The College Secures Another Prestigious Award for RIA Firm Outreach
![Two attendees from the award event](/sites/default/files/inline-images/cb15-gramercyriasurveyaward2023.jpg)
While The College is no stranger to recognition in the financial services industry, the Gramercy Institute 2023 Financial Content Marketing Awards marked the first time a piece of its marketing content was singled out and recognized for a content award. The announcement came shortly before The College also took home an award for Industry Research Provider from the 2023 WealthManagement.com Wealthies Awards–the second in two years–for the very content piece honored by the Gramercy Institute.
Specifically, the Institute recognized The College’s efforts to reach out to independent financial advisors through its 2022 RIA Growth and Specialized Knowledge Survey, a part of The College’s RIA Resource Center. Through the survey, The College reached out to nearly 400 financial advisors who weighed in on their paths toward growth and provided invaluable insights into the state of the financial services industry, the pressures they face from changing client demands, and the solutions they’ve leveraged to increase earnings and grow their teams.
A Helping Hand to Independent Financial Advisors
In 2021, as part of a broad refocusing on education for specific segments of the financial services industry, The College undertook an effort to reach out to independent advisors and RIAs to understand the challenges they faced in competing with larger industry firms and the secrets to success that allowed them to grow and scale in a difficult environment. Initial conversations suggested a key component to success for independent financial advisors and their firms: in-depth, specialized knowledge of niche but critical components of financial planning.
These findings led to the launch of The College’s RIA Profitability Plan: a document pointing out the benefits of a specialized team of independent advisors, all working in concert, to keep financial advisors’ clients in-house and minimize the need for outside referrals. As financial industry research often shows clients prefer working with smaller advisory firms to large conglomerates, RIAs are in a unique position to customize their teams with financial advisors well-versed in specific areas of planning, from retirement and wealth management to insurance, taxation, special needs planning, and more. Additionally, as an institution with nearly 100 years of leading the financial services industry, The College is well-positioned to offer education in such areas with its acclaimed designation and degree programs, such as the Retirement Income Certified Professional® (RICP®), Wealth Management Certified Professional® (WMCP®), Chartered Life Underwriter® (CLU®), Chartered Special Needs Consultant® (ChSNC®), and others.
Taking the Pulse of the RIA Community
To further the impact of the RIA Profitability Plan, however, The College also needed real-time data from independent financial advisors on what the biggest challenges, obstacles, and questions were that they faced every day. In early 2022, The College began the RIA Growth and Specialized Knowledge Survey to get just those answers.
Over the course of several months, responses flooded in–and what was revealed was illuminating. Independent advisors reported that business growth was foremost on their minds, with 35% of respondents saying organic growth was their firm’s top priority and 64% saying they planned to add up to five new financial advisors to their team in the next three years. Independent financial advisors also largely recognized the importance of advanced financial services education, with over 75% saying the well-known CFP® certification was not enough to guarantee professional success alone.
Furthermore, independent financial advisors confirmed The College’s offerings as a financial educator were well in line with the areas they sought further instruction in: 71% desired more education in retirement planning; 64% in investment management; and 60% in estate planning. These focus areas align with multiple College designation and degree programs, including the aforementioned RICP® and the Chartered Financial Consultant® (ChFC®).
Perhaps most importantly, RIAs confirmed The College’s approach to specialized knowledge as the key to business growth and scaling, with nearly 80% of respondents reporting knowledge from designation programs supported service integration, improving their ability to hold onto clients with diverse needs. They also cited advanced financial education as a critical factor in their success, ranking it above even new technology as a top priority for independent financial advisors.
Iterating on RIA Success
Throughout 2022 and into 2023, The College has continued to build on the knowledge gathered from the response to the RIA Growth and Specialized Knowledge Survey with additional campaigns and content pieces. These include an “RIA Stories” video series in which independent financial advisors share how The College’s designation and degree programs have directly impacted their ability to serve clients better. Many RIAs shared similar experiences of how satisfying it was, when confronted by a client whose questions they didn’t feel qualified to answer, to simply send them down the hall to a colleague who specialized in their area of need rather than calling for an outside referral and potentially losing business.
