Eq: Financials

Eq: Financials (49)

Think only a number cruncher can efficiently convert tax losses into assets?

Well, why it might not carry engraved business cards, direct indexing also can turn that trick, according to advisorperspectives.com.

Case in point: with clouds threatening a repeat performance in the portfolios of your clients this year – especially in light of the volatility more than making its presence felt in the financial markets. Sure, with intense inflation, the Ukraine war and supply chain headaches putting a dent in corporate profits, the Fed’s stoking rates at a seemingly breakneck pace. Yeah; yowser. That said, however, the market’s volatility yields an idyllic chance to not only tax loss harvest but also showcase how direct indexing – with room to spare, most effectively experiences the reverberations of tax loss harvesting benefits, the site continues.

Against the backdrop of volatility, of course, with direct indexing, the investors owns the individual securities rather than a comingled fund, according to russellinvestments.com. While losses absorbed on receding stocks belong to them, down the line, those setbacks can be leveraged to offset gains. That can mean a significant boost toward paring down the tax bill of the investor.


Tuesday, 27 September 2022 02:51

Financial advisors often move like a Nolan Ryan fastball

Written by

You can, um, bank on it; as sure as taxes and a Nolan Ryan fastball – at least back in the day – for a panacea of reasons, financial advisors regularly switch firms, according to visionretirement.com.

You know; as in now you see ‘em, now, well, not exactly. Good. You get it. Let’s face it: maybe they receive more cash or chances to move their careers forward elsewhere. Whatever the case. you name it, and a bolt of lightning later, they’re out like the wind.

Of course, like many other professions, exactly when they decide to cut the cord isn’t necessarily based on when, according to financial-planning.com. There’s no idyllic time.

Naturally, it helps to have a robust relationship with clients. That way, an advisor can move on to greener pastures no matter how the market’s performing. Maybe he or she wants to upgrade their technology and a broader menu of products. On the other hand, perhaps they’re intent on leveraging on the expansion of their practice or set themselves up to call it a career.

Meantime, clients might be caught off guard when their advisors pull up stakes, noted visionretirement.com. But, hey, there’s always this: a client can maintain a relationship with an advisor or nip it in the old bud or sniff out other options.  Call it an Amazon shopping spree. Or not!



Friday, 16 September 2022 04:19

ESGs can make a landscape sing, economically speaking

Written by

COVID was one thing, but what about reconfiguring the economic landscape?

Among treasurers, the escalating significance of ESG related objectives reflected exactly that, according to gfmag.com.

Today, companies are looking at pressure to adopt ESG principles from stakeholders squarely in the eye, the site continued. The consequence of not embracing, defining and delivering on those initiatives? Potentially allowing the competition to slip through its fingers. And that means more than a diminished reputation or the perception of failing to d the right thing. In the face of market volatility, investments and companies with ESG profiles that rock outdo others, studies show more and more.

Meantime, in light of an uptick in interest among investors in ESG topics, regulators have been burning the midnight oil to come up with consistency and transparency surrounding ESG claims, according to acacompliancegroup.com.

A gaggle of firms also are taking a swing at establishing themselves apart from their peers by committing to, for example, climate and sustainability. 

There will be an awareness of the surge in activity related to the FCA on ESG issues among firms with UK operations. Since the Taskforce on Climate-Related Financial Disclosures has come into effect during the past year, the FCA’s created a division to oversee ESG-related issues. It clarified its strategic direction and focus areas for ESG issues.

Tim Rowe, manager in the FCA’s Sustainable Finance Hub, noted that the FCA is laser focused on five “Ts” for its ESG strategy: transparency, trust, tools and transition. 

Wednesday, 14 September 2022 07:27

Reg Bi: some rules to live by

Written by


Yeah, well, don’t follow ‘em, you could just find yourself in a bit of tepid water.

