Tag Archives: Fidelity

FPPad Bits and Bytes for February 6

Posted on February 6, 2015 by in Bits & Bytes

On today’s broadcast, the rumors are true: eMoney gets acquired by Fidelity Investments, Advent Software gets acquired by SS&C Technologies, and the SEC reveals troubling cybersecurity issues after its first round of broker-dealer and adviser examinations.

So get ready, FPPad Bits and Bytes begins now!

(Click to watch FPPad Bits and Bytes on YouTube)

Today’s episode is brought to you by Wealthbox CRM.  Version 1.7 just released with delectable features like two-way Google Calendar synchronization, support for popular email newsletter services, an integrated Facebook feed, and more!

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Sign up for a free trial of Wealthbox today by visiting fppad.com/wealthbox

Here are this week’s stories of interest:

Fidelity Investments® Acquires eMoney Advisor from BusinessWire, and

Fidelity Acquires eMoney Advisor PFM Dashboard, Gets Financial Planning Software Thrown In? from Kitces.com

[This week’s top story that EVERYONE is talking about is eMoney’s acquisition by Fidelity Investments. Sources close to the deal cited a purchase price “north of $250 million” with a valuation around four times eMoney’s revenue. This deal marks the first time I can recall an institutional custodian taking ownership of a financial planning software provider. Nearly a dozen others that I listed on FPPad are all privately held with no custodial affiliation.

So the burning question is: What’s the future of eMoney? Executives from eMoney and Fidelity reaffirmed that the company will continue to operate independently, but have the financial backing of Fidelity to accelerate product development and growth. Now for me, eMoney seemed to be doing just fine on its own, always having a top spot in advisor technology surveys and having just released a big emX update two months ago, so did they really need to make a deal?

But on the other hand, if you read Michael Kitces’ take on Nerd’s Eye View, he believes Fidelity purchased eMoney primarily for its client-facing personal financial management tool, or PFM, that works a lot like Mint.com, and just happened to get eMoney’s financial planning software along with the deal. Robo-investment allocators are raising the stakes on client-facing dashboards, but buying eMoney for its PFM solution just doesn’t add up to me.

There are many other PFM options and client-facing dashboards out there like Aqumulate, Blueleaf, MoneyDesktop (MX), and even Personal Capital, who built their own, probably for a lot less than $250 million. So really, nobody knows what the future holds now that eMoney is under Fidelity’s ownership, and you can add me to the list of speculators that can only guess how this deal will influence your decision on what financial planning software you choose to use.] Fidelity Investments® announced today that it has agreed to acquire eMoney Advisor, a leading wealth planning software company, as part of Fidelity’s commitment to deliver an industry leading suite of innovative and meaningful tools and technology to its customers.

SS&C acquires rival Advent Software for $2.7 billion from IBS Intelligence

[Next up is news of another deal, as Advent Software is going to be acquired by SS&C Technologies for $2.7 billion. SS and who? I had never heard of them either until this week, because SS&C is primarily focused on institutions and enterprises, not independent RIAs.

So on the institutional side, the deal makes sense because SS&C is already the largest user of Advent’s Geneva solution, with around 2,400 internal users. But what about the Axys and Black Diamond solutions used by you, the independent adviser?

Bill Stone, SS&C’s chairman and CEO, said in a conference call that the company “did not see anything in Advent’s portfolio that we’d want to rationalise” and “killing a product is the last thing you want to do.”

Cough, TechFi.

So, Advent users, you’re in a little bit of limbo, too until we see this deal pan out, but I suspect not a whole lot will change in the near term. These are well-established companies with mature products that collectively have very high user retention.] The acquisitive US-based firm, SS&C, has expanded its presence in the wealth management software market with the all-cash acquisition of rival Advent Software.

Cybersecurity Examination Sweep Summary from SEC.gov

[And finally, the SEC released its first Cybersecurity Examination Sweep Summary this week, outlining key findings from over a hundred broker-dealer and RIA examinations. Here are my most important takeaways:

3 out of 4 advisers have been the target of cyber attacks, only 1 out of 5 advisers actually have cybersecurity insurance, and very few advisers know where to identify best practices on cybersecurity. Here’s a hint: THIS SHOW is one of them!

Clearly I should dedicate a show in the future exclusively to cybersecurity, but in the meantime, download my free guide on security at fppad.com/security and connect a vendor that specializes in RIA best practices like Itegria, Envision RIA, External IT, True North Networks, Right Size Solutions, and others.] OCIE’s National Examination Program staff, recently examined 57 registered broker-dealers and 49 registered investment advisers to better understand how broker-dealers and advisers address the legal, regulatory, and compliance issues associated with cybersecurity.

Here are the stories that didn’t make this week’s broadcast:

Wealthbox 1.7 – New Integrations & Enhancements from Wealthbox

Today we’re releasing Wealthbox CRM version 1.7 with a flavorful assortment of new add-ons and enhancements.

Advizr Announces Strategic Partnership with Blueleaf Portfolio Management and Reporting Software from BusinessWire

Advizr, a next generation financial planning software, today announced a strategic partnership with Blueleaf, a leading client engagement, data automation and reporting platform for advisors and clients.

Cambridge to have robo offering for advisers in 2016 from InvestmentNews.com

Independent broker-dealer Cambridge Investment Research Inc. plans to have a competitive robo-type offering that works in sync with its 3,000 advisers’ practices in 2016.

 

Watch FPPad Bits and Bytes for February 6, 2015

Watch FPPad Bits and Bytes for February 6, 2015

Fidelity Investments acquires eMoney Advisor

Posted on February 2, 2015 by in Software

Fidelity Investment acquires eMoney Advisor

Fidelity Investments’ acquisition of eMoney Advisor makes the custodian invested in financial planning software.

Updated 7:54 AM ET, February 3, 2015 with valuation information

Fidelity Investments today announced the acquisition of eMoney Advisor, the Conshohocken, Pennsylvania-based provided of popular financial planning and adviser marketing solutions.

