Value Proposition and Pricing

Good morning

As we enter the fourth quarter of 2017 it is becoming more evident to me that FAs are thinking through their business model and specifically their Value Proposition and how they price their business. There are no easy or pat answers and at this time we have many more questions than we have definitive answers. 

But I believe we do realize one thing for sure, what we did in the past and up until now will not be what we offer clients in the future. We will move from a financial advisor to a holistic wealth manager even though that will be about a 10 year journey and we will have to adapt our basic value proposition in how we manage and charge for investment management. 

We are value added partners. Let me say it again, We are value added partners. But in the new world we need to rethink on how we speak to our clients and how we manage their money to assist them in meeting their needs and goals. Change is here, pick your path.

Below are three items.

1) A link to a webinar on how to build a investment process that is value added and how to communicate to prospects/clients.

2) A link to a study on pricing and where we are today so we can understand where we may be going.

3) An attachment on an article from FT on the CEO of Eaton Vance and their Parametrics, direct indexing, offering.  Please read carefully as Mr. Faust has an view of the world that is relevant to us.

https://attendee.gotowebinar.com/recording/611154028166285059 https://www.kitces.com/blog/independent-financial-advisor-fees-comparison-typical-aum-wealth-management-fee/?utm_campaign=coschedule&utm_source=twitter&utm_medium=MichaelKitces&utm_content=Financial%20Advisor%20Fees%20Comparison%20%E2%80%93%20All-In%20Costs%20For%20The%20Typical%20Financial%20Advisor%3F