Practice Management Wealth Management Insights
Personal Relationships and Financial Services
![Headshot of Marco Williams](/sites/default/files/inline-images/cb15-finservenetworkinsight-marcowilliams.jpg)
“I was the oldest grandchild on both sides of my family, and a lot of expectations fell on me to give good advice – and money was one of the most important parts of that,” he said.
Acting on that impetus, Williams started in financial services as an advisor, often going door to door to solicit new clients and work with existing ones. These days, he’s a vice president and regional wealth management specialist within JPMorgan’s practice management division, consulting with financial advisors across the Southeast, Mid-Atlantic and New England regions, including those in the independent or registered investment advisor (RIA) space. He says his career journey has been an evolutionary one in many ways.
“It’s given me a lot of insight into how to not just be a better advisor, but also how to run a successful business,” he said. “When you start out in this industry, especially independently, you often have to wear a lot of different hats: sales, operations, compliance, managing and planning, and more. It can really weigh on you sometimes, but it teaches you a lot about who you are.”
Sculpting Skills to Succeed
Williams says many elements of his over 15 years of experience in wealth management and financial services made him aware of the power of knowledge and leadership – among them his stint in The College’s Black Executive Leadership Program.
“The College brings financial knowledge, education, and acumen to the table in a way that’s just phenomenal,” he said. “So when my then-managing director reached out to tell me about this new program The College was starting up, it was kind of a no-brainer for me.”
The Black Executive Leadership Program offers high-potential Black and DEI-committed professionals ready to advance in corporate leadership the resources to power their next career steps. With its hybrid online and in-person program and its model of executive sponsors and student fellows collaborating in both settings, it’s helped set many rising leaders up for success, and Williams praised the culturally relevant insights of the curriculum.
“You can only learn so much in a textbook; it makes you aware of the issues, but not always how to navigate them,” he said.
When it comes to practice-building advice, Williams offered four key points for advisors to consider:
- Look for people who are looking for you. “Many of us are looking to improve and advance ourselves in the business, and the Black Executive Leadership Program reminds us of a lot of cultural and social issues at play and business dynamics that can have an impact on growth,” Williams said. He further explained that it’s important to find a workplace where professionals feel they belong and will be heard by supervisors.
- Preparation is key. “You have to be detail-oriented, understanding the nuts and bolts of what you’re doing,” Williams said. Only then, he says, can professionals continue moving in the direction they want successfully – and hopefully have fun while they’re doing it.
- Develop your emotional intelligence. Often in business and in life, things won’t turn out the way you want them to; the defining factor is how you respond to it. Williams emphasized that it’s important to separate the ego from the professional workplace. “If a client or potential client says no, that’s okay, and there’s usually a reason for it,” he said. “Instead of getting offended, take a minute to ask them questions and try to find that reason. They may respond with something you hadn’t considered that can help you get them to yes.”
- Understand how your business model operates. “Before we even sit down with clients to have investment or other conversations, we have to understand exactly how our business is set up so we can help our clients understand, too,” Williams said. He says programs like the Black Executive Leadership Program and other learning opportunities exist to assist professionals in crafting these business models and developing their communication skills.
Building Client Relationships
Financial professionals are often told about the need for building strong client relationships – but Williams says his experience shows it’s even more important than some may think.
“Financial advice often has very little to do with finance,” he said. “It’s been a long time since I’ve had a Series 7-related question. Alpha, asset management strategies – these are table stakes. Relationships are the selling point of your business.”
Williams emphasized that his interactions with clients often border on life counseling in addition to financial planning and investment management – and it’s important advisors get comfortable with and be prepared to take on that role.
“Personal finance truly is personal: you’ll find yourself talking to your clients about things that have nothing to do with money. When feelings are tied into money, it becomes a highly emotional situation. It’s a sensitive subject, and you’ll become part of all kinds of conversations you never expected.”
So, how does an advisor build the kind of trust-based relationships it takes to make these connections possible? Williams advises a sound knowledge of yourself, your business, and your values – which, in turn, will give you confidence.
“There are a lot of options out there for financial planning these days, and people are often hesitant. You have to make them believers in what you’re offering,” he said. “Clients pay close attention to your attitude and your process while working with them – so you need to focus on strong communication and adding value in each interaction you have with them.”
