Fiduciary Rules

Sam Altman’s reputation for spin was out in full force this week in a published “letter to employees” announcing that he was abandoning plans to turn OpenAI into a for-profit company. Instead, it will “continue to be overseen and controlled” by its nonprofit board.

With investors experiencing heightened anxiety about their financial futures, your approach can make the difference between client retention and attrition. This comprehensive guide from our senior consultants explores actionable strategies for effective client communication during market volatility.

This article focuses on asset-based fees that cover both advice and investment-related costs, which is a model that I believe is best-suited for most individuals, as advisors can add value across multiple dimensions.

While tariff negotiations may well bear fruit eventually, investors today are trying to figure out the impact of changing trade pacts on GDP growth, interest rate levels, the value of the dollar, and the ability of the Treasury to refinance $9.2 trillion of our $36 trillion federal debt in 2025.

The fintech revolution has opened doors to optimizing home office operations, but the question remains: How can wealth managers effectively harness their tech stack to reduce fragmentation and simplify processes related to vendor workflow management?

No matter what form of compensation you take, it is impossible to eliminate “conflicts” to the extent assumed by the proponents of a new fiduciary standard.

This may be the beginning of the long-awaited U.S. stock market crash, but even if it isn’t those near retirement need to protect themselves from sequence-of-return risk that can ruin the rest of their lives.

This article provides information on the history and more recent developments of trust law and the corporate trustee industry. This information will help advisors to make informed decisions on clients’ generational planning choices, and to attract and retain assets.

In this column, I’ll share some marketing secrets I’ve seen work well, whether you are trying to do lead gen or whether you are in a “finals” situation competing against other advisors, or whether you are talking with a prospect in your office.

In today’s hyper-competitive environment, delivering an institutional-caliber portfolio isn’t just table stakes – it’s a fiduciary mandate that exceeds the scope of an individual advisor. Here is a checklist to help advisors evaluate whether their current approaches align with institutional best practices.

Though you may not agree with my view on all seven of these terms, it may be beneficial for you and your clients to at least consider them.

Although annuities can offer a guaranteed income stream in retirement, they come with significant risks and complexities. It's essential to thoroughly understand these products and consider whether they align with your financial goals and risk tolerance.

While restrictive covenants serve an important role, their enforceability hinges on their scope, the dictates of state law and, ultimately, public policy considerations regarding balancing employer business interests with employee rights to pursue their careers.

The PPA has made a mistake in designating an MA as a QDIA. Perhaps the drafters of the PPA were thinking about accounts that are actually managed, but those participants do not default, so that flavor of MA is not a QDIA, and is typically reserved for executives of the sponsoring firm.

One of the fastest and easiest ways to unravel your financial security is to have the wrong person gain control of your money.

Ultra-wealthy investors have unique needs and goals. While a typical high net worth client is focused on the next dozen years, these more deep-pocketed clients – like their institutional counterparts – have a much longer time horizon.

President Trump’s nomination of Paul Atkins as the next SEC Chair signals a potential sea change in regulatory approach, one that could dramatically reshape the landscape of alternative investments.

Some of America’s leading financial firms are hoping to sell the White House on what sounds like a compelling idea: Open employer-sponsored retirement plans to the private investments they manage, so regular folks can reap returns currently reserved for the wealthy.

While it’s true that every administration brings policy shifts that can directly impact retirement savings, the speed and breadth of what is currently being proposed feels like we are headed into unprecedented territory.

Finally, an innovation has arrived in 401(k) investing. PTDAs are new. They combine multiple target date glidepaths with managed accounts, potentially using the best of both. Because they are new, it will be easy to think of them all as being the same, but that is far from the truth.

As is our custom, we conclude the year by reflecting on the 10 most-read practice management articles over the past 12 months. Enjoy!

We’re continuing the Advisor Perspectives tradition of highlighting the most-read investing articles for 2024. Enjoy!

Despite being the generations with the most knowledge, experience and potential resources, many are still unsure about their financial future.

When done effectively, your outsourced team of professionals can help improve efficiencies, increase productivity, and scale profitably – all while giving you the freedom to focus on what you’re most passionate about.

Here, we'll explore why serving family offices is a natural fit for many RIAs, discuss the considerations that need to be factored in when launching an MFO practice, and offer a roadmap for successfully building one.

Digital assets are emerging as a crucial subset of alternative investments, and their integration into wealth management portfolios is inevitable.

Risk. It’s a tiny word for a critical investment concept, one that necessarily merits ample discussion by advisors with their clients. Unfortunately, evidence suggests this may not be happening evenly across the advisory industry.

Whether you’re transitioning from another firm or starting from scratch, setting up your own independent registered investment advisor (RIA) firm is a tremendous opportunity that can provide higher earning potential, freedom, flexibility, and the opportunity to build a legacy.

America’s financial industry has long had trust issues. Never mind the Great Financial Crisis of 2007-08; mistrust of the markets dates back to at least 1929, if not the Dutch East India collapse of 1769. But this history has an upside: Financial institutions have a lot of experience creating systems to build, maintain and restore trust — and have learned lessons that can be applied across the economy.

The ERISA Advisory Council is conducting hearings on Qualified Default Investment Alternatives (QDIAs), seeking recommendations for improvements. The big challenge is making better decisions for people who do not want to engage.

Here’s a quote attributed to P. J. O’Rourke, an American author, journalist and political satirist: “There is a simple rule here, a rule of legislation, a rule of business, a rule of life: beyond a certain point, complexity is fraud.”

The “country” in this article is the wild and woolly market of small retirement savings plans (SRSPs) that have less than 100 participants. The “old men” are baby boomers who cannot afford to lose their lifetime savings. And the villain is the next stock market crash.

This article examines both breaches at AT&T, discusses how the data can be used to perpetrate detailed deep fakes, and shares how you can advise your clients and staff to protect your clients’ investments.

Conflicts are everywhere in financial planning. They exist in all fee models, whether they be commissions, assets under management, fixed fee, or hourly. Any time money changes hands there are conflicts of interests.

AI and automation will revolutionize the financial advisory industry. These technologies enhance efficiency, improve client communication, and enable data-driven decision-making. By 2035, AI will be integral to most advisory firms.

Last week, the Supreme Court overturned a decades-old legal doctrine that gave federal regulators the power to interpret unclear laws. This touched off a lot of wild rhetoric about the end of the administrative state.