The College also held an RIA-focused webinar in which WMCP® Program Director Michael Finke, PhD, CFP® spoke with a group of independent financial advisors about how they equipped their practices to adequately respond to clients’ needs in any market environment.
With one of its cornerstone initiatives now recognized by not one, but two prestigious marketing awards in a single year, The College plans to continue its drive to educate and empower RIAs and independent financial advisors in the years to come. The College also extends its thanks to the Gramercy Institute for their consideration!
Diversity, Equity & Inclusion Insights
How To Be A Trustworthy Leader For Your Clients
I like to ask class members, “What makes a leader?” The answers are usually the same. The number one answer is that a leader must be trustworthy. Trustworthy usually expands to: they are worthy of following, they have integrity, their values are clear, they respect transparency, their decisions are predictable and they lead with a clear vision.
Developing a “trust mindset” is crucial to developing a “change mindset.” Advisors help clients get from where they are now to where they need to go. To accomplish that, advisors invariably ask clients to change their behavior. Asking clients to make changes requires clients to trust the advisor. Trustworthy client leadership is critical to keeping an advisor-client relationship strong.
Before asking a client to make a change or to implement something new, the advisor needs to make sure that it’s within the client’s scope of ability. The foundation of a change mindset comes from understanding what a person can do, not what they can’t do, and building from their personal baseline. Ensuring that they can succeed and accomplish the goals that are set for them is critical to maintaining client engagement. Clients will not trust an advisor if the advisor has not accurately assessed the client’s scope of ability and has unintentionally sent them up to fail.
There are three conditions necessary for people to change: they must be willing, ready and able.
Diversity, Equity & Inclusion Insights
Women Shattering The Glass Ceiling And Barbie's Parallel Influence
She has etched her name in history as the inaugural female director to independently helm the hit film, Barbie, which achieved an unprecedented feat by amassing a remarkable $1 billion at the box office. This achievement is a testament to the relentless progress of professional women marking a momentous stride toward equality and recognition.
In a world where the narrative of female empowerment is evolving, Barbie, the iconic doll with impossible proportions and perpetual optimism, stands as a paradox in the minds of many career-driven women. The juxtaposition between Barbie's idealized aesthetic and the real-life aspirations of modern women creates a thought-provoking dichotomy that challenges societal norms and prompts us to delve deeper into the layers of perception, aspiration and empowerment.
Moreover, Barbie's paradox can be seen as a metaphor for the challenges career women face in a world that often pits femininity against professional aspirations. The pressure to project an image that adheres to society's expectations of beauty while simultaneously striving for professional excellence can lead to an unsettling and poignant cognitive dissonance. As career women grapple with these complexities, the Barbie doll becomes a mirror reflecting the intricate layers of their identities and societal perceptions.
Diversity, Equity & Inclusion Insights
6 Expert Strategies For Advanced Special Needs Planning
Advanced special needs planning requires a comprehensive and tailored approach to ensure long-term stability, quality of life and maximize benefits. At The American College of Financial Services’ recent Advanced Special Needs Planning Symposium, experts in this space delivered complex solutions—but what if you are a financial professional who is just starting your educational journey when it comes to special needs planning?
Typically, financial professionals assume they have no clients in the special needs community or may underestimate the amount. At the symposium, attendees learned from an industry expert, Pat Bergmaier, CFP, ChSNC that “Disabilities do not discriminate.” Bergmaier shared that a little more than one in four people living in the United States will experience disability in their lifetime. Statistically speaking, a financial professional is likely going to have some sort of special needs planning in their book of business. Thus, having foundational knowledge is paramount for financial professionals to ensure the best experience for all clients.
The symposium experts provided six initial steps to empower financial professionals to navigate the complexities of advanced special needs planning with confidence and expertise.
Diversity, Equity & Inclusion Insights
Aging: Everyone Is Doing It, But Women Tend To Do It Longer
However, they often face financial disparities throughout their employment, lower lifetime earnings, reduced retirement savings and higher healthcare costs than their male counterparts. While retirement is a phase many people look forward to, it can also bring unforeseen challenges, especially when someone faces significant medical needs for themselves or their partners. When it comes to retired women, who often have unique financial circumstances, it is crucial for financial advisors to be proactive and prepared—engaging these women in proactive discussions about strategies that can protect them from financial ruin and ensure their peace of mind about healthcare spending. These conversations should encompass health conditions and family health histories and address the realities of aging and declining health.
