benchmarks, CRM2, Financial Advisors, investments, Software, Understanding Investments

New regulation is here and one software provider believes it can help you restore client confidence:

The Financial Industry has just gone through its first RRSP season with the new performance reporting requirements.  There have been more questions, more confusion and more time demands on the financial professionals.  There have been challenges, but successes as well.

Top CFP’s have had varied responses but a few positive words have been spoken.   Said one CFP:  “The onus is now on us to step up.   If you can provide your clients with a clear picture of their financial situation you are well on the road to having a good relationship for the duration.   Your clients need to know just 3 things:    1.Financially, where are they now, 2. how did they get here, and 3. where are they going to be?   If you can answer these 3 questions, why the heck aren’t you on a yacht in the Bahamas?“

On a more serious note, if you could explain those three aspects, you would be restoring client confidence that may have been shaken with the incongruous reports from the corporate financial system.

  1. Where are they now?

Show your client graphically, what they are investing in.   It is then easier to guide them in making informed decisions.

  1. How did they get here?

What are the consequences of their decisions?   Over the course of the years, you have advised your client and they have made decisions in consultation with you.   Show them graphically, what would have happened if those decisions had been different.   For example, what would have happened if they had gotten out of the market in 2009.

  1. Where are they going? Will it be salmon or cat food in the tin?

Where will they be in 10 years?  20 years?   Illustrate graphically, various scenarios and the effects of their investment decisions.   This is completely speculative, but most clients welcome the opportunity to visualize a variety of outcomes.   The simple exercise of varying retirement age or adding 10% to savings per year, and graphing these numbers so that the client can see pictorially, the effect of their actions, will propel good things.

Obviously, none of the above questions can be answered definitively.   But illustrating the speculations above with graphs and pictorials will help the client internalize good strategies.    This will go a long way in entrenching client confidence in your value as a professional.

How do you compete with new low cost alternatives and the new advisors coming into the industry?  By providing your clients with superior professional financial guidance.

financial software for planners and advisors

 

 

Advertisements
Standard
Annual Performance Reporting, CRM2, CRM2Plus Software, Financial Advisors, portfolio analysis software, Uncategorized

How to Respond to Client Questions or

Ten Things you should know about CRM2plus Software

Things you already know:

  • Clients are asking more questions.
  • Questions take time to prepare for.
  • Time is always in limited supply.

There are software tools that will help you respond to client questions in less time and demonstrate the value of your professional services to your clients.

Once such tool is CRM2plus.   It satisfies and goes several steps beyond recent CRM2 regulations regarding performance.

  CRM2plus Feature Comparison

Feature Typical Software CRM2plus
Graphical Presentation -presents results in a table – results are graphical for clarity.  Graphs of fair market value and returns over different time frames such as Quarterly, Annual, 5 yr or custom dates are available.
Client Focused Portfolio Aggregation -reports on assets held by a single investment company -reports from the investor’s point of view.  Reports on performance across products and investments, including assets such as personal real estate holdings, showing a total financial picture.
Merging Accounts -single client, single account reporting

 

-reporting on any level of aggregation from individual accounts to family wealth management:  RESP’s, RRSP’s, TFSA’s, personal investments, business investments, family trust.
Benchmark Comparisons -compare against a single fixed benchmark

 

-create a transactionally consistent comparison to a blended benchmark portfolio including several different indices (e.g. 40% TSX, 20% DEX Universe Bond Index, 20% Euro Stoxx 50, 20% Gold)
Rebalancing -none -dynamic rebalancing to reflect the client’s portfolio mix
Testing Hypotheses -none -allows the Financial Advisor to demonstrate the value of their advice:   A copy of the client portfolio can be tested against various hypotheses:  “What would have happened if the client had not taken the advice and had sold late 2008?” Simulations against legitimate benchmarks can include timings of transfers and rebalancing.
Import External Data -none – Digital data can be imported.  To minimize the data entry burden, CRM2plus will read pdf’s.
Design Focus Corporate system built from the enterprise out to track transactions for the corporation. CRM2plus is a grass roots product; built from the bottom up, designed by Financial Advisors to help them better service their high net worth clients.

 

Why is CRM2plus software important for you?  Success comes from a competitive advantage and CRM2plus software gives you that advantage.