It’s also often cited that financial services is a high turnover industry, with many new advisors lasting less than five years before transferring out of the business: according to Advisorpedia, 90% of advisors quit the profession within three years. Williams, however, says the ingredients for success are there as long as professionals are willing to look for them – and prepare themselves for the long haul.
“My father used to say his success in law happened almost overnight. It’s not that way in financial services,” he said. “Stamina is critical. Discipline, emotional intelligence, and consistency are all things I learned along the way. The key to making it is modeling your business to run efficiently and give your clients confidence. That way, you have the confidence you need to sleep at night and spend time with your family.”
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About The College Diversity, Equity & Inclusion Insights
CAAFP 2024 Recap
![CAAFP 2024 attendees in the crowd](/sites/default/files/inline-images/rt-2024caafp.jpg)
For three days from August 12-14, 2024, attendees of the 18th annual event focused on empowering, educating, and advocating for the role of Black, African American, and DEI-committed professionals in the financial services industry experienced informative and inspirational workshops and coaching sessions plus invaluable networking opportunities.
The conference was truly transformational for all involved as it focused on the theme of Expanding Our Collective Impact: building solutions to the racial opportunity and wealth gaps that still persist in America today.
The Power of Insurance Planning
The first day of CAAFP 2024 opened with an insightful conversation between two financial services industry leaders: Salene Hitchcock-Gear, president of individual life insurance at Prudential; and Kam Harris, vice president of actuarial and risk at Atlanta Life Insurance. In their discussion, they focused on their diverse roles within the insurance planning space – one of The College’s foundational pillars thanks to the Chartered Life Underwriter® (CLU®) designation program – and how insurance can shape the futures of diverse communities.
Hitchcock-Gear and Harris also talked about the relationship between insurance and legacy planning, and how Black and African Americans have been left out of conversations about building generational wealth.
Along with a welcome dinner filled with fun and fellowship, attendees went to bed excited for the next day’s main events.
Financial Services Policy and Prosperity
The second day of CAAFP 2024 kicked off with a keynote address from Donna Brazile, a veteran political strategist and author. Brazile drew on her extensive history with Washington, DC and legislating to examine the current state of the country – and what can be done to narrow wealth gaps between diverse communities.
“Leadership comes in all kinds of flavors, shapes, sizes and colors,” she said. “We are not going back. We are going to celebrate who we are, and we are not afraid to claim diversity, equity and inclusion.”
After getting a chance to attend a series of workshops and coaching sessions and check out The College’s Networking Lounge – filled with information booths and activities, as well as shopping opportunities from local merchants – attendees enjoyed lunch and a conversation between two more industry movers: George Nichols III, CAP®, president and CEO of The College; and Raphael Bostic, president and CEO of the Federal Reserve Bank of Atlanta.
In their discussion, Nichols and Bostic took a look at the role of the Federal Reserve, bankers, and the financial services industry in unlocking new opportunities for communities of color.
“Information is power, and we want to get that information into the hands of the public,” Bostic said. “Our job is to create certainty and an economy for everyone. If we’re doing our job, people will feel optimistic about the future.”
Finally, the evening was capped off with a celebratory White Party, where all attendees were invited to wear their best white outfits and dance to the beats of DJ Shakim and Dee-1. It was the perfect ending to an eventful day!
Empowering Future Generations Through Finance
While no one wanted CAAFP 2024 to end, day three of the event wasn’t short on excitement and insight. To kick off the day, Nichols hosted a fireside chat featuring Virgil Miller, president of insurance giant Aflac U.S.
Following that session, the CAAFP crowd heard a powerful address from Michelle Singletary, author and award-winning personal finance columnist for The Washington Post. Singletary stressed the importance of legacy-building for Black communities and families, returning to the themes of day one while adding her own ideas on how a change in mindset is necessary to close the racial wealth gap.
The College recognized the excellence of African American financial professionals with its annual presentation of the Lang Dixon Leadership and Excellence in Achieving Diversity (LEAD) Award. This year, two award recipients – Maceo A. Sloan, CLU® and Calvin F. Vismale, CLU® – were recognized posthumously as two of The College’s first Black alumni in the CLU® Program and among those who paved the way toward increasing diversity in the insurance business.
