We have been taking our clients plans to live bid on a 36 month cycle for the last 12 years, it’s actually a part of our service plan. The results of those bid proposals, in terms of decreased expenses to participants and/or increased provider services, cannot be overstated. But the last 18 months has presented 3 unique opportunities that plan sponsors should capitalize on because once gone, we may not see again for a long time.
Over the last 6 months we have seen plan sponsors have more successful outcomes in reducing plan expenses due to live bid RFP’s. In some cases, though not all, we have seen potential decreases anywhere from 34% up to 68%. Additionally, live bid RFP’s can provide valuable information to plan sponsors when negotiating with their current service providers.
If you have never taken your plan out to a live bid RFP or if it’s been a while, NOW IS THE TIME! The stars are aligned to create a potentially great opportunity for your retirement plan participants. Remember, every dollar saved in expense is a dollar left in participant accounts to compound for their retirement.
Securities offered through a Registered Representative of Securities America, Inc., member FINRA/SIPC. Advisory services offered through a Financial Advisor of Securities America Advisors, Inc. Nicklas Financial Companies and Securities America are unaffiliated.
Nicklas Financial’s rewarding compensation system allows you to choose a payout based on your business model. Your selected payout applies across the board to all sales, brokerage commissions, trails and advisory fees. Only individuals or groups engaged full time in financial services are eligible to become licensed with Nicklas Financial and Securities America. Give us a call and let us help you choose the payout that’s right for you.
A retirement plan gives you the opportunity to inspire employees to plan for successful outcomes in the future. Regardless of financial participation, emphasizing education and planning is important for your employees’ financial future. It’s a small price for a motivated, more educated employee. I often say, “it doesn’t cost, it pays!”
Securities America, Inc. (SAI) is our broker/dealer. Established in 1984, SAI is headquartered in LaVista, Nebraska and has more than 1,700 registered representatives. SAI is a wholly owned subsidiary of Ladenburg Thalmann Financial Corp. As of year-end 2012, Securities America Advisors, Inc. had approximately $43 billion in total client assets under supervision. We have more than $14.5 billion in advisory assets under management (AUM).
We firmly believe the technology and financial strengths of our clearing firms provide distinct advantages to advisors and their clients. Securities America has built strong relationships with National Financial Services, LLC, A Fidelity Investments Company; Member NYSE/SIPC and Pershing, LLC., member FINRA, NYSE, SIPC a subsidiary of the Bank of New York Mellon Corporation. This means you can go about your daily business assured that your practice and the safety of your clients’ assets will not be negatively impacted by a clearing conversion.
At Nicklas Financial, we want to make sure we do what is best for our clients, which is why we offer two payment options: commission and fee-based at one percent of assets under management (AUM). If you don’t know what that means, have no fear! I explain the difference between the two options thoroughly at the initial meeting, and then you can pick which one works best for you.
I have my Series 7 Registered Representative and 66 Investment Advisor Representative licenses. I also have my Life Insurance license and have amassed 20 years of experience in finance and stock markets.
There are many advantages to joining a branch:
Benchmarking involves comparing and evaluating performance levels and processes—looking at the inner workings of the plan to see how well it’s serving participants. Because plan fiduciaries are responsible for properly selecting and monitoring all individuals and entities that provide services to their plan, benchmarking can provide information needed to improve the plan and demonstrates a documented process for making important plan provider decisions. Basically, it strives to ensure the best possible plan at competitive costs for participants.
I offer general investment advice as well as holistic financial planning that is tax and cost cognizant. That is a fancy way of saying that I help you through the process of determining your financial goals and developing a plan of responsible management of your financial resources with those goals in mind.
A plan fiduciary is someone who assumes decision-making authority or control over the administration of the plan, or who is paid to give investment advice regarding plan assets. The definition depends on the functions a person performs and not on the person’s title. Plan service providers such as actuaries, attorneys, accountants, brokers and record keepers are not fiduciaries unless they exercise discretion or are responsible for the management of the plan or its assets.
As an employer sponsoring a retirement plan, you are always deemed a plan fiduciary under the law.
I work with individuals, families and business owners who need guidance with investments, insurance and overall financial planning.
Through our relationship with Securities America, you will have access to a multitude of resources to assist you with your business. Just a few examples include:
Fiduciaries have a lot of responsibility when making decisions regarding plan management. A fiduciary must act solely in the interest of the plan participants and their beneficiaries. Fiduciaries’ responsibilities include carrying out their duties with respect to the plan with care, skill, prudence and diligence, following the terms of the plan document, diversifying plan assets and paying only fair and reasonable expenses.
Fiduciary liability can include both criminal penalties and civil action. A fiduciary is personally liable for any losses resulting from a breach and the penalties can be severe. While fiduciaries/trustees may look to hire outside professionals as co-fiduciaries, they still have the responsibility to monitor such individuals or entities. Failure to do so exposes the fiduciary to liability.
Because each individual is unique, I don’t believe in a one-size-fits-all approach. Depending on the age of the client, I have different outlooks. I genuinely care about my clients and try to have a lot of contact with each one. Proper investment planning won’t make you rich overnight, but it will create a solid strategy with your end goals in mind.
Financial advisors are dedicated to helping clients plan their financial futures, but sometimes need help putting plans in place to ensure the smooth transitions of their own practices. As a Nicklas partner, you’ll have access to the Practice Transition Center by Securities America—a first-of-its-kind library of videos and tools that help advisors understand and implement the process of buying or selling a practice.
The key to helping participants become more retirement ready is to adopt a much broader mindset in regard to your plan. This mindset moves beyond investment options and fiduciary warranties and focuses on designing a plan properly to increase the likelihood of better retirement outcomes for participants.
Some of the tactics a plan sponsor/trustee can consider utilizing in order to help their participants become more retirement-ready include: