How well do you think you know your wealthy clients? It turns out maybe not as well as you think, according to Joslyn Ewart, writing on ValueWalk. Ewart writes that financial advisors should schedule time to have heart-to-heart conversations with their high net worth clients. What they find out may surprise them. Ewart found in her talks that clients are concerned about losing their wealth, making sure their heirs are taken care of, having adequate medical insurance and having enough money in retirement. Yes, limiting how much they pay in taxes is a concern for these clients, but also one that's expected of financial advisors to handle. These others are more emotional concerns, and advisors can turn them into clients for life if they can allay their fears.
Are You Married to a Spender or a Saver?
Penny-pinchers say they want to marry like-minded spouses. But does it work out that way? Not really, a survey from TD Ameritrade finds. Almost 60 percent of "spender" women end up with a "saver" partner. But when it comes to men who are spendthrifts, fewer than 40 percent marry a saving-conscious spouse. Overall, that's a pretty large chunk of couples who aren't on the same page when it comes to handling their finances, and this has important implications for retirement planning. "It’s not critical that both spouses be Spenders or both be Savers," said Matt Sadowsky, director of retirement at TD Ameritrade. "But it is critical that there is an open dialogue between the two about what retirement looks like for them and a shared vision and plan for their future.”
AssetMark Adds American Funds to Its Platform
American Funds has joined AssetMark’s turnkey asset management platform as a strategist managing asset allocations, AssetMark announced Monday. Six of American Funds’ Model Portfolios are now available on the platform. The portfolios are based on three investor objectives—preservation, balance and appreciation, and include a blend of actively managed American Funds. The model portfolios were launched in 2012. "These six model portfolios, which are based on strategies created by our American Funds Portfolio Oversight Committee, a group of senior investment professionals with an average of 28 years of investment experience, are designed to meet real-life, long-term investor needs," said Bill Brady, senior vice president for wealth management, Capital Group.