Finally, the entire event was capped off by a talk from Dawn Staley, a legendary figure in women's basketball. Staley is renowned both as a former player and as the current head coach of the South Carolina Gamecocks, leading the team to multiple national championships, SEC titles, and Final Four appearances. She played eight seasons in the WNBA as a stellar point guard for the University of Virginia, and was a three-time Olympic gold medalist with the U.S. women’s basketball team. In her address, Staley focused on critical elements of leadership needed to expand collective impact.
“I hope CAAFP attendees do three things after this great event: expand their knowledge, expand their network, and stay connected—both with The College and with each other. That’s how we’ll deliver on the promise of the conference and Expand Our Collective Impact.”
George Nichols III, CAP®
President and CEO
Thanks to all who attended CAAFP 2024! We look forward to seeing even more financial professionals and continuing to expand our collective impact in 2025.
Get an inside look in this year’s recap video.
More From CAAFP:
Learn About the Event.
Visit the Center for Economic Empowerment and Equality.
Ethics In Financial Services Insights
AI Governance in Life Insurance
![Financial advisor using AI for work](/sites/default/files/inline-images/rt-ethicinsight-aigovernance.jpeg)
The afternoon panel on unfair discrimination in insurance underwriting was a presentation by Azish Filabi, JD, MA, managing director of the Center for Ethics in Financial Services, and Sophia Duffy, JD, CPA, AEP®, associate professor of business planning at the American College of Financial Services, about the ethical and governance challenges of artificial intelligence (AI) in the life insurance industry.
The panel highlighted the ethical and regulatory challenges of AI in the life insurance industry, drawing insights from a 2022 academic paper with the National Association of Insurance Commissioners (NAIC), "AI-Enabled Underwriting Brings New Challenges for Life Insurance: Policy and Regulatory Considerations," and a 2021 white paper, "AI Ethics and Life Insurance: Balancing Innovation with Access."
The panelists emphasized that AI differs from traditional algorithms because complex machine learning systems can obscure the decision-making rationales in underwriting, which creates new legal and ethical challenges. Moreover, once AI systems are embedded within a process, their operations become difficult to disentangle. The opacity of these systems, often referred to as "black box" systems, poses significant technical challenges, necessitating increased technical literacy and education. The proprietary nature of many AI systems adds another layer of complexity. This opacity and complexity make it difficult to ensure that these systems comply with anti-discrimination laws, particularly those that prohibit discrimination based on legally protected characteristics, like race.
AI systems can inadvertently result in unfair discrimination by using data sources that have a historical bias or serve as proxies for protected characteristics, the panelists shared. This can lead to outcomes that are not just unfair, but also potentially illegal. However, determining who is responsible for these decisions is not straightforward. The chain of data ownership involves big data aggregators, algorithm developers, and insurers/lenders. While insurers are ultimately accountable for their products, they may lack the technical expertise to fully understand the intricacies of the AI systems they use. This creates a disconnect where insurers may not have the ability to shape or even fully comprehend the systems they deploy.
Another issue presented was the difficulty in defining and measuring proxy discrimination when it comes to AI-enabled underwriting. Insurers are permitted to use an underwriting factor if it’s related to actual or reasonably anticipated experience, but there’s no clear-cut standard for how effective that factor needs to be. This ambiguity means each insurer’s justification for using a particular factor can be unique, making regulation even more challenging.
Ensuring insurers' systems align with regulations while integrating various external consumer data points is crucial. A major concern is consumers may remain unaware of which data is used, such as credit scores, credit history, and social media data, raising questions about fairness and the ability to correct inaccuracies. The use of irrelevant and incorrect data can lead to mistakes that get embedded in data chains earlier in the process. Embedded mistakes could be particularly pernicious in complex AI systems that use proxy factors to render decisions. In such systems, it's possible the mistaken data input will render an answer false.
To mitigate these risks, researchers at The College recommend a three-part framework: establishing national standards to set boundaries for acceptable design and behavior, implementing a certification system to verify that systems are developed in accordance with these standards, and conducting periodic audits of system outputs to ensure ongoing compliance.
