It's not Advisor Alpha unless it's Tangible. Your Advisor Alpha Transcends across multiple audiences in multiple dimensions. The Dimensions of your Value are hidden unless you discover, define and design them.
Not a single financial planner wants to scare his potential clients off when telling the story about their business. Yet, very few financial planners dare to really attract their clients with the real reason they are in business.
Using a CEO’s personal brand to heighten the visibility of an organization plays a vital role in marketing success.
Grant Barger's insight:
There's a difference between being visible and being tangible. Cultivating the metrics that matter to you as an entrepreneurial advisor requires tangible advisor alpha not just making your invisible value visible. You can't just publish content for the sake of content. The most important information that you can gather in the digital age of transparency is your own advisor data. By making your advisor alpha tangible you are afforded the opportunity to have a business development progression that not only exudes your authentic value and creates a filter for like-minded clients and prospective clients to find you it helps you as an advisor obtain critical data about your business and your clients.
For years, there’s been industry and media speculation as to whether smaller financial advisory firms can survive and how the future of financial services will ultimately be dominated by only the big players.
Grant Barger's insight:
"How do the leading smaller firms thrive in an increasingly competitive industry? They employ technology as the differentiator and as a gateway to scale and profitability." Okay... This is partially true. Simply employing technology as the main differentiator to scale is not meaningful to an RIA that hasn't created a strategic foundation from which to implement tactical scalable solutions. Technology is a vehicle for scalability but someone has to drive it for the business to thrive. The big roll ups are touting tech as their solution and scalability is their mantra... for smaller shops to thrive they must have tangible cultural differentiators as well as technology. Being nimble is great, but playing the same game as the big boys is a mistake many smaller RIAs must avoid. Change the game... Do not fall into industry traps of value measurement... Own your culture... Build on a client-centered purpose... Exude your Tangible Advisor Alpha... Thrive as an entrepreneur.
portfolio rebalancing software can produce better performance when setting tolerance bands
Grant Barger's insight:
I'm a fan of curation... good stuff, Craig. Don't you think that asset allocation needs a more specific definition? All the rebalancing in the world can't make up for poor asset allocation... If it's Stocks/Bonds/Cash in one market held together by the faith of MPT the investor is screwed. Unless the investor is rebalancing a Global Portfolio across World markets with access to correlation rebalancing software that takes global markets and the associated correlations into account... this is all just digital noise. Yes... rebalancing is important but if it's for a portfolio lacking in diversification due to myopic antiquated strategies and monitored by similar technology the investor is just rearranging the deck chairs on the Titanic...
Latest warning of lesser returns renews calls to reorder client priorities.
Grant Barger's insight:
The title of this article has it right but the content of the article gets it wrong. The big data that gets reported from McKinsey has very little to do with the success or failure of your business as an entrepreneurial financial professional. It's ridiculous that financial services publications continue to equate conversations about investor behavior with lowering expectations. Conversations that matter about behavior have more to do with the actions of investors that correspond with the overall success or failure or of their portfolios. Advisors must stop allowing themselves to be measured by the antiquated metrics of an industry that continues to publish tripe that only adds more confusion to their daily lives... and start creating the metrics that matter (to the advisor and the client) by owning their Tangible Alpha. Filter out the noise and become irreplaceable.
If you want to accelerate your growth rate and create a consistent stream of new clients, you have to move beyond referral marketing and become a marketing machine.
