Looking for ways to attract additional clients? Here are some helpful suggestions from a variety of industry sages, including Ron Carson, founder of Omaha, Neb.-based Peak Advisor Alliance, a coaching program for financial advisors.

Explain Your Fees

Based on his research, Carson found that today’s investors — first and foremost — want to understand how and when an advisor they are looking to work with gets paid. Advisors, therefore, need to be precise about how much they will be charging and clear in explaining how they come up with their fees. One way advisors can be more transparent is by simply posting their fees on their firms’ websites, so that any potential clients can see them, carefully review them, and then ask questions.

Don’t Be Condescending

Potential clients also want to be treated as equals. They can sense when an advisor is talking down to them or avoiding the details. The choice of words that an advisor uses when speaking with clients is also important. The wrong word choice can have the wrong effect or make the wrong impact. Terms like "asset allocation," "diversification" and "controlling expenses" are all examples of appropriate word choices that can help a client understand the methods of investing being used, according to Carson. Vague words such as “alternatives” can mean a variety of things and are therefore less helpful.

Millennial investors, in particular, don’t want to be bombarded with a bunch of numbers when an advisor is explaining investment choices. And they certainly don’t want to be “schmoozed” in an old-school way. Instead, advisors should be up-front with their clients and provide them with answers to questions in a clear, straightforward manner.

Make Yourself Available

Today's investors also want to be able to access their portfolios whenever the mood strikes them, so investment advisors need to make themselves available at all times. They should be proactive about alerting clients when changes in the economy, the markets or even the government could have a big impact on their portfolio. They should also be able to talk to their clients about how these changes may affect their investment choices.

What Can You do for Them?

Additionally, clients need to know exactly what an advisor can offer them so advisors should be specific when addressing this. They are less interested in hearing a sales pitch and more interested in learning exactly what an advisor can do for them and what services will be provided. Advisors should also ask any potential clients to explain to them what their specific needs are. At that point, the advisor can express to the client exactly how they will be able to fulfill those needs. Advisors may also want to form their own client advisory councils within their businesses and ask clients to offer detailed feedback about their business practices. It’s a great way to find out areas with your business that may need improvement.

Bottom Line

Advisors looking to attract potential clients need to speak in a straightforward manner, be available for questions and leave the sales pitch at the door. They should make every attempt to learn about a client's needs, be specific about what kinds of services they provide and, most of all, be upfront about how they are paid.

more »

As we have written previously, China is engaging in simultaneous bilateral investment treaty (BIT) negotiations with the United States and the European Union. Indications are that the Chinese government is taking these negotiations very seriously. This presents the most significant opportunity for foreign investors in China to influence market access restrictions and other restraints on foreign investment in the country since China’s accession to the World Trade Organization (WTO) in 2001.

At the request of European trade negotiators, we searched hundreds of thousands of measures issued by 39 central government agencies and five representative provincial-level governments in order to identify provisions that frame or limit market access and business activities of foreign-owned companies in China. In the process, we identified over 800 restraining provisions, which we analyzed and grouped into a number of different types and categories. The results provide a useful taxonomy for future discussion both within the BIT negotiation context and beyond.

Beyond published measures, the Covington team reviewed key trade publications and conducted interviews with industry groups to identify and catalogue administrative practices that may also have a restraining effect on foreign investment. As foreign business leaders in China are well aware, many of the biggest obstacles to foreign participation in the Chinese economy are imposed unofficially by government officials exercising legal or extralegal discretion.

A public version of the report prepared for the EU’s Directorate General for Trade is available on the EU DG Trade website. While it does not include the full database of restraining measures, the public version presents detailed descriptions of the types of restraints identified and provides supporting examples and observations.

Material for this post was supplied by Ashwin Kaja of Covington & Burling LLP.

more »

With geopolitical crises in the news, 2014 has been a "year of fear."

During the months of September and October, the stock market dealt investors more falling stocks than rising ones. Some may suggest the 2014 market has been worse than many years in recent memory. Although that remains to be seen, 2014 has been what I call a "year of fear."

The year began with an extraordinarily cold winter, with places like Austin, Texas, getting snow and freezing rain, and the polar vortex crippling many parts of the Eastern Seaboard and the Midwest. Throughout the year, other global events, conflicts and crises have affected stock market performance. Because investors were inundated with so much information (and much of it was conflicting information), many investors did not know what to do.