Developing nationally accepted standards would involve the creation of guidelines to ensure AI systems adhere to best practices in system design and actuarial principles. This process requires collaborative research and careful consideration of who should define these standards. Key areas to address include: behavioral validity, or ensuring that data accurately reflects the behavior of interest; actuarial significance, assessing how inputs contribute to risk evaluation; and social welfare outcomes, defining a financially inclusive marketplace.
As the panel discussion ended, the conversation turned to the importance of testing for unfair discrimination in AI-enabled underwriting. Emerging rules suggest both objective and subjective approaches. For instance, an objective method might involve a 5% threshold for evaluating disparate impact on race, while a subjective approach would permit insurers to develop their own AI testing methodologies.
Critical questions remain. Should there be a unified approach to testing for unfair discrimination resulting from insurance underwriting? Who should have the authority to determine this approach? And how transparent should insurers be with consumers about data usage and privacy rights? These considerations are essential as we navigate the complexities of AI-enabled underwriting and strive for a fair and equitable system.
The future of insurance underwriting is undoubtedly tied to AI, and regulators and industry can together make sure that future is fair and equitable. We hope our study sparks a necessary conversation within the industry and among regulators.
To learn more about AI in financial services, you can explore further with research from the Center for Ethics in Financial Services.
About The College Diversity, Equity & Inclusion Insights
Lang Dixon and the Origins of CAAFP
![Photo of Lang Dixon and CAAFP logo](/sites/default/files/inline-images/cb15-caafp24-insight-langdixonaward.jpg)
Established in 2018, The College’s Lang Dixon Leadership and Excellence in Achieving Diversity (LEAD) Award is given annually at CAAFP to an African American financial services professional who has significantly impacted the financial services profession. For 2024, two men received the Lang Dixon Award posthumously: Maceo A. Sloan, CLU®, and Calvin F. Vismale, CLU®, two of The College’s first Black alumni in the Chartered Life Underwriter® (CLU®) Program.
Along with recognizing Sloan and Vismale, those offering tributes to them at CAAFP 2024 took time to reflect on the man who provided the inspiration for the award in the first place. Lang Dixon was a successful life insurance agent and mentor who believed in giving back to his profession, and was part of The College’s inaugural African American Advisory Committee dedicated to increasing diversity and inclusion in financial services.
When Dixon passed away in 1994, the members of the still-active committee decided to commemorate his legacy with a Lang Dixon Education Day – and, thanks to the backing of some generous corporate sponsors, the idea evolved into the first CAAFP event held in 2001!
See the full story in this year’s tribute video.
Learn About the Fundamental Principles of Tax Planning
In the financial services industry, and most other industries, the goal is to provide value to your clients. In today’s financial landscape, tax planning has emerged as a growing service. In fact, according to the 2023 Herbers & Company Service Market Growth Study, tax planning is the most demanded service among clients with at least $250,000 in household assets. As such, there has never been a better time than now for financial advisors to familiarize themselves with the key concepts of tax planning. Fortunately, The American College of Financial Services and tax expert Jeffrey Levine cover these key concepts in Principles of Tax Planning for Financial Advisors.
Why Should You Care About Tax Planning
As Levine points out, the ability to offer sound tax planning advice is a valuable differentiator. Clients are unique individuals, but they all share one common trait: “All clients have the common thread of wanting to pay as little in taxes as possible.”
In addition to guaranteeing that advisors have desirable advice that clients want, knowing the principles of tax planning offers several other advantages as well. Tax planning aligns the interests of the advisor and the client, creating a unified goal of minimizing tax liabilities.
Furthermore, being a strong tax planner offers a financial advisor a significant amount of market resiliency. Paying minimal taxes is a common goal regardless of market conditions, and by mastering these principles, financial advisors will have something to offer clients in any market.
Ultimately, financial advisors should care about tax planning because it is a universal goal shared by nearly every client in nearly every situation, regardless of circumstances.
Key Principles of Tax Planning
Levine goes on to dispel several tax myths and share key insights that are important for financial advisors to remember as they look to help their clients achieve their goal of minimal tax payments. Included amongst these topics are several of the following key ideas:
- Tax rate and tax bracket are not the same. Levine points out a common misconception in tax planning, stating that advisors can often fixate on what tax bracket a client is going to be in. However, as Levine states, “The tax bracket is just one of the components, if you will, that goes into informing what the client’s true tax rate is.”
