News Round-up for Week of March 27
30th Mar 2017
Here’s our round-up of top articles on wealth, small business retirement plans and financial news.
Estate planning when tax laws are uncertain
Advisors may be wondering how they can guide clients on estate planning when the country is still awaiting potentially significant changes to U.S. tax policy from President Donald Trump. Should they wait to discuss such planning with clients until there is a more-definitive policy? The answer is no. A large component of estate planning involves transferring assets to irrevocable trusts. This offers a number of non-tax-related benefits, including asset protection, divorce protection and management structure for potential future disability.
Clients Want More, Not Less, Portfolio-Level Data
Some advisors are seeing growing momentum for raising fiduciary standards across wealth management. According to a study by a team of European academics titled “Does Feedback on Personal Investment Success Help?” advisors are learning from allied professionals such as educators and clinical psychologists how to more effectively work with clients on guiding their investment behavior. The study has found an almost-uniform change in investment behavior by clients given regular feedback on portfolios.
Baby Boomers May Be Putting Their Family’s Inheritance In Danger
Research carried out by Safestore has revealed that 31% of people aged 55 and over do not have a will and as a result, may be risking inheritance for future generations Out of 31% of adults aged 55 and over who do not have a will: – 12% have children in their household – 16% are separated or divorced – 48% admit they ‘haven’t got round’ to writing one – 18% feel that they don’t have anything of value to leave behind – 12% believe that all assets would go to a partner regardless
Via Trust Advisor
The Three Different Flavors of Family Businesses
Each family that runs its own business also has its own culture, say two psychologists who work with wealthy families. And understanding those cultures — which these psychologists break down into three groups — can make it easier to resolve intergenerational or cross-cultural conflicts that arise as the business matures and expands.
Via New York Times
The Internet May Force More Fee Disclosure on Financial Advisors
When deciding how much to say about their fees on their websites, financial advisors need to examine how much is disclosed by their rivals. The key to ensuring prospects don’t get turned off while comparison-shopping among potential advisors is to project trustworthiness. When it comes to disclosure, there are four choices, according to Jack Waymire, founder of the RIA-focused marketing firm Paladin Digital Marketing: Disclose nothing about fees; give out some guidance on what they charge; disclose limited information; or be completely open.