Fidelity and United Capital Team to Fight Commoditization

Research has clearly shown that advisers who provide true long-term financial planning services to their clients have higher assets under management (AUM) and higher compensation versus their peers.

According to Fidelity Clearing and Custody Solutions, the division of Fidelity Investments that provides clearing and custody to registered investment advisors (RIAs), recordkeepers, and broker/dealers, these findings suggest that advisers can grow their practices by offering more of the services that are less likely to be commoditized in the future. These include individualized retirement goal planning, guiding clients through fluctuating market conditions, and helping them manage significant life events, or “moments of truth,” such as marriage, having children, saving for college, divorce and retirement.

To help advisers who are considering adopting this new approach to fight commoditization, Fidelity Clearing and Custody Solutions announced a collaboration with United Capital Financial Advisers, which gives Fidelity clients access to FinLife Partners, a new offering from United Capital “designed to assist firms considering innovative ways to help clients plan their financial lives, not just manage their investment returns.”

Clients of the combined offering will receive preferred pricing for FinLife Partners, which delivers access to United Capital’s proprietary Financial Life Management system, including adviser-branded client experience tools, digital workflow technology and coaching. The client experience tools, including the Money Mind analyzer and Honest Conversations exercise, “provide a process to better understand what clients want their lives to be like.” Through a collaborative approach with their advisers, clients can identify life goals, “know if they have the resources to achieve those goals, and be prepared for life’s surprises.” For their part, participating advisers can “deepen their client relationships while delivering a measurable impact on their lives.”

In addition to the tools, firms using FinLife Partners receive coaching on how to approach these discussions with clients, and training on how best to collaborate with clients. According to United Capital, 40% of clients’ top planning priorities—such as spending more time with loved ones—are “uncovered by the tools to reveal specific personal goals.” The tools then document activities and measure success.

For additional information on FinLife Partners, visit www.finlifepartners.com.