The world of financial planning is not exactly cut and dry! With thousands of investment products to choose from, how do you begin trying to figure out which ones are right for your client?
On this episode of Bottom Line IT, Mike sits down with Craig Stiles who is the Managing Director at Ameriprise Financial Services. With over 17 years of experience, Craig paints a clear picture of the dilemma financial planners like him face when wading their way through this sea of options:
- First, each client you work with is unique. They each have different incomes, goals, assets and so forth, which all affect which types of investments are and are not right for them.
- Second, you must weigh that information against other important factors like interest rates, risk assessment, fiduciary responsibility, and so forth.
- Finally, the state of the market is constantly changing. Which can easily shift what seems like a solid investment option into a poor one based on supply and demand.
- And did we already mention that there are literally thousands of options to choose from?!
Which lands us back at our original question, how are you supposed to juggle all this information to figure out which investment products are right for your clients? Let alone make the process effective, efficient, and teachable?
The answer, according to Craig, combines a little bit of art, science, and technology.
Let us explain:
Craig understood that the best way to help his clients was to develop a tool that could help him weigh all the necessary factors and narrow down a list of appropriate investment options based on the information he knew about his client and the current landscape of the market. Long story short, what began as an excel spreadsheet morphed into a full-fledged algorithm that is serving as a true game-changer in the financial planning industry!
Craig goes on to say, “I have to be able to prove WHY a certain product works for a client,” and this software offers a “logical and repeatable way to narrow down the options.”
Pretty neat, huh? There’s so much more inside the episode too! Listen to Mike’s full conversation with Craig here .