More On Legal & Compliancefrom The Advisor's Professional Library
- Disaster Recovery Plans and Succession Planning RIAs owe a fiduciary duty to clients to prepare for disasters and other contingencies. If an RIA does not have a disaster recovery plan, clients financial well-being may be jeopardized. RIAs should also engage in succession planning, ensuring a smooth transaction if an owner or principal leaves.
- Conducting Due Diligence of Sub-Advisors and Third-Party Advisors Engaging in due-diligence of sub-advisors isnt just a recommended best practice it is part of the fiduciary obligation to a client. An RIA should be extremely reluctant to enter a relationship with a sub-advisor who claims the firms strategy is proprietary.
Envestnet, Inc. and ByAllAccounts announced Monday that they have formed a strategic partnership to provide financial advisors with additional means to grow client wealth and increase AUM. The new alliance offers advisors a way to eliminate manual data entry and also to bill for held-away assets.
The arrangement incorporates client portfolio data with wealth management and performance reporting tools, reducing time spent on administrative tasks and improving efficiency, transparency and the ability for advisors to present holistic views of client wealth, including assets that are held away.
Kent Fitzpatrick, managing director of Asset Strategy Consultants–Boston, said in a statement about the service, “Before the Envestnet/ByAllAccounts relationship, there was no eloquent way to get access to accounts not in the Envestnet feeds, such as held-away assets. The ByAllAccounts data aggregation technology automatically delivers the needed positions, transaction details and balances. Now we can view and monitor these assets daily as well as do performance analytics and this has changed the game completely. Where we have actively solicited clients’ held-away assets we have increased our AUM by 40-50%.”
Envestnet and ByAllAccounts will host a joint webinar on Thursday, July 19, at 2 p.m. EDT, titled “Increase AUM and Gain Peace of Mind.” The webinar, hosted by Fitzpatrick, will explain the new service.
Advisors can register for the webinar at http://discover.byallaccounts.com/EnvestnetBAAwebREG.html.