Grant Barger's insight:
It's great to have tactical tips and tricks from industry leaders to come up with a possible solutions for your unique business. The first thing any serious financial professional must do before implementing tactical ideas from thought leaders is define your own unique authentic relevant value. (Your Advisor Alpha) Otherwise you'll be herding cats forever. The second thing the serious advisor must do before implementing tactical tips and tricks is make that authentic relevant value tangible. The third step is to design and develop definitive mechanisms for delivery of your tangible Advisor Alpha. The multifaceted multi dimensional delivery mechanisms of your absolute value must be harmonious they must be simplified and they must demonstrate your own unique model of tangible value and integrity. The next step in this progression is to ensure that the mediums that you use to exude your value also double as filters. You need filters to block out the noise of your business development and your prospects need filters to discover your absolute authentic relevant value. And because this endeavor is an exponential experience there is no last step but you must include the means to develop the metrics that matter...specifically, the metrics that matter to you and all of your alliances... so you may continue to refine your absolute authentic relevant value and continue to make it tangible. Once you discover your Tangible Alpha and create your own progression you will be able to filter out the noise inherent in all tactical "tips and tricks" articles and find the kernels of wisdom that best suit your specific strategic foundation. Until you define your destination any road will take you there. You can make your journey and your destination whole by discovering defining and designing your Tangible Alpha. Stop wasting time and start making a difference.
Why Obama and the DOL are all wet when it comes to the proposed fiduciary rule - Stress the carrot and not the stick in formulating a rule that will get real results, says a fiduciary maven
Grant Barger's insight:
---Calling All Advisors!--- The day is coming! All advisors will be considered "fiduciaries" and the watered-down context of the actual content of the fiduciary oath will drag all authentic fiduciaries down to the lowest common denominator. (Q)How will the serious steward of wealth overcome being defined by an industry which continues to cannibalize itself through paradoxical mandates? (A)The serious financial professional realizes that he or she is in complete control of the perception of his or her value and authenticity. As well-intended as the fiduciary standard is, it cannot survive this industry that has proven itself devoid of trust (about every 8 years or so). So it will be incumbent upon the serious advisor, who considers him/herself as a fiduciary, to go beyond the industry standards and mandates handed down from any institution or administration. It is time to go beyond fiduciary...Why in the world would a serious advisor want to be defined by his or her industry when he/she can define his or her authenticity and back it up with execution that is definable detectable and desirable? In fact, it will be critical for all serious advisors to take action and define their unique value and integrity model if they are going to thrive in the age of digital advice. So fiduciary has served a purpose... to get us here... what will come next is entirely up to each individual advisor. ---Punitive Actions--- I agree with Don that the main concerns of the current authentic fiduciary should genuinely be - the punitive actions that will follow this watershed juncture, because there is no upside for the authentic steward... only more bureaucratic red tape. I feel some genuine empathy for Don because he is seeing the writing on the wall... he has dedicated a majority of his life to trying to make sure the actions of a few do not sully the reputations of many. I am grateful that he has shared the genuine concern he has about the state of the industry, which has been delivered in a relatively reticent fashion... compared to the absolute rage that most authentic fiduciaries will be feeling when this actually hits home...the realization of this regulatory defiling of their long standing badge of honor. Thank you, Don for sharing your insight in such a timely fashion and thank you for your service.
I don't agree with much in this article but I do understand where this type of thinking comes from and it is my purpose in this editorial to help bring an end to this flawed "outcome" style of thinking. In the age of the collaborative alliance it is the process which will take you to the promised land of your desired outcomes. Unless you have designed a process that is currently alleviating the issues focused on in this curated article It might be worth your while to read on. The prescribed first step in the article... " Sit down and meet with them and explain what you're seeing and how they can correct their behavior." This is a pretty big step and can be quite daunting for any employer who hasn't created a foundation that allows his or her employees to discover, define, design, and deliver their absolute value as it applies to the team and the business as a whole. The step suggested in the article pretty much focuses on the negative behavior of the employee in question. I would say the initial meeting should be full of insightful open-ended questions regarding the Employees purpose, principles, opinions, beliefs and how those elements needs to be in alignment with their behavior. As well as the alignment categorically of the aforementioned elements with the Team and Company. Of course this doctrine of shared genuine concern should've been created and signed prior to the employee becoming a team member. This is a doctrine that must be created by the founders of the team and the company that allow team members and employees to open endedly add their personal values, experiences, principles, and beliefs in the creation of this culture forming document. Then, when there is a misalignment of behavior, the conversation with the employee will become less of a witchhunt and more insightful for everyone. The structure of this conversation then leads the employee to be able to self actualize, which is critical if there are any substantial changes that need to be created and maintained. Suggestion number two (in the article) rather than sending out a letter of formal warning...There can be a checksheet of the agreed-upon behavior that needs to happen for there to be mutual success in the collaborative alliance between the employee and the team... The behavior that has previously been published an agreed-upon since the creation of The doctrine of shared genuine concern. As for the summation of the article... It seems to absolve everyone of any wrongdoing... "Give them the gift of freedom because if they're that toxic, they're not happy where they're at, and they will probably be better off working for somebody else." I would say that anyone who uses the suggestions in the article in question as part of their culture and their workplace would agree with that statement. It can get awfully expensive and counterproductive to have a revolving door policy in which your team and company are treating the symptoms rather than going after the disease, which in many cases is preventable and curable. To discover more about how to create the doctrine of shared genuine concern Please feel free to join me at advisorcrunch.com.