Although these events are undoubtedly reason to give us pause, if we look at the facts, we should be less concerned for our long-term investing success. Businesses have restructured and refocused on the bottom line, which often translates to better results for their shareholders. In addition, American energy production is at an all-time high, which has resulted in lower oil prices. While you are looking for positive signs in the stock market, here are three tips that may help prevent your investments from getting hurt by recent fluctuations in the market.

1. Don’t be scared by market corrections. Market corrections are necessary. Without them, there would be bubbles. These corrections typically help us keep our expectations realistic. However, it’s important to know the difference between a market correction and a bear market. I tell my clients that any softening of the market that is less than 10 percent is a correction.

When the market softens 20 percent or more, we are entering bear market territory, and it is likely time to make some changes to ensure they stay on course and reach their investment goals. We have to realize we have entered a new paradigm of investing. Now that we know that, we have to figure out how to handle the volatility. Your portfolio should be diversified to protect against this volatility as much as possible. While using diversification as part of your investment strategy doesn’t assure or guarantee better performance and can’t protect against loss in declining markets, it is well-recognized risk management strategy.

2. Don’t let market lows give you portfolio woes. The market is a fickle beast. By its very definition, there will be both ups and downs in the market. However, two things are important to keep in mind should either market movement occur. First, you have to remember your plan and time horizon. You developed your investment plan when cooler heads prevailed, which is the best time to create it. Next, you have to realize that since fear is an inherent part of investing your hard-earned money in the stock market, the second thing you should do is take a risk tolerance questionnaire when the market falls.

These questionnaires are available on any number of financial websites, and they can help you put the market in context. Have you taken on more risk than you are comfortable with? If you get out of the market when it softens (and take the financial losses associated with it), by the time you decide the waters are safe enough to get back in, you may be missing out on a potential upswing.

3. Beta-test your portfolio to minimize your fears. Beta is a measure of a fund's sensitivity to market movements, and is calculated by comparative analysis of how your portfolio will perform with respect to the Standard & Poor's 500 index. Performing this kind of analysis can help to take some of the fear out of investing in the stock market. However, a low beta does not necessarily mean that low levels of volatility exist. It only suggests the market-related risk is relatively low.   

For example, an investment in gold will often have a low beta, but despite the fluctuations that can happen in gold prices, the beta is likely to remain low. However, beta can help you determine how much risk there is in your portfolio, and if that lines up with the level of risk you can tolerate.

more »

What is a Securities Investment?

Loosely defined, a security in the world of finance is an instrument representing financial value. Securities can be categorized as debt, equity or derivative securities and can be represented through a certificate or non-certificated book entry form. These certificates entitle the holder to rights under the security and can include shares of stock, mutual funds or bonds.

Investing in Securities

Debt securities, or bonds, refer to a type of loan in which the investor lends an institution money in return for the payment of at certain intervals. Bonds can be issued by credit institutions, government agencies and public authorities with the initial lending amount agreed to be repaid at a later date. Bonds are a reliable securities investment because they generate a fixed form of income through interest. Equities refer to the amount of ownership you buy in a company and can be purchased in the form of stock and dividends. Derivative contract securities derive their value from direct securities in the form of futures, swaps, options and index options.

There are two types of markets to consider when investing in securities: primary and secondary. In the primary market, the money for securities is received from investors in a public offering transaction, such as offering stock to the public. In the secondary market, the securities are assets held by one investor selling them to another investor. The secondary market must exist for the primary market to thrive because holders of securities are able to sell them for cash in the secondary market to other investors. For this reason, investing in securities oftentimes comes with organized exchanges to perpetuate both markets.

If you’re interested in investing in securities, it is worthwhile to check out the latest news and trends surrounding the form of securities you have invested in. InvestorPlace offers the latest news on securities and trends, as well as expert perspectives on the market today. Check out what our industry leaders have to say about securities investment by looking through InvestorPlace today! 

For more info you can visit our Website at Deep Blue Publications Group LLC

more »

With the holidays looming, taxes probably rank among the bottom of items you are eager to think about, especially if you are a retiree. They won’t be due until April, right?

Sure, but that April 15, 2015, tax bill relates to income received during 2014, and there are only a few weeks left to make adjustments to this year’s numbers. Here are some tips aimed at retirees who want to trim their tax bill:

• Harvest your losses. Look over your non-retirement accounts for any investments that lost money during the year. You can make those losses work for you by selling the investments and writing off the losses against your gains. (Be aware of the “wash-sale” rule that prevents you from writing off losses if you make essentially the same investment within 30 days of the sale.)

