Volume 23 No 2 Spring 2022
Practice Management 101
®
Your Moral Compass
Ethics Approved!
Ethics Approved Status is awarded by maintaining a clear regulatory record and strict adherence to the IARFC Code of Ethics thru examination. How To Use Your Ethics Approved Status • • • • •
Page 1
Download Ethics Package Position Your Ethics Approved Seal Prominently Customize and Distribute Your Ethics Approved Media Release Display Your Certificate Leverage Your Status Prominently and Often
IARFC
www.iarfc.org
The Register | Spring 2022
In This ISSUE Register Profile Dr. Teresa So, RFC® 13 Member Focus
IARFC Hong Kong/ Macau Chapter Chair
Features Practice Management 101 Hindsight is 20/20 Retrospective Viewpoints 11 By Ted Halpern
Financial Gerontology Understanding the Longevity Bonus 17 By Dr. James Flanagan
How Does Giving Back to the Community Lead to Business 23 By Bryce M. Sanders
Keeping Up with Technology When Your Clients are 18-20 Year Olds! 25 By Ronnie Kaymore
Columns From the Trustee Chair 5 How New Association Ideas are Nurtured and Developed
IARFC® News 8 9 10 18 19 20 24 26 27 28
From the CEO From the US Chapter President Managing Regional Director News New White Paper - Financial Gerontology Referring Members New Journal of Personal Finance IARFC Trifolds Available Continuing Education Founder’s Award Recipient IARFC National Financial Plan Competition “Utah Valley Style” 32 MRFC® Updates
International News 21 Hong Kong / Macau - MRFS 22 Philippines Podcast Updates
Departments 6 From the Editor 6 2022 Editorial Calendar 31 Membership Benefits
Top 10 Mistakes Financial Professionals Make and How to Fix Them 29 By Jeremy Nason
The Register | Spring 2022
Page 2
N e w M R F C ® s, R F C ® s, R FA ® s, and Association Members Events Calendar
RFC®, RFA®, Association Members
2022 Trustee Board Meetings August 16 December 6 US Chapter Board Meetings July 6 October 4
5 9 . 9 7 $ plus
Zachary Abbotoni, RFC®, FL Julie R. Abrams, RFC®, FL Robert Jay Anderson, RFC®, WI Richard Kyle Blackston, RFC®, FL Ronald J. Campbell, RFC®, MD Anthony L. Competelli, RFC®, FL Jonathan Scott Couper, RFC®, CT Brian C. Cronin, RFC®, FL W. Steele Croswhite, RFC®, UT Jennifer K. Delcomyn, RFC®, LA Craig B. Eastwood, RFC®, PA Colin M. Evans, RFC®, LA Paul E. Gannett, RFA®, ID Gerald G. Ginwright, RFC®, AL Robert Gohl, RFC®, TN J. Andres Gowdy Sr., RFC®, NJ Oleh Hanushchak, RFC®, MN Stacy A. Hegarty, RFC®, NM Troy D. Holt, RFC®, FL Steven T. Johnson, RFC®, GA Brad M. Kurtz, RFC®, LA Daniel Robert Lewis, RFC®, AZ Adam R. Lulow, RFC®, OH Grover K. McCarthy, RFC®, CA Laurie E. Muller, RFC®, NJ Andrew N. Pandolfo, RFC®, NY Sheree N. Rogan, RFC®, MD
Members Who Recommended Members
Giovani Afanasiev, RFC® Gregory Bertagna, RFC® David Blackston, RFC® Evan Branfman, RFC® H. Ryan Coker, RFC® Constance Craig-Mason, MRFC® Colin Evans, RFC® Jim Harris, MRFC® Brian Hegarty, RFC® Byron Hurren, RFC® Kay Lynn Mayhue, RFC® Ronald Menard, RFC® Jeremy Nason, RFC® Eric Stroehle, RFC®
Prepare for the MRFC® Exam Exam Study Guide In Stock Contact Membership Services
ling
d hand
g an shippin
Isaac Salcido, RFC®, CA Solomon Shen, RFC®, FL Ryan Douglas Spracklin, RFC®, FL Adam T. Taylor, RFA®, SC Alexander B. Thomson, RFC®, VA Aaron W. Watkins, RFC®, OH Alan Wilks, RFC®, IL David Young, RFC®, GA