- There is no such thing as permanent when it comes to taxes. When arguing this point, Levine begins by emphasizing how often tax law changes. Essentially, even laws stated to be “permanent” are only permanent as long as Congress doesn’t change their mind. For this reason, Levine believes that advisors must take advantage of provisions that exist today, because: “We don’t know how long it will stick around for. What’s here today should be used when we have that opportunity.”
- The lowest lifetime tax bill wins. Obviously, everyone wants to pay as little in taxes as possible. However, we all have to pay them eventually. Levine argues that instead of looking to pay the least taxes year after year, advisors should plan for their clients to determine their payment schedule based on rates, saying, “The name of the game is simple: Pay taxes when your rates are the lowest.”
By mastering these principles, advisors can help clients achieve lower lifetime tax bills and navigate the complexities of tax laws with confidence. Levine goes into greater detail on these ideas and more in Principles of Tax Planning for Financial Advisors, available exclusively on Knowledge Hub+.
To access this learning opportunity, visit Knowledge Hub+ and unlock the potential to transform your financial advisory practice today.
To learn more about the Tax Planning Certified Professional™ (TPCP™) program, join the waitlist.
Retirement Planning Special Needs Planning Insights
Long-Term Care Trends and Strategies
![Overlapping network of roads](/sites/default/files/inline-images/cb15-khplus-ltcinsurancetrendsandplanningstrategies%20%281%29.jpg)
According to the most recent iteration of the Retirement Income Literacy Study, a survey conducted by The College every four years to measure older Americans’ financial literacy in 12 knowledge areas related to retirement income, one of the top areas of concern facing Americans as they head toward retirement is paying for long-term care. A number of factors contribute to this, including cuts in Social Security, inflation, and the rising costs of healthcare.
However, despite their concerns related to long term care, many Americans have not reflected it when making their plans for retirement. In fact, a staggering nearly 80% of respondents did not have a plan in place to fund their long-term care needs. Furthermore, 60% of respondents stated they had not even looked into policies or explored their long-term care options. As a reminder, these respondents were between the ages of 50 and 75, meaning that three in five Americans between the ages of 50 and 75 had not even given serious consideration to their long-term care needs in any capacity.
Additionally, the study found that a significant number of Americans severely underestimated their need for long-term care, with only 44% of survey respondents expecting they would need long-term care as they grow older. In reality, Americans need some form of long term care at a rate of 70%. According to James Karthaus, CFP®, CLU®, ChFC® these numbers represent “nothing less than a crisis.”
“This is not an industry statistic. This is a governmental statistic, and it’s actually a little dated. … 70% of folks 65 and older are going to need some type of long term care service. … The average, not the high end, is three years. … 80% of folks don’t have a plan. To me, that’s nothing less than a crisis.”
- James Karthaus, CFP®, CLU®, ChFC®
In this discussion, featured in a recent webcast hosted by The College on their subscription-based learning platform Knowledge Hub+, Kaylee Ranck, PhD, director of research at The College, Karthaus, assistant professor of financial planning at The College, and Joellen Meckley, JD, MHS, ChSNC®, managing director of the American College Center for Special Needs and associate vice president of Centers strategy and operations at The College explored this disconnect between the average American’s expectations and the realistic need for long-term care, reviewed how exactly long-term care is defined, analyzed trends in the industry relating to long-term care, and discussed several real world examples relating to long-term care.
What is Long-Term Care?
In order to better understand the discrepancy between Americans’ expectations and the realities of long-term care, Meckley provided the audience with additional information as to what exactly long-term care is and how to determine if someone is in need of long-term care. According to Meckley, long-term care occurs when an individual needs assistance with two or more activities of daily living. These activities include:
- bathing
- dressing
- eating
- toileting
- transferring / mobility
- continence
Meckley also pointed out long-term care manifests in a number of different forms and the long-term care one person receives can look significantly different than what another individual receives. These different forms of long-term care can include in-home care, hospice care, and therapy, as well as others.