According to a report by the Employee Benefit Research Institute (EBRI), women spend more on healthcare in retirement than men. To ensure they have sufficient money to cover healthcare expenses in retirement, women planning to retire in 2021 should have saved $193,000. Compared with men of the same age, women need nearly $21,000 more when entering retirement. This discrepancy is primarily due to women’s longer life expectancy and their higher likelihood of experiencing chronic health conditions such as arthritis, osteoporosis and dementia. Furthermore, women are more prone to need long-term care, which can be financially devastating without proper planning.
Unfortunately, many consumers lack sufficient knowledge about the challenges of health deterioration and the expenses associated with healthcare, particularly end-of-life care. A 2020 study by the American College of Financial Services surveyed 1,500 individuals aged 50 to 75 to assess their knowledge about finances in retirement. The study found that fewer than one in five female respondents realized that 70% of the population will need long-term care at some point in their lives. The majority underestimated this reality, with approximately one in three female respondents believing that the percentage at risk is 25% or lower. This lack of knowledge likely contributes to the fact that only 8% of female consumers believe it is very likely they will require long-term care in their lifetime.
Diversity, Equity & Inclusion Insights
How To Meet The Needs Of Women Clients
And when looking at the rising generation of earners, 75% of women under 45 manage their own finances (Source: Merrill Lynch, Seeing the unseen: The role gender plays in wealth management, 2022). Considering women outlive men by an average of five years, these trends translate to significant and lasting gains in economic power, both in decision-making and investable assets.
So, what does this mean for wealth managers and advisory firms? While the core services that women need may not differ from their male counterparts, the approach must be nuanced in order to effectively support this important market segment.
The American College of Financial Services is excited to partner with Financial Advisor magazine to launch “Women In Planning,” a monthly column dedicated to the contemporary planning needs of modern women. The column is expected to launch late March 2023.
“Over the decades, women have steadily increased their financial power. Women are earning more, learning more and making more financial decisions than ever before,” says Hilary Fiorella, executive director of the Center for Women in Financial Services at The American College of Financial Services. “This initiative aims to arm the industry with the tools needed to better serve the significant market opportunity that women represent.”
Insurance & Risk Management Insights
Life Insurance Awareness Month Highlights The College’s CLU® Designation
Created in 2004 by the industry education group Life Happens, Life Insurance Awareness Month seeks to educate Americans about life insurance and how it can help provide financial security for them and their families. In conjunction with LIMRA, Life Happens reports every year on the status of the American people with regard to life insurance in their Insurance Barometer Study–and their work appears to be paying dividends. Findings from the 2023 Study include:
- Self-reported life insurance ownership continued to rise from 50% of survey respondents in 2022 to 52% in 2023
- Non-insurance owners who say they want and need a policy hovered around 30%, a similar number to 2022
- Up to 48 million middle-income consumers could be interested in obtaining a life insurance policy
During the month of September, social media is flooded with calls by financial professionals and companies for the general public to consider the value of a good life insurance policy. In addition, with the holidays coming up and bringing with them family get-togethers, multigenerational discussions, and New Years resolutions, it can be a great time even after Life Insurance Awareness Month is over to talk about the need for life insurance.
As the preeminent designation program for financial professionals in the insurance field, The College’s CLU® designation proves its ongoing importance in these conversations.
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Life Insurance: A Foundational Concern
The American College of Financial Services was founded in 1927 by pioneering financial services professional and educator Dr. Solomon Huebner. While Huebner had an expansive vision for improving the financial services industry for the betterment of society, he was an insurance field professional by trade–and this showed in The College’s first-ever designation program, the CLU®.
Over nearly a century, The College grew and expanded to cover such subjects as retirement income planning, wealth management, special needs and philanthropic planning, diversity, equity, and inclusion initiatives, and more, but the CLU® designation remains a fundamental part of its legacy. The CLU® is still recognized as the gold standard in the financial services industry for life insurance education.
