Financial Advisors: managing compliance

Whether you have just set up your independent practice or have already established a solid track record in the fields of financial and investment management, you will find that your most difficult area of administration will be the compliance obligations and onerous recordkeeping required in today’s current business and regulatory environment.

The pressure to observe all constraints in a timeous, detailed and accurate manner is both time-consuming and tedious. In tandem with this increase in paperwork and application are a number of issues which add to the stress:

  • clients’ expectations have grown as an ever-growing spectrum of investment opportunities become available
  • the investment environment is becoming increasingly complex and therefore more difficult to manage
  • fees and commissions are constantly under pressure.

The assistance you need

The value of obtaining professional assistance with this aspect of your business is vital, because, after all, your business is your chief asset and needs to be effectively managed to assist you to:

  • maintain and grow net profit from your business
  • relieve your overall compliance burden, regulatory pressures and associated costs
  • make the most of your investment offering, improve your clients’ investment results, and manage the efficiency and cost of doing so
  • maintain your annuity revenue stream you have built up over the years, or are still in the process of building up
  • ensure an income that will last through retirement.

The right profile

It is important to build relationships with your clients – and equally important to establish relationships with associates who can provide top level service and support to the smooth functioning of your practice. We at Foster Wealth, particularly seek to forge partnerships with Financial Advisors who:

  • would like to focus on building up their practice’s investment book
  • would like to partner with a Cat II discretionary manager to consolidate their client investments into risk-profiled model portfolios in order to manage their practices risk and improve the performance and consistency of their clients’ investment results
  • are aiming towards creating their own fund of funds for their practice
  • would like to wind-down and retire soon, without losing their practice’s annuity income in retirement.

The benefits of partnership

The biggest challenge independent Financial Advisors face lies in selecting the most appropriate unit trust portfolios for your clients from a universe of about 900 funds. In addition, bigger funds are becoming increasingly oversubscribed and it is becoming difficult to take and unwind positions in these funds. The trick is to choose the best fund manager from a range of smaller boutique managers. And this is where you need the proficiency of a highly professional team like Foster Wealth who can help you:

  • benefit from investment management services and a dedicated investment committee
  • build a strong outsource solution for expert portfolio construction – thus leaving you with more time to build effective client relationships
  • link into additional services such as: Wills, Trusts and Estates – from which your clients can immediately benefit, thus enhancing your status as both a well-diversified and well-managed practice
  • benefit from our in-house expertise in respect of practice management, legal, compliance and regulatory matters
  • manage your retirement in respect of your practice, if you are at that stage.

Our value proposition

One of our core objectives at Foster Wealth is to build positive working relationships with independent Financial Advisors – creating opportunities to not only grow our business, but to allow Advisors to retire with peace of mind, knowing that their clients will be looked after. With our focus on helping alleviate the overall compliance burden, regulatory pressures and associated costs, we specialise in assisting Financial Advisors to maintain and grow their businesses.

Foster Wealth is a well-established, family-orientated practice. A small, proficient and very approachable team, we have a wide range of experience and are highly flexible, with impressively scalable systems and capacity.

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