As Karthaus said, these different forms of long-term care are important to consider when choosing a policy that suits the goals of your client. “Make sure, if you do elect a policy, you’re meeting the clients in the space they want to be,” he said. “If they want to go to an assisted living facility, fantastic. Just make sure the policy that you’re paying for or having them pay for, can meet them where they want. If they want to be at home … (with) an unpaid caregiver, they need informal care on their policy.”
Trends in Long-Term Care
Karthaus went on to emphasize the importance of considering trends in long-term care and the history of different policies when electing the one that best suits your client. Karthaus offers comparisons between traditional long-term care insurance, hybrid policies, life insurance policies with long-term care access, employer-sponsored long-term care insurance policies, and others. Each of these has a variety of pros and cons, and he said it’s important to measure these when considering which policy is the best fit.
Meckley explained what happens when clients actually begin needing long-term care, indicating that many people seem to be unprepared for the experience:
“Only one in three … respondents to our survey knew that it was not true that Medicare would pay for a year of nursing home care. … That’s often shocking to people. So there’s a huge knowledge gap out there. And unfortunately, it’s not just with clients, it’s also within the profession.”
Meckley continued by discussing other issues people face when attempting to use long-term care benefits, warning individuals of the 90-day elimination period in which they are waiting on long-term care benefits to become active, issues brought on by inflation, and the likelihood that an individual in need of long-term care will likely see that need increase over the course of their life, thereby seeing an increased cost they may not be prepared to pay.
Want to learn more about this important topic? Watch Ranck, Karthaus, and Meckley as they discuss the importance of long-term care, different forms of long-term care policies, and the challenges that can arise within families as the need for long-term care arises. Meckley also offers case studies that can be used to apply this knowledge during the discussion, allowing for a more interactive learning experience. You can gain access to this informative discussion on Knowledge Hub+, now available for free to members of The College’s Professional Recertification Program and as an open subscription to others!
Thrive When You Specialize
![Financial professional female smiling](/sites/default/files/inline-images/cb15-workbook-selfassessment.jpeg)
Positioning yourself and your services to clients is not a simple task—but through specialization, you can stand out from the competition and match yourself with clients who are in need of your specific services. With help from our new practice management workbook, you can gain key insights on the best methods to achieve this and more while growing your practice.
Increase your knowledge and take the steps to propel your business forward with this customizable workbook.
Ethics In Financial Services Insights
Unpacking Fairness in Insurance
![Statue of woman holding scales of justice](/sites/default/files/inline-images/cb15-ethicinsight-unpackingfairnessininsurance.jpg)
Panelists included Lisa A. Schilling, FSA, EA, FCA, MAAA, Director of Practice Research, Society of Actuaries Research Institute and Peggy Tsai, Chief Data Officer, BigID. The session underscored the challenges posed by AI, emphasizing the importance of strong governance, transparency, and ongoing process enhancements to maintain fairness in data practices and ensure equitable outcomes in insurance.
Fairness in insurance products and processes has been a long-time hallmark of good management for successful insurance companies. Regulations require companies not be unfairly discriminatory to consumers in their processes and practices. This issue has come to the forefront in the industry recently amid advances in artificial intelligence (AI). Panelists underscored that AI and advanced analytics have heightened both the positive potential and negative implications of existing insurance practices. The discussion emphasized the need for a nuanced approach to fairness that addresses the complexities introduced by these technologies.
A pivotal theme was the significance of data quality and governance in ensuring fairness. Highlighting the inherent biases that can emerge during data collection, panelists stressed the ongoing recalibration and transparency necessary in model outputs to mitigate these biases effectively. Robust stewardship practices should prioritize data integrity before model building and decision-making. Ensuring accurate risk classification aligned with expected claims values can serve as a fundamental aspect of actuarial fairness.
The panel then examined the challenges posed by data proxies and synthetic data in insurance models. Synthetic data is data that is produced by machines, sometimes to represent human behaviors. Data proxies similarly involve analysis informed by machines processes to represent real-world behavior. Concerns were raised about the accuracy and representativeness of these proxies, particularly in reflecting real-world demographics. The difficulty of removing synthetic data once integrated into models underscored the importance of rigorous validation and transparency throughout the modeling process, including at the beginning of a development process. A critical aspect of the discussion addressed the use of proxies for race and ethnicity in insurance, highlighting the ethical and regulatory implications. Panelists stressed the necessity of rigorous data management and model validation processes to ensure compliance and fairness in risk assessment practices.