Terms of the acquisition were not disclosed by Fidelity Investments.

“North of $250 million”

Some sources cited a purchase price “north of $250 million” and a valuation of four times eMoney’s annual revenue in this Philly.com article.

Sources not authorized to speak publicly on the matter told me the valuation was closer to eight times eMoney’s annual revenue for a purchase price between $250 and $300 million. (Note: we’ll never know the true terms as both companies are privately held and not required to disclose the terms.)

The Guardian Life Insurance Company of America® will retain a minority interest in eMoney Advisor and will continue to use the solution as one of eMoney’s largest clients.

Independent Planning

Today’s acquisition marks the first time I can recall an institutional custodian has taken majority ownership of a financial planning software provider.

I’ve taken the liberty of listing many of the other popular financial planning solutions along with their respective parent company affiliation(s) where applicable.

  • MoneyGuidePro, owned by PIETech, Inc., Private
  • FinanceLogix, owned by OLTIS Software, LLC., Private
  • inStream Solutions, Inc., Private, unknown private equity affiliation
  • Advicent Solutions (provider of NaviPlan® and Profiles™), Vista Equity Partners, a U.S.-based private equity firm
  • Guide Financial, Private
  • MoneyTree Software, Private
  • Advizr, Private
  • SunGard, operating under SunGard Financial Systems, a subsidiary of SunGard Data Systems Inc., Private under ownership of Bain Capital LLC, Blackstone Group LP, Goldman Sachs Capital Partners LP, KKR & Co LP, Providence Equity Partners Inc, Silver Lake and TPG Capital LP
  • WealthTec, Private
  • GoalGamiPro, Advisor Software, Inc., Private

If you have more details regarding the providers listed or wish to add any solutions to the list, please contact me.

Accelerating Integrations

Several questions come to my mind once Fidelity Investments finishes its eMoney acquisition.

Will eMoney continue to support integrations with competing institutional custodians, or is a walled garden strategy coming for the popular planning software? Will the new ownership expand integrations and custodial support, restrict them, or simply maintain today’s status quo?

Ed O’Brien, senior vice president of Technology Platforms for Fidelity Institutional, and Edmund Walters, eMoney Advisor Founder and CEO, graciously carved out a few minutes to converse by phone regarding my questions.

“Our vision at eMoney is not just about delivering financial planning, but making the adviser’s life easier through technology,” said Walters. “Developing integrations with leading technology providers allows us to do that, and now with Fidelity behind us, we will accelerate it.”

O’Brien added by saying, “We want eMoney to continue to accelerate their role in the marketplace to deliver the best advisor experience possible, and that helps make what Fidelity does better.”

In addition, eMoney publicly assured others with similar questions that the company will “continue to operate independently as a standalone entity” in an update on the company Twitter feed this morning.

How Will Custodians Respond?

Consider, however, the perspective of other custodians serving independent financial advisers. How eager will they be to integrate and pass data to eMoney Advisor once it falls under ownership of a competing custodian?

For example, TD Ameritrade Institutional just announced at its conference last week that the new Veo One™ platform will soon integrate data from eMoney Advisor (watch Veo One preview from the National LINC 2015 Conference).

With eMoney falling under Fidelity Investments’ ownership, what’s in the future for eMoney integrations supported by competing custodians?

The question is not specific to TD Ameritrade Institutional. eMoney Advisor is used by over 25,000 financial professionals, who collectively use the institutional custody and broker-dealer services from a variety of providers, including Schwab Advisor Services, TD Ameritrade Institutional, LPL Financial, and Pershing, LLC (under The Bank of New York Mellon Corporation).

This is a developing story. Instead of email you can message me on Cyber Dust at billwinterberg 

FPPad Bits and Bytes for December 12

Posted on December 12, 2014 by in Bits & Bytes

On today’s broadcast, Financial Planning magazine’s annual tech survey is here. Find out who makes up this year’s winners and losers in advisor technology. Fidelity announces a new collaboration with LearnVest. How will this partnership help you with your digital advice delivery to clients? And, Wealthfront fires the first salvo at the separately managed account industry. Does this new service have the potential to put pricing pressure on the SMAs you use today?

So get ready, FPPad Bits and Bytes begins now.

(Click to watch on YouTube)

Today’s episode is brought to you by the 2015 T3 Conference, Advisor Edition, exclusively designed for the technology needs of independent financial advisors.

t3600

You can get $50 off the regular registration rate by using the promo code “2015T3FPPAD,” so reserve your spot to the event Michael Kitces calls the Best for Advisor Technology by visiting technologytoolsfortoday.com

Now here are the links to this week’s top stories:

Tech Survey 2015: What’s New Now? from Financial Planning

[This week’s top story comes from Financial Planning magazine, as technology columnist Joel Bruckenstein revealed the results of the publication’s annual technology survey of financial professionals. The first surprise of the survey involves tools advisors use to assess client risk tolerance.

For the longest time, the risk assessment category has been dominated by FinaMetrica, the Australian-based firm that launched its client profiling tools back in 1998. Today, assessment tools from Riskalyze and PocketRisk have gained respectable adoption among advisors. But roughly 50% of survey respondents admitted that they don’t use any risk profiling tools, so if you’re part of that 50%, you might want to consider adding one of these solutions to your technology plan for 2015.

Also gaining traction are portfolio rebalancing solutions, as these tools are now in use by more than half of all survey respondents, a first for the category. TD Ameritrade Institutional’s iRebal earned top honors, with Envestnet|Tamarac and Orion Advisor Services rounding out the top three solutions in use today. And with all of the low-cost online investment solutions touting their rebalancing and tax-loss harvesting attributes, I expect to see rebalancing software adoption to continue to grow as advisors match the rebalancing capabilities of the online providers.

