More Choice For Agents In Wealth Management

After SunGard customized the software for Beneficial, the total package cost Beneficial about $20,000.

“It was worth it, [SunGard was] very easy to work with,” says Allen. “We looked at a lot of packages before we bought SunGard, we spent a year talking to everybody to see if they had what we wanted. Most of them had just the numbers. We did quite a bit to get all that on the front end.”

Beneficial officers wanted their agents to be able to offer their clients a package of materials that would include basic information such as location of valuable documents, “so if something happened everybody could find what they needed,” says Allen, adding that Finpack is “very user-friendly.”

Frank J. Van Loon, an agent with Linsco Private Ledger, Professional Pension Partners, Southfield, Mich., is also a Finpack user.

“Its good software,” says Van Loon. “Its comprehensive. The only thing weak about it is its instruction. I think they could give a little more of an explanation of how to get to certain fields, but the end result is very powerful.”

Unlike Finpack, AdvisorViewpoint Version 1.0 is a Web-based application, not desktop software.

Wiesenberger, an application service provider based in Rockville, Md.and a division of Thomson Financial, Bostonrecently launched AdvisorViewpoint Version 1.0, the first in a suite of wealth-management tools called Thomson Advisor. AdvisorViewpoint is the tool in the suite designed for the advisor.

The target market for this product is the firm with financial advisors “who sell everything from insurance to mutual funds,” says Ramy Shaalan, senior fund analyst at Wiesenberger.

Wiesenberger literature says AdvisorViewpoint “enables your firm to provide a value-added tool that helps investment professionals gather more assets. Plus, we offer a number of customization optionsfrom tailoring the look of the home page and banner to customizing the model portfolios and risk categories.”

AdvisorViewpoint is a browser-based application launched through the Internet, Intranet or extranet, based on how the firm is delivering it, according to Joe Stensland, vice president of business development and product management at Wiesenberger. The only system requirement is a Web browser.

Productivity training is offered but not required, Stensland explains. “Its sort of self-training; its got a robust help file. Theres a lot of help on the screen, leading you through it. When we sell it to a firm, they do go to thousands of reps in the field. Training can be tough, so one of our goals is to make it as straightforward as possible.”

Wiesenberger declined to offer names of users for comment. When asked, Stensland was hesitant to mention competitors by name and less forthcoming when it comes to price, offering, “We havent totally finalized the pricing right now.”

A key benefit of AdvisorViewpoint is that it allows advisors to provide a “broader level of services,” asserts Stensland. “Today and in the future, your advisor will provide services that deal with everything in the market.”

Another Web-based wealth management system, Managed Account Xpress, is a product of Lockwood Financial Group Advisors Inc., Malvern, Pa., targeted primarily to independent financial advisors, but also banks, CPAs, or any channel interested in offering individually managed accounts to clients, but who might not have the infrastructure (agents, research) to do so.

Lockwoods fee is based on the value of the advisors clients portfolio. For example, if an advisors client has $400,000 in an equity or balanced account, the MAX fee to the advisor is 110 basis points (1/100 of a percent) or 1.1% of the $400,000, explains Kate Monaghan, Lockwoods associate director of marketing. The advisors client is billed 1/12 of that annual fee monthly by Lockwood. The $4,400 in the example covers the money managers fee, Lockwoods fee and the custodians fee. The advisors fee to the client is not added into that figure, says Monaghan.

Chris Tomecek, president, LFG Advisors, Malvern, Pa., says that an increased ability of the advisor to diversify a clients portfolio is what sets Lockwoods product apart from similar tools. Tomecek adds that MAX also simplifies the process of setting up an account.

“The advisor always has the ability to change things,” notes Tomecek. “The proposal is printed in the office and all the necessary paperwork the client needs to sign is produced in the office, so the advisor can print the proposal, the paperwork and any educational materials he might want to give the client.”

Some training is required. Lockwood offers Web-based demos and regional meetings where officials ask broker/dealers how they want MAX set up for their advisors, says Tomecek.

“Each one of them has a specific way they would like MAX introduced in their network,” he says. For example, Lockwood might be asked to put a button on the broker/dealers Web site which, when clicked, leads an advisor into the MAX “universe.”

That “universe” is a password-protected Web site, says Monaghan. Right now advisors can get into a clients MAX account using a password that protects the privacy of everyone involved, he notes, adding that by next year, the client also will have access to his or her account by using a password.

Lockwood was not able to provide names of users for comment in time for publication.

Reproduced from National Underwriter Life & Health/Financial Services Edition, July 13, 2001. Copyright 2001 by The National Underwriter Company in the serial publication. All rights reserved.Copyright in this article as an independent work may be held by the author.

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