The CLU® designation program offers financial services professionals an in-depth understanding of the practical, legal, and ethical aspects of life insurance and its techniques and tools, accepting life insurance as a vital part of a holistic financial plan. The CLU® curriculum includes not only concepts and law within overall risk management, but also the necessary knowledge to help clients address estate planning needs and to gain an understanding of solutions that address life insurance for business owners and professionals. These include key person insurance and other related employer and employee benefits.
A Personal Appeal for Life Insurance Planning
While life insurance may not capture public or professional attention the way the stock market, investment management, or retirement planning sometimes do, the importance of life insurance planning and the insurance field in general is something many financial advisors deeply believe in.
In a video posted for Life Insurance Awareness Month in September 2023, College Business Development representative Anthony “Tony” Boquet reflected on the financial security a life insurance policy can bring to clients no matter what stage of life they are in. He also shared a deeply personal story from his own experience as a life insurance professional.
Boquet related that years ago, he had visited two recently married friends with the goal of selling them additional life insurance policies. The husband repeatedly declined to apply, jokingly citing his youth as evidence that he had no need of a life insurance policy. Tragically, within 24 hours of that conversation, he was killed in a freak accident when a car ran off the highway and struck him while he was cutting grass in his front yard. He was only 22 years old.
“If you’re a life insurance planner or a financial professional, you owe it to your clients to make sure they’re aware that our future is not guaranteed,” Boquet said. “My friend didn’t plan on dying that weekend, and his wife later told me he was planning on buying the life insurance policy from me when I returned to work on Monday.”
Boquet said this story constantly reminds him about the importance of Life Insurance Awareness Month, and how people of all ages and backgrounds need to be prepared for anything.
“He may be gone, but his story has lived on in me and helped protect countless others over the years,” he said. “Please take the time to talk to your clients and those you love about the importance of life insurance planning during this Life Insurance Awareness Month.”
You can also see another video story from Boquet here.
Ethics In Financial Services Insights
Perspectives on Ethical Leadership 2023
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Specifically, the group talked about SEC enforcement action against a financial services firm for a recent cheating scandal among employees and how the importance of ethics education can be stressed as something to embrace, rather than an obstacle to work around.
Diversity, Equity & Inclusion Insights
Women Working in Wealth℠ Workbook
The Women Working in Wealth℠ Workbook is one of those tools. It's divided into four main sections: Promote, Advance, Advocate, and Resources. Each part includes information, research, and practical ways to make a difference. See below for a summary of what’s included in the four sections of the workbook.
Section 1: Promote
Your Personal Brand
Women are often good at promoting their firms, services, teams, and others, but what about ourselves? When women gain confidence in elevating their voices and advocating for themselves, we acquire potent skills that we can use to mentor other women to do the same.
How to craft your "elevator pitch"
- How to talk about yourself with confidence
- Words to use and words to avoid
Role Clarity: Understanding what's expected
The terminology you need to know to help amplify gender equality.
- Mentorship
- Sponsorship
- Allies
Section 2: Advance
By connecting women with experienced leaders who can offer advice and advocacy, mentorship programs can help them overcome the barriers and biases that can impede their progress.
How to Facilitate a Mentoring Relationship
- Expectations
- Best Practices
- Impacts
Understanding the role of the Mentee
- Expectations
- Best Practices
The Business Case for More Women in the C-Suite
- Research has shown that growing the number of women in executive leadership positions leads to companies that are more profitable, more socially responsible, and that deliver better customer service experiences.
Section 3: Advocate
As an advocate you can help bring attention to the issue of gender equity in the financial services industry, and can help generate support and advocacy for change.
Becoming a Financial Education Advocate
Starting financial literacy education at early ages and with competent educators will raise a generation with enhanced skill sets to brave adulthood. Our ultimate goal is to start in middle school, when financial knowledge becomes more relevant. Educating students at this early point can change the whole trajectory of their futures.