The MRFC Exam Study Guide is now available for those who wish to take the Master Registered Financial Consultant (MRFC®) Exam. Presented in a condensed outline format and designed for the professional in mind who has limited study time, the Study Guide addresses every task of the MRFC Exam Content Blueprint to help you focus on exam topics. These are tasks derived from the most current 2021 MRFC Job Task Analysis. Features
Published by
300 pages After topic questions for comprehension Easy to read, outline format Organized by Blueprint tasks Page 3
The Register | Spring 2022
www.iarfc.org/publications/register 146 N. Breiel Boulevard P.O. Box 506 Middletown, OH 45042-0506 (800) 532-9060
BOARD OF TRUSTEES
MRFC CERTIFICATION BOARD
Chair, H. Stephen Bailey, MRFC® Vice Chair, Michael Jay Markey Jr., MRFC® Treasurer, Monroe Diefendorf Jr., RFC® Secretary, Michelle K. Blair, RFC® Trustee, Mary M. Garlock, RFC® Trustee, Barry L. Dayley, MRFC® CEO, Leonard Simpson, RFC® COO, Charlotte Isbell
Chair, Robert Lawson, MRFC® Vice Chair, Mary Anne Redmond, MRFC® Treasurer, William Peterman, MRFC® Secretary, Craig Lemoine, MRFC® Director, Julie Friend, Public Member
US BOARD OF DIRECTORS President, Bradley K. Maples Sr., MRFC® Executive VP., Lisa Ford, MRFC® Vice President, Lemuel W. Kornegay III, RFC® Treasurer, TBD Secretary, Gregory Kurinec, MRFC® Director, Robert Laraia, RFC® Director, Paul Wharf, RFC® Director, Stephanie Yates, MRFC®
PHILIPPINES BOARD OF DIRECTORS
Editorial Advisory Committee Michelle Blair, RFC® Lemuel W. Kornegay III, RFC®
The Register is published by the
International Association of President, Gamalielh Ariel O. Benavides, RFC® Registered Financial Consultants® 2022 Exec. Vice President, Grace De Vera Escobar, RFC® and circulated around the world. Vice President, Ismael Melendres, Jr., RFC® Treasurer, Ma Arlene M. Baguyo, RFC® It includes articles and advice Secretary, Atty. Nicasio C. Cabaneiro, RFC® on technical subjects, economic events, Director, Cynthia Rimando, RFC® regulatory actions, and practice Director, Allan Tamayo, RFC® management.
INTERNATIONAL CHAPTERS
IARFC OFFICE ASSOCIATE TEAM
Greater China Chair (China, Hong Kong, Macau, & Taiwan) Liang Tien Lung, RFC®
Editorial Coordinator/Public Relations,
China Development Center CEO Kai Yuan Tu, RFC®
Membership Services, Vicki Caplinger
Hong Kong and Macau Honorary Chair Samuel W. K. Yung, RFC®
Information Technology, Randy Kriner
Hong Kong and Macau, Chair Teresa So, RFC®
WEBSITES
Hong Kong and Macau, Executive Director Allan Wan, RFC®
United States — www.iarfc.org
Taiwan Chair Kai Yuan Tu, RFC®
Editorial Coordinator Susan M. Cappa editor@iarfc.org
Chief Operating Officer, Charlotte Isbell Susan M. Cappa Judi Nelson, and Rachel Gibbs
China — www.iarfc.cn Hong Kong — www.iarfc-hk.org Indonesia — www.iarfcindonesia.com
The facts and opinions in the IARFC’s Register articles represent the author’s views and are not endorsed by the publisher. The IARFC makes no claim as to accuracy and does not guarantee or endorse any product or service that may be advertised or featured. The IARFC makes no claim to the current status of any designation or credential that is issued in the titles of contributors listed in the Register other than those issued by the IARFC® (RFA®, RFC®, MRFC®).
