More On Legal & Compliancefrom The Advisor's Professional Library
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- Advertising Advisor Services and Credentials Section 206 of the Investment Advisers Act contains the anti-fraud provision of the statute and ensures that RIAs advertising and marketing practices are consistent with the fiduciary duty owed to clients and prospective clients.
BrightScope, a leading provider of independent financial information and investment research, has partnered with Arkovi, a financial services social media solution for archiving and compliance, to help investment professionals use social media safely and to help them store, monitor and analyze content.
“Social media has pervaded every aspect of our lives. Unfortunately, the current financial-services compliance paradigm has made it difficult for the average financial advisor to effectively use this powerful medium,” said Mike Alfred, CEO and co-founder of BrightScope, in a statement. “That’s why we partnered with Arkovi — we want to make it easier and safer for financial advisors to engage in social media in a truly authentic, non-prepackaged way.”
Arkovi CEO Blane Warrene said in the same statement that BrightScope “has already proven to be a tremendous advocate for transparency in the financial services industry by providing easy to understand information for investors on their 401(k) plans and financial advisors.” With Arkovi’s “powerful archiving technology, financial advisors that use BrightScope Advisor Pages can now activate Arkovi at the click of a button and engage in meaningful social media interactions with peace of mind.”
Some of the key benefits of the partnership include:
- Real-time analytics — Rather than “archive and forget” (until there is a problem), advisors can tap into the hidden power of their social media and website activity in real time.
- Access — “Always on” archiving provides instant access to users for all stored content 24/7.
- Analyze — Apply “lessons learned” to generate a more effective communications effort.
- Easy Activation — Activate Arkovi at the click of a button from BrightScope Advisor Pages.
In early 2011, BrightScope launched BrightScope Advisor Pages, which allows individual investors to discover, research and select an advisor. The firm says it aggregated “hard-to-discover but publically available information on advisors,” and “created a free, easy to use database that is searchable from multiple dimensions right from its homepage.” In January, BrightScope launched a Q&A forum to the Advisor Pages so that consumers can ask finance-related questions and get answers from financial advisors.
Financial services professionals using BrightScope Advisor Pages can now activate Arkovi with an exclusive 30-day free trial. Once activated, each advisor and firm will have a permanent record of their social media participation on BrightScope and other prominent sites, the firm says.