Other than that, this year’s survey is pretty similar to the one from 2013, with TD Ameritrade Institutional taking top honors in advisor satisfaction, MoneyGuide Pro cited as the most popular financial planning software, and Junxure, Salesforce, and Redtail duking it out once again for top honors among CRM software depending on how you slice the data.] In the advisor technology sphere, it used to be enough to look for evidence of change. What’s different now is the velocity of the action.

Fidelity Institutional Announces New Collaboration with LearnVest from Fidelity Institutional

[Speaking of online investment solutions, the next story comes from Fidelity Institutional, as the company recently announced a new collaboration with LearnVest, the online technology-enabled financial planning provider. This news follows Fidelity’s announcement last month of a similar collaboration with Betterment Institutional, where Fidelity will list the online investment service in its list of resources advisors should consider as they contemplate ways to attract the next generation of investors.

Under the collaboration, advisors can publish what’s called a “financial wellness” micro website that features educational content produced by LearnVest. In addition, advisors can offer the LearnVest planning program to their clients under a preferred pricing agreement.

Now I’m all in favor of advisors embracing digital advice delivery at an affordable price, buy why should you be piggybacking off of LearnVest’s content? Shouldn’t YOU be the one delivering valuable financial planning content to your clients and prospects? If you have the resources, you should be building your own website, creating your own content, and training yourself and your colleagues to deliver your message with compelling video content. Yes, it takes time and a nominal financial investment, but I bevel the potential reward is worth it.

However, if you don’t have the talent or the resources to make this happen, then the LearnVest collaboration at least gives you a starting point to bridge the gap between your current service model and the technology-enabled relationships that emerging clients are demanding.] Fidelity Institutional, the division of Fidelity Investments® that provides clearing, custody and investment management products to registered investment advisors (RIAs), retirement recordkeepers, broker-dealers, family offices and banks, today announced a new collaboration with LearnVestTM, as well as additional resources to help advisors explore options to digitize their practices.

Direct Indexing: The Next Generation of Index Investing from Wealthfront

[And finally, it seems like I can’t stop talking about online investment services this week, as this time it’s Wealthfront making headlines, as the company just announced a new offering called Direct Index investing. Starting with an account minimum of $100,000, Wealthfront will purchase individual securities and ETFs on behalf of its customers that are benchmarked against the Vanguard Total Stock Market ETF. Holding individual securities instead of funds and ETFs allows Wealthfront to track the performance of the index, but harvest individual gains and losses from individual in securities to be more tax efficient.

If this sounds a lot like separately managed accounts, or SMAs, that advisors use today, that’s because it is. So while Direct Index Investing isn’t anything new, Wealthfront is now able to offer the service with very low account minimums and charges its low annual management fee of just 25 basis points, which could very well put pricing pressure on many of the SMA providers you use like Parametric, Envestnet, Nuveen, and more.] Today, we are very excited to announce the expansion and improvement of our unique direct indexing technology. With this release, the Wealthfront Direct Indexing Platform will extend the benefits of direct indexing to broader sets of clients, with increased tax benefits and lower costs.

Here are the stories that didn’t make this week’s broadcast:

Junxure Expands Relationship and CRM Integration with Advent Software

Junxure CRM, an industry-leading practice improvement firm for financial advisors that integrates CRM technology, consulting, and training, today announced the expansion of its relationship with Advent Software, a leading provider of software and services for the global investment management industry. Advent’s Black Diamond(SM) wealth management platform now offers an integrated experience with Junxure Cloud, Junxure’s cloud-based CRM/office management solution. 

 

Watch FPPad Bits and Bytes for December 12, 2014

Watch FPPad Bits and Bytes for December 12, 2014

FPPad Bits and Bytes for September 26

Posted on September 26, 2014 by in Bits & Bytes

On today’s broadcast, financial innovation takes center stage at Finovate Fall 2014. Find out which startups are building tools to improve your business. Advicent Solutions announces its acquisition of Figlo. Will this popular planning solution from Europe receive similar adoption in the US? And, I get a personal tour of Fidelity’s Office of the Future. Find out which technology you should have if you want to become the “anywhere advisor.”

So get ready, FPPad Bits and Bytes begins now!

(Watch FPPad Bits and Bytes on YouTube)

Today’s episode is brought to you by ITEGRIA, providers of complete outsourced technology support, security, infrastructure and IT solutions exclusively for RIAs.

itegria - providing a 360-degree, comprehensive approach to financial advisor IT needs

In their new book titled Red Flags, you’ll learn how to protect your firm from cyber-attacks, disasters, and IT compliance risks. Learn more about the Red Flags book by visiting fppad.com/itegria.

Here are the links to this week’s top stories:

Finovate Fall 2014: The Biggest Innovations in FinTech from Finovate

[This week’s top story highlights Finovate Fall 2014, the semi-annual gathering of many of the top startup companies in financial services. Finovate presenters cover a wide range of technology from mobile payments and automated investing to login security and financial literacy, so I’ve narrowed things down to the solutions that have the potential to help your business.

In no particular order, first up is My Virtual StrongBox with an updated version of its secure online file storage and sharing solution. Their competition for your business includes alternatives like Box and Sharefile for your document collaboration needs.

Next is Flexscore, which announced a new FlexScore Mobile financial profile scoring platform. Now with any mobile device, your clients can view their personal FlexScore, compare it with their peer group, and follow FlexScore’s recommend Action Steps to improve their score, which is a novel application of gamification techniques to financial advice.

Also showing potential is iQuantifi, a previous Finovate Best of Show winner, which is aggressively positioning itself as a virtual financial advisor solution. iQuantifi announced a new feature called “Cashfinder” to automatically recommend ways to reduce client expenses, and another one called “What if” that allows clients to tweak financial goals and view their effects in real time.

And the last company of note is bloom, which received one of this year’s Best of Show awards for its 401(k assessment and recommendation platform. bloom connects to client 401(k) accounts and evaluates its health using an image of a flower. Reducing risk or diversifying allocations leads to a healthier flower, which one again is an interesting and subtle play on gamification to get clients to take action on their financial future.]