To find a financial adviser who's skilled and trustworthy and not an outright charlatan who just wants to separate you from your money, here are five questions you should ask before hiring someone to help you with your investments.
Grant Barger's insight:
This list of questions is poor. Five better questions. Start by discovering your potential advisor's purpose. How do they measure success? Describe an ideal client. What behavior can you expect from them? What behavior do they expect from you?
How much of your business last month came as a direct result of your involvement in social media?
Grant Barger's insight:
This is a classic example of a tactical strategist vendor trying to sell his goods by comparing apples and oranges. First we have to recognize that digital marketing and social media selling or different entities. The advisor in the future will create a digital footprint that is in complete alignment with his or her capabilities. Confusing digital marketing with social media selling or using the two interchangeably is a mistake that can trap advisors into thinking too myopically. It is understandable that a vendor who sells programs based on cold calls might be threatened by social media selling. It could also be advantageous for this same vendor to see digital marketing as being an enhancement to his tactical solutions. The old-school coach or guru must enter into this new era of collaborative advising in which setting appointments with like-minded individuals takes precedence over leads. Leads were great for the past 30 years but now the advisor is responsible for finding like-minded individuals 24 hours a day seven days a week through their digital portfolio or digital footprint. Which is why it is critical to understand the difference between social media selling and digital marketing. It is also critical for the advisor that reads articles like this to be able to differentiate apples from oranges.
More insight about technology and big to medium sized data. What the big boys are still doing from the top down is not guided by bottom up client centered Advisor focused purpose driven business metrics. The Advisor must be empowered to create his or her own metrics by building a client centered business in which the Advisor can create shareholder and enterprise value. Control by technology... perhaps. True autonomy for the entrepreneurial Advisor comes when he or she is empowered by and with his or her own Advisor metrics.
All signs point towards Tangible Advisor Alpha... Publishing your purpose in the digital age of transparency is the starting point for sustainable predictable recurring revenue growth. It is time to drop the value prop and lead with your client centered purpose.
The CFA Institute’s membership is leaning more heavily towards private client advisors, and the group hopes to become the go-to advisors to high-net-worth investors.
Grant Barger's insight:
It's difficult to steer a ship this big... Although the call to be client-centered is noble, transparency in the digital age is forcing the hand of industry standards and the cultural intentions of organizations as a whole cannot be turned on or off on a whim. Repeating the mantra of "we need to do better" doesn't make it so... It is the responsibility of the Advisor to exude his or her Advisor Alpha in a tangible fashion. (Advisor Alpha being the authentic relevant value ~including but not relying on portfolio alpha~ by which the Advisor can and should be measured.) To follow the catchphrases of organizations is to risk commoditization. Each Advisor must own the words that define his or her Advisor Alpha... Doing so creates the foundation for exuding the authenticity required for trust to be earned. In addition, it is absurd to think clients would ever believe that Advisors are offering solutions for solely altruistic purposes... for the sole purpose of making clients lives better. That concept is simply too unrealistic. It is very realistic however to prove that Advisors are offering their services for collaborative reasons. Advisors must exude their authentic relevant value in order to prove the relevance of the -collaborative relationship model- in which all parties involved benefit. But the focal point must be on the client... first. Advisors and organizational shareholders will also be the beneficiaries of having a client centered purpose not just the client. If you're familiar at all with Tangible Advisor Alpha, you probably already know that the aforementioned is made possible -by design- only at AdvisorCrunch.com through the progression known as Tangible Alpha.