- Junior high and high schools
- Colleges and universities
- How to Make an Effective Career Presentation
Advocating for Gender Parity
- Who to connect with
- Sample advocacy letter
How to be a proponent for financial education legislation
- Resources for building knowledge
- How to offer your help
- Sample letter to your representative
Section 4: Resources
Reimagine the Female Future in Financial Services
To truly reach equity, reimagining the female professional in financial services is needed to increase executive, C-suite, and board member positions held by women.
The Confidence that Comes From Knowledge
The American College of Financial Services offers you industry-recognized professional designations that enhance your prestige, knowledge, and skill set for the benefit of your clients, the financial services industry, and society as a whole.
Advisors Are Retiring: More Women Are Needed to Replace Them
- Statistics on the rapidly changing demographics of the next generation of financial professionals and the clients they will represent
Women Working in Wealth℠ Pledge
- Creating accountability for promoting, advancing, and advocating for women
History of Wall Street
- A brief overview of more than 300 years, of Including women's contributions
Next Steps: Reimagine the Female Future in Financial Services
- Only 5% of CEOs, 19% of the C-suite positions, and 21% of board seats are held by women
- But the pandemic reshaped the dialogue around work-life balance and created the opportunity for women to voice their expectations
Download the Women Working in Wealth℠ Workbook
Download My Copy
Special Needs Planning Insights
The College Hosts Inaugural Advanced Special Needs Planning Symposium
![Special Needs Symposium](/sites/default/files/inline-images/cb15-event-advancedspecialneedsplanningsymposium.jpg)
Over the course of the two-day conference, attendees from across the country got a more detailed look at how to plan for and best serve individuals with special needs and their caregivers with financial planning designed to ensure a successful and secure financial future.
A Deep Dive Into Specialized Knowledge
The symposium began with a welcome address from Joellen Meckley, executive director of the Center for Special Needs. Meckley thanked the around 50 financial professionals at the conference for attending and pointed out some notable facts: firstly, that the symposium was the largest in-person event ever held on The College’s campus; and secondly, that the Center for Special Needs had received a grant from the Christopher Reeve Foundation. Reeve, an actor who famously portrayed Superman in multiple movies, was himself severely disabled after a catastrophic horseback riding injury and was a well-known activist for those with special needs.
Meckley noted that the grant would go toward expanding the operations of the Center for Special Needs. She mentioned that grant funds would be used to support a project currently in development: a five-part video series on financial wellness for advisors, caregivers and clients who are facing paralysis, including modules on budgeting for disability, public benefits, and taking control of your financial future.
“Many people are drawn to this form of practice because they have family members or loved ones with special needs,” she said, noting that nearly everyone in attendance raised their hand when asked if they knew or were close to someone with special needs. “Most conferences like this are for lawyers – but this one is for you.”
Morning sessions were led by staple College thought leaders laying out many different specialized areas of financial planning that affect those with special needs. Tom Brinker, JD, LLM, PFS/CPA, AEP®, ChFC®, an adjunct professor of special needs planning, used his expertise in both tax planning and as a parent to a child with special needs to present a compelling lesson on tax strategies involving changing IRS regulations and tests for tax exemptions on housing, education, activities, and more – all while dropping some important and eye-opening facts.
“One in six children today has some kind of disability,” he said. “Rates of autism have risen dramatically across the country over the last decade – but is it really because more people are autistic, or just that we’re finally recognizing this condition for what it is? Either way, the need is growing and we need financial professionals who are educated to address it.”
College faculty members and staff including Lesley Mehalick, JD, LLM, an adjunct professor of taxation and special needs planning, Lindsey Lewis, CFP®, ChFC®, director and chair of the American College Center for Women in Financial Services, and other experts in the fieldshared their own insights on how special needs affect their distinct focus areas and constituencies, including the fact that most caregivers for those with special needs are women to Medicare and Medicaid, public benefits, Social Security, and more.
Impacts on Individuals and Caregivers
Some of the most impactful sessions of the first day of the symposium addressed the real-world implications of having to care for a person with special needs. In their workshop on ABLE accounts, meant to give adults with disabilities more financial and life independence, Kelly Piacenti of MassMutual and Jerry Hulick of Caring Consulting Group talked about the need for more awareness.