Philippines — www.iarfc.org/about/philippines
Article Submission
Taiwan — www.iarfc.org.tw
The average reader has more than four years of experience in financial services and possesses at least one professional designation/credential. Articles benefit the reader by providing specific planning techniques, practice management suggestions, or educational content about financial services which might include advisory professional responsibilities, industry news, insurance, investment, software, or compliance. For the entire Register General Article and Editorial Policy, visit www.iarfc.org/register. The Register | Spring 2022
Articles, comments, and letters are welcome via email to: Susan M. Cappa, editor@iarfc.org
Page 4
Ascend the Stereotype Become a Master Registered Financial Consultant Application on pages 33 & 34
App Nowly !
Page 5
The Register | Spring 2022
From the EDITOR A Diverse, Inspirational, Group of Folks
2022 Editorial Calendar
Susan M. Cappa, Editorial Coordinator
As Editor of the Register, I have been privileged to work with outstanding Association individuals Many of these people have emerged through reading member’s websites about their passion for their financial services careers. Their interests jump out at me and I like to make others aware of how eclectic the IARFC membership really is. In the last Register, there was an article from Dr. James Flanagan, MRFC®, about leadership. This issue we present his other consulting specialty – Financial Gerontology. Through his article on page 17, and then further expansion in our newest White Paper “Financial Gerontology”, I gained an appreciation of the nuances needed to work with older clients. I hope all of our members take time to fully digest this enlightening publication. As Public Relations, I have been getting to know our new Managing Regional Director, Dr. Constance Craig-Mason, MRFC®. She embodies the kind of leadership needed by the IARFC and is ready to develop a network of Region Directors focused on increasing membership. We can all benefit from a bit of her sparkle and one can’t help but feel uplifted after engaging her in conversation about anything! Expect lots more from her in the future. Lastly, I would like to acknowledge Barry Dayley, MRFC® who has recently been singled out by one of our Plan Competition professors as a person of influence when it comes to mentoring the students. As the presenter of the Competition awards, he always gives memorable advice to the NextGen professionals and relays the impact a financial consultant can make in the lives of their clients. His succinct words of wisdom from his many years of experience, make lasting impressions on everyone. I am always on the lookout for the next “IARFC Star”. Maybe it will be YOU!
Volume, Issue, Theme Volume 23, No 1 February LEADERSHIP • • • • •
Volume 23, No 2 May PRACTICE MANAGEMENT 101 • • • • • •
The Register reaches 5,000 financial professionals every issue. Register advertising is an easy and cost-effective way to promote your company’s products and services to this dedicated audience.
Services and Products Consultants Offer Annuities, all types
Disability Income
Loan Cancellation
Asset Management
End-of-Life Planning
Long-Term Care Insurance
Bonds
Estate Planning
Mutual Funds, all types
Business Planning
ETFs
Offshore Trusts & Companies
Business Succession
Fee-Based Planning
Precious Metals
Charitable Giving
Income Tax Filings
REITs
College Savings/529 Plans
Investment Real Estate
Retirement Plan/401(k)
Critical Illness Insurance
Life Insurance, all types
Tangible Assets
Please contact us with questions, for a media kit or for assistance in developing your customized advertising, exhibit, and sponsorship packages.
Advertise
Contact: (513) 424-3481 advertise@iarfc.org
The Register | Spring 2022
Hire the right fit for office culture, interships, & mentoring. What qualities does a leader in financial services possess? Does “leadership” mean the same thing for a one-person office as it does for a 100 person office? What type of “leaders” are clients looking for today? Can “leadership” be outsourced to an assistant or para-planner? The effects of merging offices on “leadership” .