 

 

 

 

 

 

 

 

 

Standard
Annual Performance Reporting, benchmarks, CRM2, CRM2Plus, Financial Advisors, Software, Uncategorized

Client Questions, Time Pressures and CRM2

My performance is only gaged by what my last statement was so I don’t really have a sense of how I am doing or what my performance was. “

“My portfolio went up and I was happy.   It went down and I was sad.  I have been doing this for 16 years and I don’t know how much I have invested and how much I have made.”

This was a conversation with one of my clients and I am certain that it is not untypical. Explaining financial performance to clients is a challenging undertaking. Entering data, running analyses, and creating graphs and pictorials, are complex and time consuming tasks, but are necessary preparations for client meetings.

How do you streamline this time-consuming process?

New tools have become available to meet this challenge.   Portfolio analysis software, such as CRM2plus, will significantly reduce your workload.   This software reads in financial statements and in minutes, graphs investments against current value, identifies top performing quarters and years, and compares against meaningful benchmarks that mirror the portfolio holdings.  CRM2plus creates, in pictorial form, tangible and meaningful information for you and your client.    CRM2plus for Planners

CRM2plus was designed by financial advisors to address the new regulatory requirements.   Once top financial advisors saw the benefits of using this software, the capabilities were expanded to include benchmarking, merging portfolios, and creating counterfactuals.  In 2016, this software was made available to the public for general subscription.

Investment Analysis Software

Software for Financial Advisors, Financial Planners, CFP’s

CRM2plus for Planners

Standard
CRM2, CRM2Plus, CRM2Plus Software, Financial Advisors, investment analysis

Working with the Average Investor

The average investor lacks the time to make sense of their financial reports.  The biggest benefit of using a financial advisor is having a credible, well-educated individual to explain performance and help guide financial decisions.   Explaining financial results and guiding decision making are key roles for the advisor.

Easier said than done!  The majority of financial statements generalize important information into percentages that are not meaningful or easily understood.  Subsequently the onus is on the financial advisor to create clarity, which can become a time consuming task.

Some very successful financial advisors have turned to 3rd party software to help explain client performance.   One well reviewed software application for portfolio analysis is CRM2plus.

CRM2plus software provides clarity to financial statements.  Information is condensed into visuals that are easy to read and understand. Statements can be read into CRM2plus, analyzed and graphed at the press of a button.  Questions such as ‘what if I did this?’ can be answered easily with visuals and actual market data.   Investment Analysis Software

  “How does CRM2plus differ from what is available in the marketplace?” 

Answer:  CRM2plus provides an advisor with tangibles to demonstrate their value to their high net worth clients.

The key competitive advantages of CRM2plus software are;

  • Clients see graphically what was invested and when, against portfolio market value over time.
  • Performance of the complete portfolio can be shown on one graph. The advisor can analyze various assets and aggregate them for a complete financial picture, including external assets such as real estate investments.
  • The advisor can group clients. This is relevant when analyzing a family’s pooled assets such as husband and wife’s RRSP’s, TFSA’s, a family trust, and a business.
  • Benchmarking: Using data from major stock market indices including S&P and NASDAQ , the software can create a transactionally consistent comparison portfolio for benchmarking. Indices can be weighted, to demonstrate the effects of market movements on a client portfolio.

Why is CRM2plus software important?  Success comes from being the best and this is easier with the best tools.   CRM2plus is a competitive advantage for the Financial Advisor to retain high net worth clients.

working-with-the-average-investor

Standard
investment analysis, Retirement Saving, RRSP

The Value of Financial Advice

by guest blogger Jan Hanson

As a client, you may be wondering what you’re gaining from your Financial Advisor’s advice or whether or not the value they bring to the table is worth paying for.

The average investor doesn’t have the time or the interest to sit down and analyze pages of financial jargon, or the dedication to attempt to dissect their financial statements. While having an advisor can be lucrative in generating higher returns, it also provides access to the opinion of an educated individual and all of their resources.

value-of-advice
If your statements are so muddled you don’t even know where to start, it may bring you peace of mind to know that studies have proven that advised households have approximately twice the level of financial assets as their non-advised counterparts.

Meaning while paying fees for a professional’s guidance may not prove to be immediately beneficial, in the long term, it has proven to generate double the amount you would have made without the advice.