Financial Advisor Magazine created exclusively for advisors by highly experienced editorial and publishing teams.
Grant Barger's insight:
You don't have to be a jack of all trades to grow your business.
Before you add value... discover the value that is already there...
Some of these ultra high net worth "value added" concepts may be applicable to you. But if your clients aren't in the market to purchase an island, we have some proven (and more realistic) concepts for adding value in a tangible fashion to your clients' lives.
Industry experts explain common mistakes and solutions when selling your practice.
Grant Barger's insight:
If the Advisor owns his Tangible Alpha then none of these problems exist. But you should definitely read this article to see all of the problems you will be avoiding once you own your Advisor Alpha and make it tangible at advisorcrunch.com
Advisors are not the only ones who have to step up their game by making their value tangible to compete with Robo solutions... Advisor coaches will also have to make their value tangible. We make our value tangible 24/7 and it's free. Advisor coaches are going to have to start changing how they do business if they want to survive. This curated article contains very insightful information about the way Entrepreneurial Advisors used to do business. More complexity than necessary... But the author does a wonderful job of defining his value in this deliverable content. So I guess the message is that he can combine branding and marketing to attract ideal like-minded clients by telling them that they can't? There is little doubt that he believes his opinions to be fundamentally true... I have no problem with his authenticity... I do have a problem with over complication of business development concepts. There is an easier way...To learn how you can simplify your branding and marketing strategy in a harmonious fashion without depending on antiquated definitions that add complexity to your business, simply log in to AdvisorCrunch.com and discover your Tangible Alpha. 24/7 from any device. Fast-Simple-Free-Confidential-Proven business development for the entrepreneurial Advisor in the digital age of transparency. The tactical solutions that gurus offer for a premium are less impactful to Advisors who do not own their Tangible Alpha. Before you invest your money... Invest your time at AdvisorCrunch.com. Advisors are not the only ones who have to step up their game by making their value tangible to compete with Robo solutions...
The following is a curated article from this original link on HBR.org
I would say the new chief marketing officer's job is turning into a sales management position more than a position of customer loyalty management. In this era of collaborative alliances it is the client and customer centered purpose that draws loyalty.
I do agree that it's time that marketing moves beyond the era of the catchphrase and is able to create a culture that is centered around a tangible client-centered purpose that resonates and creates loyalty. But a tangible and meaningful client centered purpose creates more than loyalty, it leverages the number one resource of the collaborative alliance... expectations... of the client and of the advisor. Wait a minute! What does that mean?
1. Marketing and sales are becoming one. The death of the catch phrase and the birth of the purpose statement... with the death of the catch phrase comes the death of the salesman... and with the birth of the purpose statement comes the realization of a melding together of the marketing position with the sales position. My reasons for stating that marketing is combining with sales are highlighted in the this article.
2. The vetting process for doing business with anyone moving forward is going to be done through personal devices and most likely through the smart phone. As the author of this (original curated) article has clearly stated, the consumer or client has a megaphone from which to pronounce his/her beliefs, values and opinions. And if they cannot find alignment with those beliefs values and opinions in their purchasing needs, or in our case in their financial relationship needs, they will actively search to find the appropriate collaborative alliance that meets their values. That is why it is incumbent upon the marketing departments, or marketing in general, to announce and shine a spotlight on the values beliefs and principles opinions that are derived from a client centered purpose.