In June, five registered representatives or brokers of The Securities and Exchange Commission were charged by the body with violating Best Interest Obligation regulations – known commonly as Regulation Best Interest or Reg BI, according to napa-net.org. The subjects include Nancy Cole, Patrick Egan, Andy Gitipityapon, Steven Graham, and Thomas Swan.

The issue stems from their recommendation and selling of an unrated, high-risk debt security known as L Bonds to retirees and other retail investors. Western sold an aggregate of $13.3 million of L Bonds from July 2020 through April 2021, alleges the SEC complaint. The kicker: many of the customers were on fixed incomes with moderate levels of risk tolerance, while the bonds were high risk, illiquid, and only suitable for customers with substantial financial resources stated the issuer, GWG Holding Inc.

Neither Western nor the registered representatives used reasonable diligence, care and skill to grasp the risks linked with L Bonds, claims the SEC. And it doesn’t stop there. Western also was charged by the SEC of violating Reg Bi’s Compliance Obligation, according to sec.gov/. Western’s policies and procedures were duplicated – and significantly so – from the SEC’s Small Entity Compliance Guide, the SEC charged. As for specific tailoring to Western’s particular business? It had none.

Thursday, 08 September 2022 14:19

Model portfolios rock to tactical thinking

Written by

Creating a model portfolio isn’t exactly like twisting open a water faucet, you know. The old noggin comes in plenty handy. After all, effective investing’s means committing to the choices among a range of investment tools that will yield results, according to forbes.com.

And they’re made of strong stuff, with the gravitas to turn a financial future rife with uncertainty into a secure one. A great starting point: putting together a model portfolio, the site continued.

Substantial discussion’s weaved into creating the portfolio, which consists of a gaggle of diverse assets. It also dispenses the opportunity to leverage diversification as a hedge against your risks.

You’re not only homing in on your financial objectives down the road but must be positioned to address any important immediate needs. Not only that, when it comes to your expenses, it’s essential to have enough liquidity to abet your ability to manage it.  


Well managed stock or “equity” funds pave the way to the best chance for a long term stock market experience on a sustained basis for most people, according to yourarticlelibrary.com. A generally embraced idea: the younger you are the more sprinkled with to equity stocks your portfolio should be.

Thursday, 08 September 2022 14:18

ESGs getting in on the activism

Written by

ESGs? So called Active driven agendas? Two peas in a pod? Um, yep; that is, if you ask Indiana Attorney General Todd Rokita, according to foxnews.com.


Rokita contended that state law places a roadblock in the ability of ESG to impact investments by state government employee pension funds. He furthermore states that BlackRock, one of the world’s largest investment funds, potentially has “run afoul: of state and federal antitrust laws. How? By leveraging ESG in its investments decisions. The company also promotes its "firm-wide commitment to integrate ESG."


He argued that the Indiana Public Retirement System is required to invest the pensions of citizens "with care, skill, prudence and diligence," in an advisory opinion late last month. He also went on to allege that since ESG investments stem from political instead of financial interests, it’s a legal no no for the INPRS to make investments with ESG guidelines in mind.


Looking ahead to future ESSH campaigns, boards would be savvy to expect a settlement – or for activists to prevail – and not withdraw or a failed activist initiative, based on research from diligent.com.


While there was a drop off in the volume of activism activity between 2020 and last year, 13% of the campaigns last year struck gold. In 2020, it stood at 11%. It was indicative of a shift in corporate commitments to ESG, the site continued.

Wednesday, 07 September 2022 03:56

Financial advisors shifting firms

Written by

You know what they say about timing? Well, plenty, probably, but among them is now an idyllic time – the best in years, in fact -- for financial advisors to bolt one firm for another, according to Mindy Diamond, founder and CEO of Diamond Consultants, according to diamond-consultants.com. It originally appeared on thinkadvisor.com.


So, why now, you might ask? Diamond says quality advisors are receiving transition packages “at real high water marks.” She added that it’s a “real sellers market” where advisors are “more likely [to] find [their] version of utopia versus five or 10 years ago.”


Okay, that can be persuasive.


