Weekend Reading For Financial Planners (September 5–6)

Enjoy the current installment of "Weekend Reading For Financial Planners" – this week's edition kicks off with the news that a survey has found that, at a time when many financial advisors are leaning into comprehensive wealth management services, more than half of RIA client assets amongst respondents are invested in model portfolios. That said, advisors aren't necessarily taking a hands-off approach to portfolio construction, with advisor-built models representing the most commonly used (51% of model assets), followed by home-office models (20%), standard third-party models (17%), and third-party custom models (12%). Which suggests that many advisors are seeking ways to free up time to focus on other planning (and business management) responsibilities while remaining 'hands-on' with the investment management process.

Also in industry news this week:

• A significant increase in the minimum asset size for referrals in Charles Schwab's Advisor Network program could lead some firms to reevaluate their participation (and perhaps their overall custodial relationship with Schwab)
• The SEC this week submitted a proposal that would expand retail investor access to private market investments that have long been the purview of institutional and wealthier investors

From there, we have several articles on retirement planning:

• How safe withdrawal rates can increase significantly as retirees' time horizons shorten
• How putting a financial plan for a retired couple through a 'widowhood stress test' could identify potential weaknesses when one spouse (unexpectedly) passes away
• Why some retirees might gain peace of mind by creating an asset 'bucket' for potential long-term care expenses

We also have a number of articles on practice management:

• A five-step process to better delegate 'outcomes' within an advisory firm (and why doing so could be more impactful than 'just' handing off individual tasks)
• Ways advisory firms can integrate new planners into client meetings, from identifying good-fit clients to leaning into their cash flow expertise
• Six ways firms can get a faster return on investment from a new associate advisor, including by delegating responsibilities in areas such as client onboarding and plan updates

We wrap up with three final articles, all about the costs of home ownership:

• How financial advisors can help clients consider whether to follow through with a major home remodel, from identifying the tradeoffs from making such an outlay to determining the best source of assets to pay for it
• While many homeowners enjoy having green space on their property, lawn upkeep can come with significant 'hidden' expenses
• How prospective home buyers can conduct due diligence on a homeowners or condo association to avoid stress and save money down the line

Enjoy the 'light' reading!

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