On September 23 & 24, Finovate returns to NYC with FinovateFall, our flagship two-day showcase of the latest and greatest financial and banking technology innovations from leading established companies and hot young startups.

Advicent Solutions Acquires Figlo from Advicent

[Next up is news from Advicent Solutions, which announced its acquisition of Figlo, a financial planning software provider based in the Netherlands.

Figlo made a splash waaaay back in February 2011 at the T3 Conference in Florida when it demoed its software that had a very fresh and appealing user interface, but the company just didn’t gain all that much traction among advisors in the United States.

Now with the Advicent Solutions acquisition taking place, you should expect Figlo to benefit from Advicent’s marketshare with its NaviPlan and Advisor Briefcase solutions, and perhaps see the introduction of more compelling and user-friendly ways to deliver financial planning advice to clients.] In a deal that will further cement its position as the leading provider of financial consultancy and planning software solutions for banks, insurers and financial consultants, Advicent Solutions announced today its acquisition of Figlo.

Exclusive tour of Fidelity Institutional’s Office of the Future from FPPad

[And finally, several months ago in episode 129 I told you about Fidelity Institutional’s Office of the Future that the company created in its Smithfield, RI campus. I recently had the opportunity to tour the Office of the Future in person and was given a guided tour by Ed O’Brien, Head of Platform Technology for Fidelity Institutional.

The Office of the Future is divided into four distinct environments focusing on the diverse needs of today’s technology-empowered advisors: the briefing room, the “anywhere adviser” zone, the collaborative office, and the home environment.]

Fidelity Institutional’s Office of the Future shows how an adviser’s future office may not be a physical office at all.

Here are the stories that didn’t make this week’s broadcast:

Interactive Advisory Software Announces Data and Performance Validation, Client Billing and Reporting Services

Interactive Advisory Software (IAS) recently announced the launch of their new line of service offerings for new and existing advisors.  This marks the firm’s first major step toward a fully developed service bureau, in addition to their flagship fully-integrated technology platform.  Data and Investment Performance Validation, Client Investment Performance Reporting, and Account Billing are the first additions to the technology firm’s custom advisory services.

Actua to Acquire FolioDynamix, a Cloud-Based Wealth Management Technology Platform

Actua Corporation, formerly ICG Group (NASDAQ: ACTA), today announced that it has reached agreement to acquire FolioDynamix, a leading, secure, cloud-based investment and wealth management platform.

 

Watch FPPad Bits and Bytes for September 26, 2014

Watch FPPad Bits and Bytes for September 26, 2014

Exclusive tour of Fidelity Institutional’s Office of the Future

Posted on September 24, 2014 by in Efficiency, Technology

Fidelity Institutional’s Office of the Future shows how an adviser’s future office may not be a physical office at all

Recently I was invited to tour Fidelity Institutional’s Office of the Future, the company’s bold statement on where it believes the adviser’s future workplace is headed.

Irony notwithstanding, Fidelity Institutional’s Office of the Future does, in fact, occupy a physical space in the company’s Smithfield, RI campus located about an hour’s drive south of its Boston, Mass. headquarters.

Ed O’Brien, head of platform technology for Fidelity Institutional, gave me a personal tour of the Office of the Future to highlight tools and technology advisers can use to invest in their own progressive workplace. A virtual Office of the Future tour is available on Fidelity’s website at https://fidelityinstitutional.fidelity.com/fi/campaigns/office-of-future/fidelity.html

The Office of the Future is segmented into four distinct areas, each highlighting specific concepts and tools in technology that advisers can deploy in their office: the briefing room, the “anywhere adviser” zone, the collaborative office, and the home environment.

Briefing Room

OOTF1

In the briefing room, advisers will find large, HD displays connected to a virtual conferencing system. Advisers can use HD video conferencing to create an interactive bridge with colleagues in remote offices, back office support at the home office, or even with clients (but more on that in the home environment).

In addition, the briefing room is not filled with large, encroaching conference tables. Instead, advisers will find an inviting circle of chairs surrounding a large Lenovo Horizon II 27-Inch All-in-One Touchscreen Desktop where they can sit on the same side of the table with clients and begin to navigate through documents, reports, and other on-screen information in an engaging, dynamic setting.

“Anywhere Advisor” Zone

OOTF2

Fidelity’s O’Brien understands that the adviser no longer does 100% of his or her work in the physical office, and has the need to be productive no matter where his or her travels may lead. So Fidelity’s second room is nicknamed the “anywhere advisor” zone, where advisers can try technology that supports productivity while away from the traditional office.

O’Brien demonstrated the presentation apps on tablet devices that synchronize annotations and markup to any virtual meeting attendee, a Celluon EPIC Virtual Keyboard for the ability to type on any flat surface, a Pebble Steel Smart Watch to view notifications and incoming call information without taking one’s phone out of a pocket or handbag, and the arguably controversial Google Glass.

Collaborative Office

OOTF3

In the collaborative office, O’Brien is quick to point out that there are no physical servers supporting the devices in the office. Instead, the collaborative office features three different styles of workstations, from the low-cost tablet and virtual desktop configuration up to the fully-loaded multiple monitor and HD video conferencing equipment from Cisco.

In addition, the collaborative office features a green screen backdrop that advisers can use to create their own video content for clients and prospects, and use the video to add their own background images, graphics, and other information to make compelling content for their audience (much like I do with my own FPPad Bits and Bytes broadcasts).

The Home Environment

OOTF4

Finally, the last stop on the Office of the Future tour is the home environment, where O’Brien says more and more of the adviser-client interactions will take place.

Clients are increasingly seeking convenient options to work with financial advisers, and that includes the ability to chat and engage with an adviser from the comfort of their own living room.

Video chat services like Skype, Google Hangouts, and Apple FaceTime allow clients to have productive, meaningful conversations with their adviser, without dealing with the hassles of driving to an adviser’s office or even identifying advisor they want to work with that happens to have an office near their home.  Using this technology, clients are free to work with an adviser anywhere in the United States and conduct those meetings at times convenient to them.

FPPad Bits and Bytes for September 5

Posted on September 5, 2014 by in Bits & Bytes

On today’s broadcast, custodians are battling for your business with their technology solutions. Which one is coming out on top? Hacked celebrity photos have been posted all over the Internet. How are you protecting your cloud data so you don’t embarrass yourself in front of clients? And Box is thinking outside of the cloud file storage, uh, box. Find out which new initiatives offer the best efficiency gains for financial advisors.

So get ready, FPPad Bits and Bytes begins now.

(Watch FPPad Bits and Bytes on YouTube)

This week’s episode of Bits and Bytes is brought to you by Total Rebalance Expert, the industry’s largest, privately owned portfolio rebalancing software provider.

Total Rebalance Expert

Now available as a part of the Orion Advisor Services platform, TRX features tax-efficient rebalancing, an easy to use interface, and more, all at an affordable price. Learn how you can gain a half a million dollar return on your technology investment by downloading their latest white paper at fppad.com/trx

Here are the links to this week’s top stories:

Tech Update: What the Big Custodians Now Offer from Financial Planning

[This week’s top story comes from Joel Bruckenstein and his article in Financial Planning magazine. This month, Bruckenstein covered technology updates that the four major custodians have introduced, or are planning to introduce shortly, to financial advisors.
First on the list is Pershing Advisor Solutions, which most recently unveiled a new client portal called NetXInvestor, designed to be the single resource clients can access to view their portfolio holdings, access documents stored in the online vault, and in the near future, collaborate with their advisor through a secure messaging system.

Next is TD Ameritrade Institutional and its rollout of the Veo Open Access dashboard, which Bruckenstein said is poised to have the “most far-reaching impact” for advisors. The dashboard aims to unify your experience when using CRM, portfolio management, document management and other technologies. So instead of bouncing around from window to window, the dashboard leverages deep integrations with over 75 vendor integrations including Redtail CRM, Orion Advisor Services, and MoneyGuidePro to review, edit, and update data without leaving the Open Access dashboard.

Third up is Schwab Advisor Services, as Bruckenstein highlighted incremental updates to its esignature support, streamlined trade uploads from the Tamarac rebalancing soft are, and the integration of Morningstar Office to Schwab’ OpenView Gateway. Of particular interest is Schwab’s upcoming PM squared portfolio management platform, a completely new online solution that, according to Schwab’s Neesha Hathi, should be in limited beta testing as we speak.

And finally, updates on Fidelity Institutional Wealth Services rounded out the review, as the company’s WealthCentral platform will soon offer account-opening integration with Redtail and Skience for Salesforce, single sign on and trade order imports from Tamarac, portfolio imports into Naviplan and MoneyGuidePro, and other enhancements.] Over the last several years, the four major custodians have done a good job of enhancing their technology platforms. While there are some clear differences across the industry, it is fair to say that today’s platforms are far superior to what was being offered a few years ago.

You’re Reacting to Celebgate Wrong from Yahoo! Tech

Download my free Defend against hacking, phishing, and spoofing attacks handout

[Next up is news on cloud security, as I’m sure you might have heard that compromising photos of celebrities were leaked, apparently accessed from mobile device backups in the cloud. The Internet blew up, saying “Apple was hacked” and “iCloud has a security flaw.” Well, maybe not.

Yes, many of the private photos were obtained from the cloud, including Apple iCloud, but the method by which they were obtained is pretty old fashioned. Hackers used brute force attacks to successfully crack passwords and then correctly answered security questions that were far too basic, and the rest is history. So what can you do to prevent the sensitive data you manage from falling into the wrong hands?

Use long passwords, use a unique password for each website, and obfuscate answers to security questions. Instead of answering using Honda Civic as the make and model of your first car, use the word green, which might have been the color of your first car.

I have a lot more tips on keeping your data safe in a free handout you can downloaded, which is linked along with this week’s top stories.] Ever since somebody released nude photos of female movie stars this week, the wild overreactions have been clogging the Interwebs. Most of the hysteria runs along one of a few lines, and a lot of it is plain wrong.

Box’s Next Act: Box for Industries, Introducing Box Workflow, and BoxWorks 2014: New Ways to Collaborate in the Cloud from Box

[And finally, the online cloud file storage market is getting very crowded, so some of the top players are looking to set themselves apart from the competition. Case in point is Box, who this week announced several new initiatives, including Box for Industries, Box Workflow, and Box for Office 365.

Box for Industries expands on the Box OneCloud application marketplace and now highlights integrated solutions for verticals such as health care, education, and more, but notable absent is financial services. Box Workflow adds business process capabilities to firms by leveraging automation and document metadata. And Box for Office 356 better integrates Box with Microsoft’s online office suite which, if you’re not satisfied with OneDrive, opens up another cloud storage alternative.] Today… we’re announcing Box for Industries, a new initiative to accelerate business transformation in every business by combining tailored solutions leveraging Box’s metadata, workflow, compliance, and platform capabilities; industry-specific applications from curated third-party developers and partners; and world-class implementation services from Box and key system integrator partners.

Here are the stories that didn’t make this week’s broadcast:

Worth The Wait from Financial Advisor Magazine

It has taken much longer than anticipated, but Junxure CRM (www.junxure.com), a firm that integrates CRM technology, consulting and training for financial advisors, has finally announced the general release of “Junxure Cloud,” its comprehensive, cloud-based suite of CRM/office management products for financial advisors. After trying the application out for a few days, I’m happy to report that it was well worth waiting for.

Riskalyze announces Compliance Cloud to pinpoint risky portfolios from FPPad

Riskalyze Compliance Cloud aims to single out portfolios that drift outside a client’s risk tolerance

Online Adviser’s New Target: Investors With $1 Million or More from the Wall Street Journal

One of those online firms, sometimes dubbed “robo advisers,” is edging into the business of providing wealth-management services to people with $1 million or more.

FPPad Bits and Bytes for September 5, 2014

FPPad Bits and Bytes for September 5, 2014

FPPad Bits and Bytes for May 2

Posted on May 2, 2014 by in Bits & Bytes

On today’s broadcast, the Office of the Future has arrived. Find out what technology you should buy to be an advisor on the leading edge. Cybersecurity enforcement is coming from the SEC. How will you prepare your firm for this new round of exams? And, retirement illustrations get distilled down to two variables. How one company’s simplified tool can help clients make better investment choices, all in real time.

So get ready, FPPad Bits and Bytes begins now!

(Watch FPPad Bits and Bytes on YouTube)

Today’s episode is brought to you by Laserfiche, a leading document management provider to financial advisors.

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Laserfiche helps increase business value by automating client onboarding and document filing processes, all while supporting regulatory compliance. Download a free copy of their ROI for RIAs white paper by visiting fppad.com/laserfiche

Here are this week’s stories of interest:

Fidelity® Opens New Office of the Future to Show Financial Advisors First-Hand How to Embrace Technology from BusinessWire

Launch the virtual tour of the Office of the Future at Fidelity.com

[This week’s lead story comes from Fidelity Investments, as the company unveiled a radical approach to the advisor’s workplace called the Office of the Future. Fidelity’s Office of the Future is actually a real place you can visit at the company’s campus in Smithfield, Rhode Island.

If you can’t visit the office in person, Fidelity provides a 360-degree virtual tour online, where you can view technology that emphasizes seven trends relevant to advisors, including pervasive video, big data, gamification, and more.

But a part of me feels that the Office of the Future label is bit of a misnomer, as you can buy just about every piece of equipment installed in the Office of the Future today. Nevertheless, if you updated your technology with the kinds of tools and devices seen in Fidelity’s example, I think you’ll have a good chance of attracting new clients that have increased expectations about their advisor’s technology and overall service experience.] Fidelity Institutional, the division of Fidelity Investments® that provides clearing, custody and investment management products to registered investment advisors (RIAs), banks, broker-dealers and family offices, today announced the opening of the Office of the Future on its Smithfield, Rhode Island campus.

U.S. Securities and Exchange Commission’s Office of Compliance Inspections and Examinations Cybersecurity Initiative from SEC.gov

[Now as all financial professionals use more technology in their businesses, the SEC is ramping up its oversight of the risks of all this technology through enhanced cybersecurity examinations.

Two weeks ago, the SEC released an extensive document covering dozens of items examiners may request when auditing the cybersecurity policies and procedures of a financial services firm, and that includes SEC-registered investment advisers.

Based on its list of requests, the SEC expects you to have a written security information policy, an inventory of hardware devices and software applications used in your business, details on when and how you conduct risk assessments, and a whole lot more.

It’s clear that enforcement regarding cybersecurity is about to get a lot tougher, which I feel is appropriate given the responsibility you have to keep your clients’ personal and financial account information safe from attacks.

So I recommend that whoever is responsible for addressing security in your firm review the nearly 30 individual items in the SEC’s sample request list and update your policies and procedures accordingly, and do it sooner rather than later.] OCIE is issuing this Risk Alert to provide additional information concerning its initiative to assess cybersecurity preparedness in the securities industry.

Introducing Retirement Maps from Riskalyze.com

[And finally, rounding out this week’s update is a new feature from Riskalyze called Retirement Maps. Now many advisors like to illustrate a client’s probability of success in funding their retirement goals projected many years into the future, but the extensive data entry required and time consuming Monte Carlo calculations performed by most software programs can often be a deterrent of doing so.

So the new Retirement Maps aims to significantly streamline this process. Here’s Riskalyze CEO Aaron Klien with more details:

Best of all, Retirement Maps is being offered as a free upgrade to all existing Riskalyze customers, and for a limited time, new Riskalyze customers will also receive a free lifetime upgrade as well.] After thousands of hours of research and development, our Core Technology team invented a new way to deterministically calculate the 95% probability years into the future. There’s no waiting for a long, slow recalculation: you get an interactive way to build a map for the client’s retirement right in front of their very eyes.

Here are stories that didn’t make the cut this week:

The new LinkedIn Compliance Program from LinkedIn

Our Certified Compliance Partners provide expert monitoring, archiving, and management of communications for enterprises in regulated industries. They help your social interactions remain effective while ensuring compliance with corporate governance policies and major regulations. 

Nashville wealth management startup raises $3 million from investors from Bizjournals.com

Wealth Access, a wealth management platform designed for financial advisers and high-net-worth clients, announced Wednesday that it had raised more than $3 million in a financing round that includes investments from a TNInvestco fund and a St. Louis financial technology accelerator.

XY Planning Network Adds Tech Partners from Financial Advisor magazine

XY Planning Network, the platform launched in early April by Michael Kitces and Alan Moore, announced Monday its list of “core” technology partners that will be available to current and new members of the platform, which is dedicated to helping young planners build a fee-only business targeting Gen X and Gen Y clients.

Orion Client Portal Goes Open Source from PRNewswire

Orion Advisor Services, LLC, the premier portfolio accounting service bureau, announces a complete redesign of the functionality and features of the client portal for its financial advisor clients. With this redesign, advisors have new capabilities to communicate more effectively with their clients, and give clients a complete snapshot of all their assets, whether managed by the advisor or not.

How the RIA business made a dent at the 2014 Finovate conference in San Jose from RIABiz.com

On the leading edge of financial services technology innovation, Personal Capital, Motif Investing, and more demo their latest features to change the way consumers engage with financial advisors.