The discussion concluded with a consensus on the imperative for continuous monitoring, recalibration, and transparent communication in insurance practices. Balancing data-driven decision-making with fairness and objectivity remains a paramount challenge, requiring ongoing efforts to align technological advancements with ethical standards.
To learn more about AI in financial services, you can explore further with research from the Center for Ethics in Financial Services.
Financial Planning Philanthropic Planning Retirement Planning Insights
FinServe Ambassador Charts Career Evolution Through Specialization
![Banner image with Andrew Tudor headshot](/sites/default/files/inline-images/cb15-finserveinsight-andrewtudor.jpg)
Tudor says he entered the financial services profession via banking in 2008 during a volatile and chaotic time for the industry. Despite this, he says he found great satisfaction in his work in leadership roles – running several bank branches around Cincinnati, Ohio – and especially in areas involving lending. That was where he first started to sense the industry might have blind spots and think about how he wanted to address them.
“I really enjoyed helping people buy houses and start small businesses, but I saw gaps in knowledge and access, especially when it came to investment management,” he said. “The bank often had a minimum level of assets they would service, and I often saw more resources being afforded to affluent communities. I knew I wanted to focus on those who had been historically excluded.”
Tudor eventually transitioned into a role with Northwestern Mutual and spent several years at the company becoming a licensed advisor and directly working with clients. From those interactions, he continued to refine his sense of who he was as a professional and who he wanted to serve.
“Most people, especially those from historically excluded communities, need more education in and access to financial services and are looking for deeper advice than just receiving products,” he said. “I’ve always felt we should be building in systems to protect and educate these groups.”
In 2020, amid the COVID-19 pandemic, Tudor finally decided he wanted to start his own firm and launched Alchemist Wealth – with a focus on fee-only planning and serving women and other historically excluded communities – with his brother. Four years later, he merged the successful practice into Zenith Wealth Partners, where he continues to work as an advisor in a variety of planning fields, from investment portfolios to retirement and philanthropic planning. It’s all in service, he says, of his mission to help his clients align their money with their values.
The Role of Retirement Planning
While at Northwestern, Tudor availed himself of the company’s connection to The College to earn multiple designations and certifications: first through the CFP® Certification Education Program to get a strong financial planning foundation, and later through the Retirement Income Certified Professional® (RICP®) Program for the specialization he was seeking in retirement preparation and planning.
“The first time a client came to me and asked me questions about retirement I couldn’t answer, I knew I had to get more knowledge,” he said. “The RICP® is powerful because it impresses upon you that accumulation planning and retirement income planning are two very different things. When I was at Northwestern, we would answer questions about retirement planning with material from College thought leaders like Michael Finke, PhD, CFP® and Wade Pfau, PhD, CFA, RICP®. Their advice on using tools like annuities, home equity, and other income streams to stabilize retirement income may not be popular in some circles, but they’re mathematically proven to be better solutions.”
“[The RICP® Program]’s advice on using tools like annuities, home equity, and other income streams to stabilize retirement income may not be popular in some circles, but they’re mathematically proven to be better solutions.”
Tudor says thanks to the RICP®, he is now well-versed in retirement planning concepts and can simplify them enough for his clients to understand. He also says he sees a growing need for this specialized knowledge as America continues to age.
“The industry to me is still five to 10 years behind what’s necessary in retirement income planning, and it’s exciting to see The College continue to be out in front of the latest ideas and blaze the trail for doing things the right way,” he said.
Investing for Impact
In addition to his focus on retirement planning, Tudor says he’s always been interested in the technical side of planning and the potential of money in general to benefit society. Because of this, he enrolled in the Chartered Advisor in Philanthropy® (CAP®) Program at The College to gain more specific knowledge about how to use investment strategies to help his clients live their values.
“We often ask clients about their goals for impact: whether they’re broad or specific, for family, community, globally, or causes they support,” he said. “Clients constantly bring these subjects up, and I don’t know how I would be an advisor without being able to have those conversations. I believe eventually those kinds of conversations will be table stakes for the industry, and everyone will need to know how to talk about charitable giving with clients and organizations.”