• Defer any income. If you are selling a business, land or other substantial asset, consider spreading your payments over several years. Taking a lump-sum payment will skyrocket your income.

• Be more charitable. Give more to your favorite charities and take the deduction. Beyond that, you can start a donor-advised fund, which opens opportunities for additional tax-saving strategies, and you can donate appreciated securities, which allows you to deduct the market value of the asset without paying taxes on your gains.

• Limit your income. If you are in the 10 percent to 15 percent tax bracket, you currently pay no federal income tax on long-term capital gains — as long as your taxable income doesn’t exceed $36,900 for singles and $73,800 for joint filers.

One way to remain within the lower brackets is to limit your IRA withdrawals to the required minimum distributions. If you need more income to pay the bills, you can withdraw money from taxable accounts and sell securities. These strategies can be complex, so your financial advisor should do the planning.

• Give to loved ones. You can give up to $14,000 a year to as many people as you want without triggering federal gift and estate taxes (double it to $28,000 by giving from both yourself and your spouse). Any amount above $14,000 per person per year may eventually be subjected to gift taxes, but only once your lifetime total giving exceeds $5.34 million (for 2015). If you give more than $14,000 in one year to one person you have to fill out IRS Form 709, but this is just a formality until your giving exceeds the $5.34 million lifetime exclusion amount. For all of the above discussions, it’s always a good idea to have financial adviser involvement.

Eric Tashlein is a Certified Financial Planner™ and Principal of Connecticut Capital Management Group, LLC, 67 Cherry St. in Milford. He can be reached at 203-877-1520 or through www.connecticutcapital.com. This is for informational purposes only and should not be construed as personalized investment advice or legal/tax advice. Please consult your advisor/attorney/tax advisor. Registered Representative, Securities offered through Cambridge Investment Research, Inc., a Broker/Dealer, Member FINRA/SIPC. Investment Advisor Representative, Cambridge Investment Research Advisors, Inc., A Registered Investment Advisor. Cambridge Investment Research Inc., and Connecticut Capital Management Group LLC are not affiliated.

more »

Let’s imagine you know what to expect when buying a home a home for the first time, but did you know that it is the little things that can make all the difference in terms of your long-term happiness with your decision? Below are our top 10 tips for making your buying experience as profitable, stress-free, and enjoyable in the long-term as possible.

-  Research Thoroughly Before You Begin Physically Looking

As an agent, I see it all the time, a buyer–or buyers–want to jump into my car with me immediately and begin feverishly seeing dozens of condos on a Saturday afternoon.

Why is this bad? Easy–the clients and I waste 5 hours running around like chickens with our heads cut off and the entire process–after 2-3 weekends of this–quickly becomes disorganized and stressful. This is the exact opposite of how the process should go!

Instead, take time to do your homework before you even involve an agent and begin seeing homes. Start with online sites like Zillow, Trulia, or Redfin and check into different neighborhoods, price points, etc. so that by the time you do actually want to physically see properties and get more serious, you have a very well-defined idea of what you’re actually looking to buy. Also consider attending a few open houses on your own–just be sure to let them know you’re working with an agent if you’ve already chosen one.

-  Location, Location, Location

This is the most famous saying in our industry when it comes to the three things that most effect buyer’s purchasing decisions.

It’s wonderful that you can buy a 3,000 sq. ft. single family home for a very low price if you go out 7 miles due west of Downtown Chicago, but if no one will come and hang out with you, what was the point?

Location is such a crucial piece of the home buying puzzle because it will have the greatest effect on your overall lifestyle.

Do you love getting up early and walking a block to your yoga class and then having a nice protein shake from the juice bar across the street on your way back? If you do, then think long and hard before you decide to give up your ideal location for a few more interior square feet or some shiny new stainless steel appliances.

- Don’t Forget to Account for the Extra Small Costs

When buyers are setting up their budgets, they always remember to account for things like mortgage, tax, and insurance payments, as well as any association dues (for condos or communities with common amenities). They also remember to budget for utilities like gas, cable, and electric and most even remember things like landscaping maintenance and routine maintenance.

What most people forget about are the little extras which, when you add them up, can become not so little. A prime example- using the tip above about location- let’s say you decide to move 4 blocks farther from your ideal location which isn’t so far- no big deal, right? Maybe not…

Let’s say you’re not much of a walker or are always in a rush–that 2-minute walk for $0 just turned into a $6 cab ride.