 

Watch FPPad Bits and Bytes for May 2

Watch FPPad Bits and Bytes for May 2

Schwab OpenView Mobile launches, allows RIAs to create branded mobile apps for iOS and Android

Posted on February 24, 2014 by in Technology

Balasa Dinverno Foltz LLC is one of the first RIAs to publish a branded mobile app using Schwab Advisor Services' Schwab OpenView Mobile platform

Balasa Dinverno Foltz LLC is one of the first RIAs to publish a branded mobile app using Schwab Advisor Services’ Schwab OpenView Mobile platform. Image credit: Apple iTunes

 

Schwab OpenView Mobile officially launches, allowing RIAs to publish branded mobile apps to the iTunes App Store and Google Play

Note: An earlier version of this story indicated Schwab Advisor Services was the first investment custodian to provide custom mobile apps to its advisor clients. Trust Company of America has been publishing custom adviser-branded mobile apps for end client use since September 2012.

Initially announced at Schwab IMPACT 2013 (see: Schwab IMPACT 2013 Report: All the technology trends advisers can’t miss), Schwab Advisor Services has officially launched its Schwab OpenView Mobile platform.

Schwab OpenView Mobile allows RIAs who custody with Schwab Advisor Services to customize and publish mobile apps compatible with iOS and Android devices.

While not the first custom branded mobile app solution for advisers, OpenView Mobile becomes one of the few investment custodians that allows advisers to brand apps specifically for their advisory firm, with Trust Company of America being another. While Fidelity Institutional Wealth Services, Pershing, LLC, and TD Ameritrade Institutional all have mobile apps advisors can use to view client account information, none yet allow advisers to brand the app for use by end clients.

“Must-Have” Technology

“Mobile technology is a must-have for adviser firms looking to grow and build relationships – both with today’s clients and with the next generation – because it allows the adviser to deliver the ‘know me’, anywhere, anytime service clients expect,” said Neesha Hathi, senior vice president, Advisor Technology Solutions, Schwab Advisor Services, in a press release.

A quick search of the iTunes App Store shows that Balasa Dinverno Foltz LLC is one of the first RIAs to publish the app using Schwab OpenView Mobile.

“The creation of a branded app for our firm provides us with a tremendous opportunity to connect with clients through their mobile devices,” said Mark Balasa, Co-CEO and CIO at wealth management firm Balasa, Dinverno and Foltz, LLC in today’s press release.

Not the First

While they definitely help increase an RIAs profile in a crowded market, branded mobile apps are nothing new.

FPPad readers should be familiar with branded mobile apps available from several providers including Orion Advisor Services, Retire Logix from Oltis Software, LLC, and Boulevard R.

In fact, Orion Advisor Services’ app is in its second full iteration, as it has been more than three years since the company first introduced support for branded mobile apps for its RIA clients (watch FPPad Bits and Bytes coverage of version 2.0 of the Orion Advisor Services app below)

Nevertheless, the stakes for capturing clients’ attention continue to rise, as increased competition means more RIAs and financial services providers are fighting for attention and visibility on the next frontier: clients’ mobile devices.

How well will Schwab’s OpenView Mobile program push RIAs into the mobile device frontier for client collaboration? We will have a better idea after the first several months based on adoption by RIAs and stats on total downloads by end clients.

$5,000 Up Front, $2,000 Annually

How much will it cost RIAs to publish branded apps using Schwab OpenView Mobile?

Pricing details were not announced at IMPACT 2013, nor were they disclosed along with the press release about the platform’s launch.

But in a tweet today, Joel Bruckenstein offered pricing details on OpenView Mobile:

That’s certainly an expense that will be judged very carefully by many RIAs, given that a wide range of app development options exist for a fraction of the price.

For comparison, note that Orion Advisor Services offers a branded mobile app for its adviser clients at no additional cost.

App Alternatives

A quick Google search revealed one template-based tool called iBuildApp, and for $799/year, one gets all the bells and whistles of publishing an app complete with screens for contact information, blog feeds, video lists, and event listings.

Granted, one BIG difference between OpenView Mobile and all the other third-party app platforms is the ability of OpenView Mobile to show daily client account balances from their Schwab accounts in the app.

So you decide: if you need to give your clients the ability to check their Schwab account values from within your branded mobile app, then OpenView Mobile is your solution.

Use this link to read the full press release at BusinessWire.com.

FPPad Bits and Bytes for January 3

Posted on January 3, 2014 by in Bits & Bytes

On today’s broadcast, hackers make headlines targeting high-profile companies, so how can you avoid a security breach in your business? Electronic signature technology gains momentum, find out which providers you should add to your processes. Big data is coming. Who’s harnessing all the data you gather in your business, and how will these tools help you make better decisions in 2014 and beyond? All this and more.

So get ready, FPPad Bits and Bytes begins now!

(Click to watch on YouTube)

Today’s episode is brought to you by New Planner Recruiting, which specializes in the sourcing, screening and integration of entry level financial planners within financial planning firms nationwide.

NewPlannerRecruiting620

Whether you’re a firm looking to hire or an aspiring planner establishing your career path, sign up for the free newsletter full of valuable resources and information by visiting fppad.com/npr

Here are this week’s links of interest:

Financial Adviser Technology Trends in 2014

Financial advisor technology news moved at a snail’s pace over the holidays, so today’s episode is going to cover the most important technology trends I see coming in 2014. These trends break down into four main categories:

  • Security
  • Electronic signature
  • Big data, and
  • Enhancing your online presence

Security

Security news has received a lot of attention recently, headlined by the recent data breach at Target of over 40 million credit and debit card accounts, and quickly followed up by the release of over 4 million usernames and phone numbers from users of Snapchat, the private mobile messaging service.

While these are big companies with a potential bounty of user information, don’t think that your business is immune to attacks from hackers seeking personal and financial information.

This year, you should make it a priority to strengthen the defenses of your computers, mobile devices, and your network. Also, social engineering will likely be the primary method hackers will use to exploit people in your organization, so periodically test how susceptible your organization is to well-designed social engineering attacks.

Vendors that can help with your security include Mimic Technologies, Right Size Solutions, True North Networks, Envision Consulting, and many more, and you can use simulated phishing applications from Wombat Security Technologies, TraceSecurity, ThreatSim and more.

