Readiness Assessment | Russell Investments

A changing landscape
In a nutshell, Regulation Best Interest requires broker-dealers to act in the best interest of a retail customer when making a recommendation of any securities transaction or investment strategy involving securities and cannot place their own interests ahead of the customer’s interests. This new regulation, along with other sea changes across the advisory industry (e.g., market environment, competitive landscape, client and advisor demographics), suggest that the cornerstones of a successful advisory business are likely to look different in the future.

What might these changes mean for your practice?
We believe that advisors who thoroughly re-examine their practice along four key dimensions are likely to experience success in the future: Adopting a CEO mindset focused on strategy and risk management; Recommitting to a client-centric approach centered on what clients value most; Developing a product strategy that is clearly aligned with client outcomes; and Effectively managing the advisory team and workflows.

Business Risk Management
Strategic Planning
Resource Allocations Branding
Growth Strategy Retention
Process Systematization

Four key drivers of potential future success

Run my business like a CEO and Client-centric engagement

Holistic Family Wealth Planning
Meaningful Discovery
Proactive Engagement
Behavioral Coaching
Engagement Roadmap

Effective Team Structure
Team Skills Development
Role Clarity & Accountability
Team Leadership
Succession Planning

Team-based approach and Disciplined product strategy

Inventory Management
Transition to Advisory
Tax Management
Volatility Management
Portfolio Reviews

Take the readiness assessment

Regulation Best Interest Readiness Assessment
The time to adapt is now. Take the Readiness Assessment shown here to begin identifying areas of strength and opportunity for your practice so that you can be optimally positioned for growth into the future. Use this information in conjunction with your firm’s Regulation Best Interest guidance to ensure internal compliance is met.

ADOPT THE MINDSET OF A CEO

Have you done a complete risk analysis on your practice in the past 24 months?

Do you regularly enter notes into your client relationship management system regarding client interactions?

Are your practice and team resources and roles aligned in way that provides a consistent experience for the client?

CLIENT-CENTRIC ENGAGEMENT

Do you have a written service model which includes a defined cadence for client engagement and contact?

Do you have a well-defined discovery process and regular re-discovery process that you take clients through to understand and document their top priorities and concerns?

Do you have close engagement and relationships with clients’ spouses and beneficiaries?

Do you have a repeatable client review process that provides needed perspective, reviews client priorities, and clearly articulates your planning process?

Are you able to confidently articulate and demonstrate the value you deliver to clients?

DISCIPLINED INVESTMENT STRATEGY

Have you documented your investment strategy including the design, construction and management of the process?

Can you articulate your investment strategy clearly and concisely to your clients in a way they understand?

Have you considered outsourcing more of your asset management strategies to employ potential benefits to clients and your practice?

Do you know how many unique investment positions you manage in your practice today and are you confident in your knowledge of every position?

Do you use distinct investment strategies to address clients' registered and non-registered assets?

Are you able to articulate to the client the effect of market volatility on their goals?

TEAM-BASED APPROACH

Does your team have all skills, competencies and licenses needed to address the full scope of clients' current and future needs?

Do you have a formal succession plan that addresses planned and unplanned team changes?

If you answered NO to any of these questions, Russell Investments can help!

Provide your contact information below and we will debrief your Assessment with you and take you through a process that will equip you with a prioritized execution plan.

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