Keep up with Technology in communicating with clients. Look at your practice through rose
colored glasses.
Give back to the community — Pro Bono. Retrospective Viewpoints — 20/20 is hindsight. How has COVID changed the way you manage your practice, now and in the future? If you have changed the way you manage your practice, how has it affected your client relationships?
Volume 23, No 3 August DESIGNATION/CREDENTIAL TRACK • • • •
How to attract Next Gen consultants. Mentoring and growth within your organization. What are the characteristics of a successful and young (under 40 consultant) How do clients view a “Masters” (MRFC®) as a financial services credential?
Volume 23, No 4 November ESTATE PLANNING • • • • •
What to do if the “kids” move back home. Retirement Pros and Cons Budget review — cutting out recurring, unnecessary expenses. How to discuss estate planning with loved ones. Revisit after tax plan changes. Page 6
From the Trustee Chair
How New Association Ideas are Nurtured and Developed Just because we decide as a Board of Trustees to “go for” a new idea or venture, doesn’t mean it is ready to release any time soon. Like any other industry, pushing a program for consultants requires a well thought out path or procedure. There are many examples of people advertising the goods then backpedaling on deliverability.
the details, timeline the task investment, and figure out how to finish the ultimate project. I see my role as the pusher of the objective. Delegation is important and I am not going to hound people; but I am going to check if we are making headway. A lot of people may say they will, but forget about it until later. Eventually I ask the questions!
Where do the guidelines come from which to make a “silk purse program out of a sow’s ear”? To you all who don’t speak “good ole’ boy” like me, you might understand – bringing a dream plan to fruition!
With our Trustee and Chapter Boards in place, we now see a more frequent progression of change and proposals to investigate. Communication is they key and we diligently work together to keep the information-loop up-to-date between Chapter and Trustees.
We are fortunate to have spent considerable time composing such guidelines otherwise affectionately known as the IARFC By-Laws. That is the first line of checks and balances for the Association - does what we decide to do align with the IARFC By-Laws thus keeping us grounded? This document supports us when we wonder who is in charge and if we are operating properly. So, when our Trustee Board brings a new concept to the table or decides to develop a new designation, we can feel comfortable that we are doing things in a correct manner. For sure we want everyone’s opinions and experiences to count. The group brainstorming has merit. Ultimately something will emerge as a properly designed procedure that can be utilized to make the Association more valuable to our members. Can By-Laws be changed? Of course. We have updated our current By-Laws when the need has arisen for more clarity, but it’s not changed without discussion and reference to ramifications. So, we are fact-checked with the By-Laws, now we decide who, what, when and how the project progresses. Being pretty much King of the Mountain in my own practice for many years, I had to leave this part to those who can work out Page 7
I look forward to the ideas and suggestions that come from our annual, in-person meeting. There are so many talented people on our Trustee Board that we are bound to be extremely busy the coming year. So, if any of you still think that a By-Laws is a filed, outdated document to be relegated in times of “never”, know that we keep ours close by and refer to it frequently.