Electronic Signature

Next up is the increased adoption of electronic signature by financial institutions. You heard about e-signature several times in last years’ broadcasts as TD Ameritrade Institutional, Fidelity, Pershing, LPL and others support some form of the technology in their existing account processes.

But you can also deploy e-signature for the contracts and agreements you have for your internal documentation. So it’s worth exploring your options from providers such as RightSignature, Adobe® EchoSign®, DocuSign, and more to streamline your signature-gathering process, all while satisfying compliance, of course!

Big Data

The third trend I see ramping up big time for advisors in 2014 is Big Data. More technology providers are developing big data capabilities to help you analyze your data more effectively so you can make informed decisions about your client needs and business opportunities.

Look to adopt one or more of the business analytics tools available from Redtail Data Cloud, AssetMark, Orion Advisor Services, Envestnet|Tamarac and more.

Enhancing Your Online Presence

Finally, 2014 should be the year you make a serious effort to enhance your online presence. This is about more than just creating a Twitter account, posting a few tweets, and calling it a day.

More and more prospects are looking for financial advice and evaluating financial advisors online, long before they pick up the phone to schedule an initial meeting. And some prospects don’t even care that your office be in the same city where they live; they want an advisor who is an expert regarding their specific needs and circumstances, without imposing some arbitrary geographic requirement.

That said, does your website have what it takes to attract this generation of web-savvy prospects? Does your social media activity reinforce your value proposition to potential clients? And does your technology live up to the expectations of individuals born in the digital age?

Boost your online presence with services from providers like Advisor Websites, Wealth Management Marketing, Vestorly, Advisor Studios, Wired Advisor, and more.

So there you have it!

You’ve heard what I think the most important technology trends of 2014 will be, and I’ve given you a head start with a number of vendors and providers that can help you get the new year off to a fantastic start.

Watch FPPad Bits and Bytes for January 3, 2014

Watch FPPad Bits and Bytes for January 3, 2014

FPPad Bits and Bytes for December 13

Posted on December 13, 2013 by in Bits & Bytes

On today’s broadcast, find out my picks for the best advisor technology of 2013, how building your own workflow with Internet services just got a bit easier, and how you can let prospects you’ve never seen before tour your office, virtually.

So get ready, FPPad Bits and Bytes begins now!

(Watch FPPad Bits and Bytes on YouTube)

Today’s episode is brought to you by My Virtual COO, a leading practice management firm that helps advisors free up time so they can devote their energy to mission critical, profitable, and enjoyable activities.

mvcoo for blog

To find out how you can implement a lean operations plan, download their latest white paper titled “The Lean Solution to Becoming a More Profitable, High Growth Advisory Firm” by visiting fppad.com/myvirtualcoo

2013’s Best Tech for Advisors from Morningstar Advisor

[December has clearly arrived, as I, like many of you, have endured sub-zero temperatures while on the road, but it also marks the release of my column on my top advisor technology picks for the year. Each year I highlight what I feel is the best back office technology, the best client-facing technology, and the best overall innovation for the year.

So taking the honor as this year’s best back office technology winner are two recipients, LPL Financial and Fidelity Institutional Wealth Services. Both companies launched mobile check deposit support earlier this year using apps on mobile devices. While advisors using mobile devices to deposit client checks might not seem very sexy, the capability does reduce many of the challenges when dealing with paper checks deposited in the traditional ways.

Next up is this year’s best client-facing technology, which is awarded to Riskalyze. You’ve heard about Riskalyze before on several of my earlier broadcasts, as they’ve gained significant momentum among advisors seeking tools to objectively quantify each client’s unique risk tolerance. Their reasonably-priced tools allow you to better measure how your clients respond to market volatility, instead of leaving an assessment up to your own intuition and gut feelings.

Finally, this year’s innovation of the year award goes to Trade-PMR for its introduction their bold Fusion Advisor Workstation. This growing custodian delivered a shot across the bow of its larger competitors by pushing the envelope on the custodial technology interface. Its Windows 8-inspired design and touch responsive support unveils a completely new way to manage your client’s financial assets, so look for the competition to play catch-up next year to the new bar established by Trade-PMR.

There’s a lot more to my best technology picks of 2013, including products deserving honorable mention, so be sure to read the full article for all the details.] This is my fourth year positioned in the hot seat of a high-stakes evaluation process that can literally make or break the future of an advisor technology provider!

The Insider’s Guide to the New Zapier, now with 250+ Supported Services from Zapier.com

[Next up is an interesting development on connecting Internet services so you can build your own simple workflows. One service I wrote about last year is IFTTT, an acronym for If This Then That, which allows you to perform an action in one Internet service using a trigger from another.

A second service receiving a lot of attention this week is Zapier, which announced an extensive redesign of its interface and expanded support of over 250 integration partners. There’s no end to the number of cool things that can be done with these services, so be sure to read up on Zapier’s announcement to see how you might start using the service for your own clever workflows.] Today we’re launching a brand new web app and announcing that we now have over 250 integration partners.

Create your own Street View from Google Maps

[And finally, you know how handy it is to use Google Street View to check out unfamiliar places before you travel. Well did you know that you can now duplicate the experience by creating a virtual tour of your business for clients and prospects? Starting this week, Google announced that you can use your own photos from your Android phone or a digital SLR camera to construct a 360 degree photo sphere of your business.

While the direct financial planning applications of a photo sphere are pretty nonexistent, I think setting one up for your business is a very clever way to market yourself to prospects that want to work virtually with you, but still appreciate the environment and people you support that help contribute to their financial success.] Well, starting today, it’s now possible for you to build your own Street View experiences to do just that. Using a new feature in our Views community, you can easily connect your photo spheres to create 360º virtual tours of the places you love, then share them with the world on Google Maps.

 

Watch FPPad Bits and Bytes for December 13, 2013

Watch FPPad Bits and Bytes for December 13, 2013