Another simple example is a buyer who moves from a more affordable area to a more expensive one. Everyone accounts for the extra rent or mortgage they will pay, but few remember to account for the fact that there are no more $7/plate restaurants out your front door and that $35/plate restaurants have replaced them. Now you’re faced with spending hundreds of dollars more per month to feed yourself or spending money on cabs to get to more affordable options.

Always remember to really take the time to think about your overall budget and account for every penny that your new home will cost on a monthly basis, but also the ancillary income you will need to spend to conveniently live in that location.

-  Scope Out the Area on Your Own for a Different Perspective

Going out with your Realtor on the weekend and seeing homes is a great start once you become more serious about your search, but if you really want to get a feel for the area you’re considering buying in, you need to do more.

Start by visiting the property and general area at 9am and 5pm so you can judge traffic volume, noise levels, and the general feel for the area. Then come back during the weekend and walk around during the middle of the day. Stop in a local restaurant and have a bite and talk to a couple small business owners in the area to get a feel for their thoughts on the neighborhood.

The trick here is to figure out the lifestyle afforded by the area you’re considering and taking the time to make sure that lifestyle will be a good fit once you’re moved in.

- Do Not Compromise on The Quality of the Professionals You Hire

We’ve all heard the saying “You get what you pay for” and this couldn’t be more true than in real estate.

I get it–your girlfriend’s sister’s mom is a Realtor and she’s going to be so so so upset if she doesn’t get the business. Unfortunately, if you let people pressure you into hiring people who aren’t capable of fully representing you, then you can run into problems.

All hiring decisions- attorney, lender, Realtor, home inspector–should be based on merit and made without regard to personal relationships. If you know just so happen to be friends with a phenomenal agent with a stellar reputation who works in the area you’re buying in, then that’s one thing, but to blindly give out business when your hard earned money and happiness at stake is foolhardy to say the least!

- Always Know Your Exit Strategies

A good businessperson always knows their exit strategy up front and you should be no exception when it comes time to buying property.

Do you have enough for a down payment so that if you needed to sell quicker than expected you could without writing a check? Can you rent the home for enough to cover your total monthly expenses as an alternative strategy if you can’t sell?

The bottom line is, you need to make a plan as if you’re going to be moving half way across the world 6-12 months after you buy. If your exit strategy is sound enough to account for that critical of a life change, you know you’ve done your job in this respect.

Buying a home doesn’t need to be intimidating, scary, or complicated- in fact it should be just the opposite- approachable, fun, and simple. Organization, planning, and careful consideration are the dominant themes for all the tips listed above and by utilizing these simple strategies you will exponentially increase the odds that your purchase will end up a success in every way.

more »

Investing, whether it is for your retirement or a big purchase, can be a satisfying endeavor for individuals looking to build up their finances. Whether you are interested in stocks, bonds, mutual funds, ETFs or any other investment vehicle, there are a few investment tips every successful investor should keep in mind. Here is what InvestorPlace recommends to experts and beginners alike.

Making Investing Profitable

One of the biggest ways people can help themselves succeed in their investments is by truly understanding what they are investing in. Too many people throw their money into stocks without having a basic understanding of what to expect from the market and what to watch for. Regardless of what you are investing in, you should understand the terminology, latest trends, and inner workings of things like stocks and mutual funds, because that is the only way you will be able to truly prepare yourself for successes and failures. Our financial tip to beginning investors: Take the time to research your investment or find a brokerage firm you can trust to take care of the research for you; either way, ensure that you are working with the right amount of knowledge and expertise to keep your money alive.

One of the essential stock trading tips today is to make sure that your expenses do not exceed your expected profit. It’s simple: If your gains exceed your expenses, you will profit; however, if your expenses are too high, whether due to unsound purchases or a broker’s high commission fees, then you could be losing more money than you are gaining.

Whether you interested in stock trading tips or investment tips, it pays to stay on top of the latest news and trends in the industry. Looking into the facts and figures put across by a reliable investment news source is one of the only ways to ensure that you are making the most of the opportunities available to you, as well as keeping tabs on the companies you are currently invested in. Any expert offering up a financial tip will tell you that you have to watch the latest figures like a hawk to see how companies are doing and whether or not another lucrative investment is coming your way. With this in mind, InvestorPlace offers a one-stop shop for the latest news and trends offered from an expert perspective. Check out InvestorPlace today to see what we can tell you about your current investments!

more »