H. Stephen Bailey, Ph.D., MRFC® Steve Bailey assumes the leadership position of the IARFC as Chair of the IARFC Board of Trustees. He is also the 2010 recipient of the Loren Dunton Memorial Award and 2019 Founder’s Award. Contact: (704) 563-6844 chairman@iarfc.org www.iarfc.org The Register | Spring 2022
From the
CEO... Leonard Simpson, RFC®
Finding a Home in the IARFC® It’s been 4 months since I started as Chief Executive Officer for the IARFC. My first trip to the home office is under my belt and I have gained an inspiring appreciation for the Middletown Team. The most notable impression is the family atmosphere of the office. I had no idea the interconnection. You don’t get that vibe, the supportiveness, and the dedication without talking personally to each and every one who works there. Being a long time California resident. I have not really experienced small town America. It’s an impact that warrants a different perspective. It’s not just employees supporting members, but almost a family-type consciousness. People are for the most part from this town, born, and raised here with deep kinship to each other and the community. This translates to how the staff connects to our Association members. It is almost the same, as consultants, how we feel toward our clients. Members in general don’t experience this behindthe-scenes bonhomie. And that…warms my professional soul! Our team is invested in expanding the IARFC. I did not talk to anyone who was negative or did not like what they do. People clearly enjoy working here. It is my belief that members will be treated and nurtured in the same way. Addressing my position on the Trustee Board, previously I had only two virtual meetings. Being the new person, I mostly listened and interjected where appropriate. As I write this recap of my first quarter, I will be making my way to Cincinnati, OH for my first personal interaction with all the Trustees. These in-person meetings have underlying merit. I know that a plan of action will be formulated, encouraged by the face-to-face dynamics, on how the Association should expand. This main goal, to broaden membership in the Association, has been the bottom-line plan as I got to know the Association more intimately. Take International Chapters as an example. I was not aware of what we were doing overseas. In the months to come, you will be reading more about my outreach to existing chapters and exploration for new ones. My first assignment is recording an interview with the Philippines Chapter for their 2022 International Podcasts season. Can’t wait to work with this group! Here at home, I am challenging the members to explore what value the Association holds for them. Over the years, I am guilty as charged for not understanding or paying attention to the resources that are available. If members would spend time on our website, read the White Papers, gain knowledge from the Registers and Journal, or share with clients the importance of their Ethics Approved Status, they would set themselves apart as life-long learners of the industry and ethically sound financial professionals. I am making it my Mission to get you all recognizing Association significance! All for now... stay tuned for the “rest of the story”! (Leonard can be contacted at ceo@iarfc.org) The Register | Spring 2022
Thank to Those Who Serve the Association Volunteering is a great opportunity to see leaders in action and test your own leadership skills. When you get more involved doing the things you enjoy, opportunities for growth and development naturally emerge...
Expand Your Leadership Skills There are many ways for IARFC members to get involved. Periodically through emails there are requests for Board positions, article writers, MRFC Subject Matter Experts, connections to Strategic Alliancs, and responses to surveys. We can only progress according to the enthusiam of the members, so please consider answering our calls even if it is only to give your opinion. For more information on how you can meaningfully contribute to the IARFC, contact susan@ iarfc.org.
Page 8
From the
US Chapter Board President Bradley K. Maples Sr., MRFC®
There Is Strength in Numbers Many years ago, my paternal grandfather, James Homer Maples, used to take me to the ranch, construction site, fishing, hunting, and many other activities. Spending a day with Grandpa was always a joy and loads of fun. But along with the fun, there was always a lesson to be learned. Sometimes it was cautionary about safety, ofttimes it was a lesson of life or an outlook on the future and frequently it covered both. One day, Grandpa taught a lesson that stuck with me and my dad confirmed it as one he had received numerous times. Grandpa reached down and picked up a twig and said “Break this”, which I did with little effort. He then chose a thicker twig and repeated the demand. Once again, I complied with slightly more effort. A third time he elected a thicker sturdier branch and bade me try again. This time it was harder, but not a herculean task. Finally, he gathered up a dozen or so twigs and branches of various sizes and took some twine and tied them tightly together. “Now, try and break this bundle” he chided. Try as I might in front of me, over my knee, or using the ground for leverage, I couldn’t begin to break the closely tied bundle. He then took the bundle, and using his pocketknife, cut the twine and released the twigs. At that point, I could break each and every one. He sat and explained that each of us are a twig by ourselves, but as we join others in a bundle or group, we become strong and either harder to break or unbreakable. In the context of the IARFC and other organizations, there is strength in numbers. We become stronger and are able to marshal that strength to achieve goals and objectives that alone we could not accomplish. The diversity of thought and experience of the group brings benefits that would not be available as individuals or even smaller groups and organizations. There are economies of scale and sheer buying power that can benefit the individual because of the group. Connections and networking opportunities become greater. Growth for growth’s sake can come with unintended problems and costs, but growth with a purpose and planned expansion can enhance the benefits of the association for the association as a whole and the individual member as well.