3. Expectations of clients - are your most valuable resource. Yes, client centered expectations are the natural byproduct of having a client-centered purpose in creating your very own tangible advisor alpha. In the era of the catchphrase sales expectations were a one-way street... just as it is being stated in (the curated) article. But in the digital age of collaborative alliances the financial advisor must set expectations for client behavior as well as demonstrating through his or her behavior what clients should be expecting from the advisor.
The idea of sales is no longer sales... marketing is no longer marketing... and customers and clients or no longer the hunted. It is the serious advisor who will prepare to become the prey that will thrive in the financial services industry from this point forward.... by combining sales and marketing in the digital age. It is up to the serious advisor to exude his/her absolute unique value that encompasses his/her client centered purpose 24 hours a day seven days a week. The advisor that once was the salesman must become a marketer to exude their value on outgoing platforms while creating filters to qualify collaborative alliances. I can quickly categorize these thoughts as-framework, methodology, and activity or execution.
Three more thoughts...
Framework - The collective advisor framework has to change as it relates to collaboration... The serious advisor is creating a digital image that exudes Tangible Advisor Alpha (advisor alpha is not portfolio alpha). The methodology of creating a reputation that precedes... while filtering (in and out) prospects and clients must be done digitally as well as in the client facing presentation of Tangible Alpha.
Methodology - The system, process or method must be built on purpose (with intent and integrity) because there isn't another option. To chose not to build on purpose is to chose to become commoditized and to whither away.
Activity - The execution category is wrapped into the framework and methodology as a part of the process itself... The aforementioned statement must be agreed upon and there must be a process in place that aligns with that belief. The medium must become the message and the message must be based on a client-centered purpose.
To sum it up, marketing hasn't passed away quite yet. In fact there might be hope for marketing in the proactive publishing of the client-centered purpose model (Tangible Alpha). Being proactive in publishing of values, beliefs, opinions, principles and purpose while demonstrating the execution of the agreed upon expectations is a great opportunity for marketing/sales to team up and turn the medium into the message... the client-centered message that allows marketing and sales to build "On Purpose."
RIABiz provides news, vision and voice for the advisory community.
Grant Barger's insight:
For those of you who don't know, this is called content curation. I can pick out any article on the World Wide Web publish it and add commentary as I see fit. I am currently doing this from my iPhone. This particular article is from RIA Biz. Brooke and his team do a wonderful job of shedding light on industry happenings and concerns. It is important for the modern advisor to understand that the content they should be sharing with their clients and prospects is in complete alignment with their Tangible Alpha®. Which is their competency character and commitment as well as their focus their system in their discipline. The bottom line is, I never want to publish any content that is not shedding light on my authentic value. As a point of course I will now go through the article and highlight specifically the details that shine a light on my value and services. My second step in curating this content is to point out some differences in the way the industry may feel versus my steadfast opinions about how the industry could be made better with my solutions. This is sometimes done in a subtle fashion and sometimes not. Then I can conclude quickly with my solution and a call to action for the reader. This call to action can be a reminder to my current clients of the value that they are already receiving as well as a kick in the pants to potential clients to discover more about the possibility of an alliance with me. Once I publish this curated article I can make edits as I see fit as my opinions develop and my solutions expand or grow. But I never want to guide the reader into a possible solution that I do not provide. As you can discern, I would never pick out an article to curate that didn't have the content to guide my editorializing in the right direction. This is The acceptable new form of publishing content that is not plagiarism it is called curation. As long as I can associate a link (at the top) to the rightful author I can editorialize as much as I see fit. So you see, you don't have to have original content, you just have to have opinions and beliefs and principles in place that guide your actions. I can also immediately share this post on Twitter LinkedIn and my website. Again, I am doing this all through voice dictation on my iPhone. The following is an example of how I would curate this article to shine a light on my Tangible Alpha®. Regarding this article from RIA Biz (click on top image)... Point number one; falling back on the fiduciary standard being the stalwart go-to argument is meaningless unless