward, Brinker & Flexible Plan
We continue to donate time and money to support local and international nonprofits.
CLEARING & CUSTODY THROUGH
LEADERSHIP TEAM
TAMPs
PLUS online client onboarding with eSignature & Envestnet
FOR ROUTINE COMPLIANCE RESPONSES
• Pershing • TD Ameritrade • Schwab
Albridge Morningstar Redtail Laserapp eMoney Money GuidePro
TECHNOLOGY SOLUTIONS
SERVICE LEVEL AGREEMENT MET 99% OF THE TIME
14 = YRS
AVERAGE TENURE FOR FINANCIAL ADVISORS
OVER 143 YEARS OF BOND EXPERTISE Investment banking, municipal underwriting, and fixed income trading desk.
Children’s Hospital
Ronald McDonald House
Local Shelters
PRODUCT & PORTFOLIO SUPPORT
138 YEARS
COMBINED FINANCIAL INDUSTRY EXPERIENCE
51 YEARS
AS FINANCIAL ADVISORS
Talk to a Business Development Consultant about joining us. Call us at 866-933-2163, or email Join.Us@proequities.com.
Speak to a customer service associate or reach a ProEquities team member.
Call 800.288.3035, or email by using this general rule: Firstname.Lastname@proequities.com.
About ProEquities Founded in 1985, ProEquities, member FINRA/SIPC, is an independent RIA with a broker/dealer and headquartered in Birmingham, Alabama. This wholly owned subsidiary of Protective Life Insurance Company supports more than 750 independent advisors nationwide in serving their clients. ProEquities and its partner firms help you maximize your effectiveness as an independent financial advisor. Learn more about our advisor-centric financial services and find out how we can help optimize your business.
ProEquities, Inc. 2801 Hwy 280 South Birmingham, AL 35223
We Listen. We take the time to listen so we can work with you to develop a solution for your financial needs. We Think. We consider what you tell us and ask clarifying questions so that we truly understand your overall objectives and the unique challenges that stand between you and your dreams. We Respond. Only then do we reply...not with a cookie cutter answer but with a personalized action plan...a roadmap that will help lead you in the direction you want to go.
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