While he loves working directly with clients, Tudor says it’s the institutional side of giving that he’s fallen in love with thanks to the CAP® Program.
“It’s about how you use money and make it work for what you believe in the real world, not just on your spreadsheet,” he said. “That kind of mission-aligned investing, where organizations use their capital to benefit society, is exactly where I want to be. The CAP® Program’s donor strategies were helpful, but its full course dedicated to working with nonprofits has allowed me to sit on board committees and lead conversations about aligning investment portfolios with an organization’s mission. I think that’s a serious gap in the market to be addressed.”
“[The CAP® Program] has allowed me to sit on board committees and lead conversations about aligning investment portfolios with an organization’s mission. I think that’s a serious gap in the market to be addressed.”
Finding Community and Purpose
After being inaugurated into The College community as a recipient of the NextGen Financial Services Professional Award, Tudor says he has been consistently impressed by what The College is able to do for financial professionals – especially in its events like the annual Conference of African American Financial Professionals (CAAFP).
“CAAFP feels like a homecoming every year for me,” he said. “It’s my one opportunity to see and reconnect with a lot of people I know from the industry, and the workshop and keynote sessions are consistently incredible. It’s a safe bet for me to invite a new advisor to CAAFP. There aren’t many places Black professionals in financial services can go and see mostly people who look like them, and the level of excellence in the execution of the event is always impressive.”
“It’s a safe bet for me to invite a new advisor to CAAFP. There aren’t many places Black professionals in financial services can go and see mostly people who look like them.”
Tudor says he’ll be present at this year’s CAAFP, to be held August 12-14 in Atlanta, Georgia. In the meantime, he advises young professionals in the field to be open to challenging themselves and thinking intentionally about their career path.
“Go to places that stretch you and be mindful of how you feel when you’re doing things,” he said. “This field affords you 40 years to build a career and have an impact, so thinking long-term is key. I love working with personal clients and enjoy financial planning in general, but I really live for doing organizational and institutional planning. Fill your day with things you enjoy doing, and success will come.”
Ethics In Financial Services Insights
Insights and Highlights Self-Regulatory Approaches to AI Governance
![Man touching a screen with scales and AI symbols](/sites/default/files/inline-images/cb15-selfregulatoryapproachestoaigovernance.jpg)
The panelists emphasized that good model development practices, irrespective of regulatory requirements, lead to better performance and predictability in tech investments. Companies implementing self-governance ahead of regulations often perform better by integrating risk management with economic considerations. The NIST framework, “Towards a Standard for Identifying and Managing Bias in Artificial Intelligence,” addresses both technical and social impacts of AI, ensuring comprehensive governance.
Mandated by Congress in 2021, NIST developed a risk-based framework for managing AI models and practices. This flexible resource aids organizations in governing, mapping, measuring, and managing bias in AI. By focusing on governance, policies, procedures, and organizational culture, organizations can take a comprehensive approach to this challenge. By taking a proactive approach to governance, the aim is to help organizations promote trustworthy AI practices, including model validity, reliability, security, resilience, explainability, accountability, transparency, privacy, fairness, and bias mitigation.
The panel also discussed the relationship between federal and state initiatives and the role of self-regulation in AI governance. One panelist mentioned the AI Executive Order's contribution to defining real risks and the ongoing work on an AI risk management profile for generative AI. Another stressed the need for clear documentation and repeatable practices to provide assurance to partners.
The conversation also covered the challenges of accountability within organizations, highlighting the need for a cultural shift towards responsible AI use. The panel emphasized the importance of integrating AI risk management with broader enterprise risk management frameworks and adopting a shared responsibility model with third-party vendors.
Looking forward, one panelist predicted that AI risk management would become a distinct job category, with an increased focus on the societal impacts of AI. Another anticipated a progressive impact on software quality control driven by AI, leading to more regulated software development practices.
In summary, the panel highlighted that given the evolving regulatory landscape there is a need for clear and transparent AI governance practices, as well as the importance of interdisciplinary collaboration and cultural shifts towards responsible AI use.
To learn more about AI in financial services, you can explore further with research from the Center for Ethics in Financial Services.