#crm2plus.com

Standard
CRM2Plus Software, Financial Advisors, investment analysis, portfolio analysis software, Software

Time Management and the New Financial Advisor

by guest blogger Jan Hanson

Time management is one of the hardest skills to develop. Anybody can write a list, add 100 tasks and set a due date. A rare few are able to focus long enough to complete more than 5 of these tasks. It’s in human nature to be distracted. What human nature doesn’t understand is that

  • you need to send out those Happy Birthday emails,
  • talk to your Marketing Assistant,
  • confirm your schedule for the next week
  • keep up appearances in relevant community events,
  • and still have time for your friends and family. (…eating and sleeping are extras.)

Life as an Advisor is always going to require time management. Your to-do list is going to increase as you build your business, and perfect your craft. Once you’re at the top of your game you’re still going to be required to juggle all those things you had to juggle before.   Added to concerns about your revenue stream will be:

  • making time to attend to your waiting list of clients,
  • time to manage your Marketing Assistant so that they are not smothered
  • and time to bat off New Training Managers with a stick while they all try and draw you into their New Advisor Training Sessions.

Cut down on the time that you and your Marketing Assistant spend on Financial Analyses’  by using the right software.   There are tools out there, such as CRM2plus, that allow you  to answer questions, graph performance, create speculative scenarios about investing and restults.   Build pictorials that will stun your clients with the benefits that you provide them.  Spend more time building that book of business with happier more satisfied clients.

With all this success, you’re probably going to need another MA though.. it may be  a good idea to hire some of those new advisors too.. just a thought.

Create Clarity for your Clients

 

Standard
Annual Performance Reporting, benchmarks, CRM2, Software

How can prepping client meetings be made more efficient?

Preparing for client meetings is time consuming.   Generating the graphs, creating pictorials and tangibles so that your high net worth clients can appreciate their performance….

Using a software tool such as CRM2plus can save hours of prep time and give you that opportunity to demonstrate to your clients, why trusting you with their investments is a good idea.

CRM2plus satisfies and goes several steps beyond recent CRM2 regulations regarding performance, allowing the advisor to demonstrate their value to their high net worth clients.

The key competitive advantages of CRM2plus software are;

  • Clients see graphically what was invested and when, against portfolio market value over time.
  • Performance of the complete portfolio can be shown on one graph. The advisor can analyze various assets and aggregate them for a complete financial picture, including external assets such as real estate investments.
  • The advisor can group clients. This is relevant when analyzing a family’s pooled assets such as husband and wife’s RRSP’s, TFSA’s, a family trust, and a business.
  • Benchmarking: Using data from major stock market indices including S&P and NASDAQ , the software can create a transactionally consistent comparison portfolio for benchmarking. Indices can be weighted, to demonstrate the effects of market movements on a client portfolio.

 

TANGIBLE BENEFIT CRM2plus
Graphical Presentation – results are graphical for clarity.  Graphs of fair market value and returns over different time frames such as Quarterly, Annual, 5 yr or custom dates are available.
Client Focused Portfolio Aggregation -reports from the investor’s point of view.  Reports on performance across products and investments, including assets such as personal real estate holdings, showing a total financial picture.
Merging Accounts -reporting on any level of aggregation from individual accounts to family wealth management:  RESP’s, RRSP’s, TFSA’s, personal investments, business investments, family trust.
Benchmark Comparisons -create a transactionally consistent comparison to a blended benchmark portfolio including several different indices (e.g. 40% TSX, 20% DEX Universe Bond Index, 20% Euro Stoxx 50, 20% Gold)
Rebalancing -dynamic rebalancing to reflect the client’s portfolio mix
Testing Hypotheses -allows the Financial Advisor to demonstrate the value of their advice:   A copy of the client portfolio can be tested against various hypotheses:  “What would have happened if the client had not taken the advice and had sold late 2008?” Simulations against legitimate benchmarks can include timings of transfers and rebalancing.
Import External Data – Digital data can be imported.  To minimize the data entry burden, CRM2plus will read pdf’s.
Design Focus CRM2plus is a grass roots product; built from the bottom up, designed by Financial Advisors to help them better service their high net worth clients.

 

 

 

Standard