“We are the largest minority population in the country, and the business case for this space is huge,” said Piacenti, a key organizer of the event and leader of the Center for Special Needs Advisory Board. “We need allies, and advisors who say they don’t have any clients for whom this knowledge is relevant probably do and just don’t know it. Disability can happen anytime, and benefits available for those with special needs constantly shift. We need advisors who ask the right questions and can keep up with all the changes.”
In his session, Pat Bergmaier, CFP®, ChSNC®, discussed the very real possibility of caregivers needing to plan for a “retirement for three” – for them and their child with special needs, who may not be able to live on their own.
“Many parents don’t know how to face the fact that their children may need care even after they are gone and will need a way to maintain their quality of life,” he said. “Sometimes, they’re faced with the awful thought that it might even be better if their child were to pass away before them. But it doesn’t have to be this way. After the age of 18, things really open up for young people with special needs and their caregivers when it comes to benefits available: do the work and make a plan.”
Jason Fishkind, CEO of Hope Trust, also mentioned the need for sensitivity in working with caregivers and those with special needs, as well as the knowledge gap among financial professionals.
“Even though two in seven households are supporting someone with disabilities, very rarely is there a financial advisor with a broad understanding of the various issues confronting them,” he said. “You need to be an expert on this subject and know how to talk to them. The products and planning involved are so complex that it’s not something just anyone can do.”
An Emotional Call to Action
After departing for the evening, the symposium attendees reconvened the following morning, when they were welcomed back by George Nichols III, CAP®, President and CEO of The College. Nichols spoke about his own past experiences in the special needs space as the State of Kentucky’s mental health commissioner, as well as his own father’s struggles with dementia.
“The physical and emotional toll of caring for those with special needs or mental health issues is overwhelming,” he said, speaking of the challenges caregivers and families face. “Special needs planning isn’t just about kids anymore, either – many more adults are also being diagnosed with disabilities. The College is dedicated to building a powerful network of allies and thought leaders to meet this need.”
In a panel discussion, several experts in financial planning encouraged attendees to refer to special needs planning instead as “quality of life planning,” as much of their work is about ensuring individuals with special needs have the best lives they can possibly have. They also pointed out the importance of local efforts and building community in planning, as well as the value to financial advisors and firms to specialize in the field. With so few advisors experienced in this type of planning, they pointed out, you can easily corner the market in your given area – and once you help one family, others in their network will come flocking to you.
In another session, lawyer Ethan Ordog spoke about an often-forgotten aspect of special needs planning: making arrangements for elderly family members or clients who may not have the mental capacity to make their own decisions anymore and ensuring they are not exploited.
“Advisors are more and more being found at fault for elder exploitation because courts and juries find they should have known it was going on, but failed to act,” he said. “There are major differences between power of attorney, conservatorship, and guardianship – don’t trust your clients to figure them out. Laws, life, and needs are constantly changing, and it’s our responsibility to stay up-to-date on all of it.”
Mental health professionals from outside the financial services space were also heard at the symposium. Abby Grasso of PLAN PA, a special needs organization in Pennsylvania, spoke to attendees about the importance of approaching those with special needs and their caregivers with understanding and respect.
“Sympathy and empathy are not the same thing,” she said. “One in five US adults experience mental illness, and 17% of youth experience mental health challenges. When you talk to them, don’t try to change the subject or offer silver linings. Just let people know that you are there for them and that you understand what they must be feeling.”
The symposium ended on a high note, with many financial professionals present taking home significant lessons to apply in their practices.
“The information has been outstanding, and so much more than I anticipated,” said Robert DiLaura, a senior financial planning manager at Charles Schwab. “The ability to network with people who are like-minded and also working in related fields that we need to know about has been extremely valuable.”
“What I learned in the very first session probably paid for my coming by itself, and there’s been even more than that,” said Julie Smith, a financial advisor with Ameriprise. “It’s been wonderful to get different points of view and learn from others. I’ve gotten just as much from my peers as I did from any of the presenters, who were excellent.”
The event also honored the efforts of those present in the special needs planning space, including recognizing and celebrating Jerry Hulick’s 50-year anniversary as a member of the MassMutual family.