Page 9
In difficult times, the strength of a group is important. An old quote goes “when the snows fall and the white wind blows, the lone wolf dies, but the pack survives”. We can help support others during the difficult times. Being able to share ideas and issues with colleagues is a must. As important as strength is, we must also be unified in that strength. Thomas Paine added that it is “...in unity that our great strength lies”. I would like to encourage all of the members to thoughtfully consider who would not only benefit the Association by becoming a member, but who would benefit by becoming a member of the Association. Bringing in a new member helps the new member, the Association as a whole, individual members who will benefit from the Association with that member, and the referring member as well. Let’s build that group of member sticks to the unbreakable bundle! Results of Recent US Chapter Board Officer Elections Bradley K. Maples Sr., MRFC® President
Lisa Ford, MRFC® Executive Vice President
Lemuel Kornegay III, RFC® Vice President
Gregory Kurinec, MRFC® Secretary
The Register | Spring 2022
Help Expand the IARFC®? Introducing Managing Regional Director Dr. Constance Craig-Mason, MRFC
®
Effective immediately, Dr. Constance Craig-Mason, MRFC® assumes the role of Managing Regional Director for the IARFC®. In her professional realm as a financial consultants, she is detail-oriented, licensed (life, health, property and casualty and Series 65) with +12 years of risk management and financial services experience. Proficient with networking and relationship builder, she seeks to offer expertise in insurance and finance consulting services to clients and prospects. As Managing Regional Director Constance’s goals are to strengthen the IARFC by attracting diverse professionals to the Association as Region Directors (RDs) who in turn will prospect for potential RFCs and MRFCs. She also intends to focus on the more inexperienced professionals as Registered Financial Association (RFAs) who typically need the recognition of their education and their limited experience. For those who are interested, she seeks ethical, resourceful, and driven people, dedicated to improving the financial futures of the clients they serve. For the right person, the opportunity is there for an additional revenue stream. Region Directors can be looked on as “grass roots” leaders and difference-makers for the IARFC. As she seeks to put the right people in the right places, Constance looks to Social Media. Networking is the key to introducing prospects to the benefits of the IARFC and she intends to work with RDs to maximise the virtual community. Her Managing Philosophy Constance maintains that accountability is a key factor to success. Her goal is not to be “the boss” of someone, but a resource especially with navigating virtual relationships. Accountability measures advancement or identifies the need for improvement. She is super enthused and ready to build the IARFC network of Region Directors.
The Register | Spring 2022
US Chapter illed FManaging Regional Director Regional Director Region 1
CT, ME, MA, NH, RI, VT
Regional Director Region 4 AL, FL, GA, NC, SC
Regional Director Region 7 AR, LA, MS, TN
Regional Director Region 2
Regional Director Region 3
Regional Director Region 5
Regional Director Region 6
Pending
ndVA,inWVg PDC,eMD,
DE, NJ, NY, PA
Pending IL, IN, KY, MI, OH
IA, MN, MO, ND, SD, WI
Regional Director Region 8
Regional Director Region 9
Filled
CO, KS, WY, NE
Regional Director Region 10
illed AZ, F CA, HI, NV, UT
AK, ID, MT, OR, WA
Regional Director Region 11 NM, TX, OK
Commission-based positions available Region Directors (RD) Travels within designated region Makes presentations as needed Plans and conducts events Reports to Managing Regional Director Attends IARFC functions (Annual Association and Regional Meetings)
Requirements
Reside within the Region Hold RFC designation or MRFC credential Ethics Approved Status Minimum of 5 years of professional experience in financial services
Compensation – commission based
Based in accordance to new membership and renewals that originate from the specific region of the US Chapter.
