Wealth Management
Buying or selling a financial advisory practice involves careful consideration of various deal structures, each offering unique benefits for both parties. The outright purchase is often favored for its simplicity, allowing a single payment or structured financing to complete the transfer and establish clear terms for valuation and handover.
Another common structure, the gradual buyout, lets sellers retain majority ownership while the buyer assumes increasing responsibilities over time, fostering a smoother transition. In contrast, internal succession emphasizes long-term mentorship, preparing a junior advisor for eventual ownership through training and relationship-building with clients.
Advisors nearing retirement often use these strategies to secure their legacy and maximize their practice’s value. For advisors or firms unsure about structuring a sale, industry specialists can assist with valuations and guide the decision-making process.
Finsum: It’s also very important to get an accurate valuation estimate of your practice regardless of which method you settle on.
Focusing on others can be challenging, as our brains are naturally wired to center on self-related thoughts and needs. Research by Shenbing Kuang highlights this tendency, showing that our attention defaults to self-focus, which can hinder effective communication, especially in client interactions for financial advisors.
Self-focus is linked to activity in the medial prefrontal cortex, while focusing on others activates a different brain area, the temporoparietal junction; however, the prefrontal often dominates, drawing us back to self-related concerns.
Advisors can counter this bias through mindful awareness and empathy, training themselves to recognize inward shifts and refocusing on clients' needs. By consciously practicing empathy and active listening, advisors can enhance their client relationships, building trust and understanding.
Finsum: This is a great way to focus on personal growth as an advisor and find a way to form deeper connections with clients.
Succession planning remains a critical yet often overlooked issue in the financial advice sector, with a substantial portion of advisors nearing retirement. A recent Cerulli report highlights that nearly 40% of advisors, representing over $11 trillion in assets, plan to retire within the next decade, underscoring the urgency for succession strategies.
Advisors without a clear plan risk devaluing the business they’ve built, while thoughtful succession planning can help protect and even enhance this value. Cetera has assisted in numerous advisor transitions and acquisitions, providing advisors with resources to prepare for both anticipated and unexpected exits.
Proper succession planning ensures continuity, whether through expected retirement or unexpected events like disability, safeguarding both the advisor's legacy and family’s future.
Finsum: Strategic succession plans prioritize choice, flexibility, timing, and control, helping advisors smoothly transition.
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Creating stylish storage in a living room is essential for both organization and enhancing the space’s overall aesthetic. A well-planned storage layout not only keeps clutter at bay but can serve as a focal point, adding elegance to the room.
Designers recommend focusing on details like unique hardware and luxurious finishes—think fluted wood or polished brass—to elevate cabinetry and shelving. Styling shelves with curated vignettes, such as decorative books, candles, and art pieces, brings an upscale, cohesive look to your storage units.
Mixing vintage pieces with contemporary decor also introduces character and sophistication, making storage solutions feel more integrated and personalized. For a seamless luxury vibe, built-in storage is ideal, but freestanding pieces with unique textures can offer personality while staying budget-friendly.
Finsum: Let your interior space be defined by what reflects your own personality and interests to give a better since of your tastes!
Switching broker-dealers can transform a financial advisor’s career, but it’s essential to approach the process with careful consideration. Start by evaluating potential firms' growth opportunities, ensuring they provide the resources and support needed to advance your practice.
Culture compatibility is equally important; a firm that shares your values and work style can enhance long-term satisfaction. Assess the depth of each firm’s capabilities to ensure they align with your business needs, particularly if you specialize in a unique niche.
Also, consider the firm's brand and history, as a reputable and trusted name can positively influence your client relationships. Finally, trust your instincts after thorough research, and don’t hesitate to seek expert advice for finding the best fit for your business’s future.
Finsum: Considering outside counsel for expert advice is a great way to get a better feel for a new BD.
Outdoor winter workouts can be enjoyable with the right preparation for the elements. Dress in moisture-wicking layers to prevent heat loss from damp clothing, and choose outerwear you can easily remove as you warm up.
Bright, reflective clothing is essential for safety, especially with shorter daylight hours and overcast skies. To keep hands and feet warm, wear insulated, waterproof shoes and gloves, and avoid mesh footwear to prevent snow entry.
Traction aids, such as shoe grips, can reduce slipping on icy surfaces, while covering your head, ears, and face helps maintain body warmth. Finally, stay hydrated by drinking room-temperature or slightly warm water, even if you don't feel thirsty in the cold, because dehydration is a problem in the winter months.
Finsum: There are plenty of ways to maximize your fitness experience outside even in winter months, but staying ahead in December can make those new years resolutions easier!