the advisors can prove, in a tangible fashion, that their behavior will be in alignment with their client-centered purpose their principles their beliefs and opinions. Just ask all of Bernie "made off's" former clients. This supposed "cure-all" solution drives me nuts... especially because it is an industry created standard that has two separate definitions. Let the paradoxical ways of Wall Street continue. Points number two and three are combined... in the need for an ongoing needs analysis that must be continuously updated by the advisor who considers himself to be a steward of other people's wealth. This could be accomplished by the Robo-advisor, but the amount of questions that clients would need to sift through to get to an appropriate answer is overwhelming. Possibly someday they will come up with an algorithm for "getting down to brass tacks" when it comes to monitoring the ongoing circumstances in life paired with appropriate investment advice. Until that day comes, the human element will continue to be in great demand. The human element, mind you, that must be able to consistently prove competency character and commitment. (Three foundational elements of Tangible Alpha®.) Point number five is about relationships, and is inherent within the survival of the human advisor. We are in a new era of collaborative alliances. The real point here is that the advisor now must be wary of taking on relationships that are detrimental to his or her best interests. We are in a new era of collaboration where trust must be vetted in both directions trusted advisors must collaborate with trusted clients. Vast responsibilities and expectations must be made tangible for success to be encountered. And finally, as for the last point for offering a more diversified portfolio of asset classes... I don't even know where to begin... whether it be in the flawed beliefs of asset allocation that has covered this industry like a plague or the abuse of index investing Re: Fama French study. My mission is not to educate advisors on portfolio design... my mission is to help advisors discover all of the other aspects of their businesses that have a greater bearing and more weight on the development and growth of wealth for their clients than simply the outcomes of capital markets on a daily, weekly, monthly, quarterly or annual basis. Portfolio design and capital markets rarely engineer wealth, it is the hard work and dedication of the client/investor paired with the wisdom of a financial steward that grows and maintains the portfolios which give both parties access to more options to achieve their goals and dreams. If you are an advisor who wants to discover the 90% of your business that actually helps grow and maintain your clients' wealth (Tangible Alpha®), please continue your journey on advisorcrunch.com Let me help you build your best possible practice. If you agree with my opinions that have been based off of my principles in my experience and my wisdom then it's time for you to discover your Tangible Alpha®. For my lifelong clients that have been going through the Tangible Alpha® (or versions there of) program let this article be an example for how you can create original content and enhance your reputation through content curation. Remember that you are in a business of opinions and nobody's opinion matters more than yours. Access original article here http://bit.ly/1vz9Xre
Six ways that human advisors kick robo-advisor butt - You can't hug a client with robo arms -- or confer peace of mind, offer actively managed or alternative investments, help build a legacy...
Grant Barger's insight:
It always cracks me up when the #fiduciary standard is brought to bear. We are getting ever so close to being able to define absolutely the differences that are uniquely relevant within every advisory practice. Discovering defining designing and delivering one's own #tangiblealpha will be the difference between the Robo's and the survivors... Nay, the advisors who thrive! #beyondfiduciary Advisorcrunch.com
Investment performance is always an issue for some clients, and some other advisor will always have better performance – or at least they say they do. Once in a while, clients are going question you, your process and your performance …get used to it.
Grant Barger's insight:
Another article referring to TangibleAlpha ® -the value that you bring to the table that is as significant as ROI because of the impact on the total portfolio- If the advisor in the story understood his Tangible Alpha ® the filter / fortress would have mitigated the poacher's advances. The distinctive questions must be proactive... Not reactive. The perception of your value is entirely up to you.
Sharing your scoops to your social media accounts is a must to distribute your curated content. Not only will it drive traffic and leads through your content, but it will help show your expertise with your followers.
How to integrate my topics' content to my website?
Integrating your curated content to your website or blog will allow you to increase your website visitors’ engagement, boost SEO and acquire new visitors. By redirecting your social media traffic to your website, Scoop.it will also help you generate more qualified traffic and leads from your curation work.
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Creating engaging newsletters with your curated content is really easy.