Now, compensation aside, financial advisors with an eye making a change also are keen on “freedom and control,” said Diamond. Autonomy, she continued, in squarely in their wheelhouse.”


And there’s more, she noted. A burgeoning number of options are on the plate for advisors eyeing parting ways with large firms. Among them: aligning with “boutiques” that offer freedom and control, more opportunities for those with entrepreneurism on their radar to start RIAs of their own

That said, tempted though you might be, before delver deeper into a potential job switch, consider a few things, advises vantageinpact.com.

  1. Thoroughly Review the Expense Structure Details
  2. Upfront Bonus (Loan) - Proceed with Caution!
  3. Develop a Comprehensive Proforma to Compare and Contrast Firms


Sunday, 28 August 2022 07:18

Direct indexing….custom made

Written by

The idea of customization rocks your financial world, does it? 

Well, then, direct indexing just might speak to you. 

You might that to kick things off, most direct indexing could be labelled as somewhat boiler plate, yielding access to a handful of core indexes like the S&P 500 or Schwab 1000, according to yahoo.com. Then comes the customization, with the opportunity to personalize the portfolio. How? By pruning out certain companies it contains.

The catalyst behind such decisions could be, oh, say, personal values and beliefs like leaving out fossil fuel producers gun manufacturers and alcohol, the site continued.

The degree of transparency into each holding available through direct indexing can generate additional chances to personalize investments.

Investors can scoop up the stocks of an index instead of a mutual find or exchange-traded fund through direct indexing, according to cnbc.com.

While direct indexing was once the exclusive domain of those boasting mega dollars, the mainstream’s been getting on board as well. The likes of Vanguard, BlackRock and Morgan Stanley are providing offerings to abet the ability of individuals to personalize their positions based on factors like risk tolerance.



As geopolitical factors lead to a reevaluation of a number of beliefs in the spectrum, currently -- like the first half of the year – the terrain continues to be rife with environmental, social and governance (ESG) matters, according to corpgov.law.harvared.edu.

While some forecasts laid out by the group in its February post “ESG: 2021 Trends and Expectations for 2022,” were on the dime, other were stymied by unexpected circumstances.  They included, for instance, the reverberations from the Ukraine invasion, a spike in regulatory scrutiny and some blowback from U.S. Supreme Court rulings. 

During the first six months of the year, the Russian intrusion of Ukraine took a hefty toll on ESG trends and performance, according to the site. The fire was lit under oil and gas prices, while the performance of ESY-focused funds lagged.

Then there’s the bigger picture, in which 47% of advisors concur that ESG investments in DC plans would play a role on environmental, social, and corporate governance on a macroeconomic level, according to loma.org. Occasional advisors? Well, they’re more likely to expect ESGs in DC plans to impact conditions more widely. 

Monday, 15 August 2022 10:03

Is ESG Cratering?

Written by

With apparent eroding client interest, ESGs might be losing some of their bang, according to thinkadvisor.com. In the past several months, 31% of advisors reported taking questions about ESG or socially responsible investing from clients. That’s down from 39% who indicated as much last year and in 2020.

Thirty four percent of advisors were found to tap or recommend these strategies to clients this year,  according to the survey. While that’s an uptick of 2 percentage points from 2021, it receded from a high of 38% in 2020.

Investmentnews.com reported in June that, in recent years, while a burgeoning percentage of financial advisors folded ESG investments options into their business, more now indicated they intend shore back on suggesting such investments, according to a survey.

While financial advisor use or recommendation of environmental, social and governance or ESG investing strategies have moved consistently along over the past four years, according to prnewswire.com. However, during the next  12 months, it could slip in use, according to the 2022 Trends in Investing Survey, conducted by the Journal of Financial Planning and the Financial Planning Association, as provided to prnewswire.com by the Financial Planning Association.

Page 1 of 4

Contact Us



Subscribe to our daily newsletter

We use cookies to improve our website. By continuing to use this website, you are giving consent to cookies being used. More details…