Qualifications
Presentation skills for training purposes Ability to meet quotas and track goal progress Experience in building commission-based membership Independent, self-starter, and motivator Proficient in virtual meeting software
Contact Constance Craig-Mason, MRFC® constance@iarfc.org (717) 527-3057 Page 10
$ $ What 2020 and 2021 Reminded Us About Investing Teaching and guiding clients in private wealth management can be tricky. As advisors, we can explain key investment principles and flash fancy graphs with historical data on them all day long, but nothing helps investors understand the economy (and subsequently how it affects their portfolio) more aptly than real life. Like little kids questioning the existence of Santa Claus, seeing best translates into believing. Over the past two years, everything and everybody has been put to the test. In a way, these years have been the ultimate litmus test for so many parts of our lives, stress testing everything from personal relationships to careers to our portfolios.
Warning! You’re In for a Wild Ride A roller coaster warning for investors would have been delightful about this time two years ago. Perhaps even a heads-up that this roller coaster was also going to travel through a haunted mansion. Markets began 2020 with rose-colored glasses. After all, 2019 was a terrific Page 11
$ $
Hingsight is 20/20: Retrospective Viewpoints
year and the economy was doing better than it had in over 50 years! Economic indicators were very healthy. Then came the global pandemic of COVID19. The DJIA hit a high of 29,551 on February 12. Once news of this crisis broke, and the lockdown came into effect, markets hit their lows of 18,591 on March 23. The extraordinary decline during this fiveweek period set records in its steepness and swiftness.
final quarter, closing out a third year of very strong back-to-back (to back) returns. The DJIA gained 20.7% for the year and the S&P 500 did even better at 28.7%! This was the third consecutive year of double-digit performance for the S&P 500, which managed to hit an astounding 70 new highs during the year! The past three-year stretch represents the best performance for major indexes since 1999.
As people from around the world adapted to their new realities of working and educating remotely, donning a mask when leaving their homes and social distancing (a new oxymoron), research went into ‘warp speed’ to find treatment and vaccines. Governments around the globe issued massive stimulus relief bills. Adjusting to this new normal, massive progress in the fight against COVID and the stimulus efforts all helped markets climb rapidly out of their deep hole. Just like passengers on a roller coaster, we experienced tremendous anxiety, fear, and concern all to end up ahead of where we started before history’s quickest recession from February to April of 2020.
Stock Markets are Forward Looking Indicators
Then, 2021 came and went in what seems like a flash! After an incredibly wild year for markets in 2020 with record drops and gains, 2021 was a fairly consistent year of growth. Markets finished strong in the
Believe it or not, the pandemic provided an incredible path for markets and our economy. Thankfully, and speaking only from a market standpoint, these ‘event-driven’ bear markets tend to be very fast – both coming and going – as we saw in March 2020. And the events that followed only stood to reinforce what we, as advisors, already know and try to relay to our clients. Stock markets are forward looking indicators. Back in the thick of it, I had little doubt that eventually science would win, we will beat back COVID, and normalcy would return. Markets believed this would happen too, and priced in this expectation of future growth even though COVID continued to impact our day-to-day lives. This is why we saw such a swift and steady
The Register | Spring 2022
recovery through Q3 and Q4 of 2020 and all of 2021.
Markets Go Up Over Time, Just Not Straight Up As you might imagine, when markets experience a run such as this, floodgates open up for the naysayers and doom predictors. After all, markets go up over time, they just don’t go straight up! The cries for a market correction “because we have not had one in a while” echo through the media nearly all the time now. To me, this illustrates not only the incredible short-sighted nature of financial reporting but also their lack of a shortterm memory. After all, while markets have experienced an incredible threeyear run, 2020 also saw a recordbreaking bear market collapse! In addition, each of the 70 new highs hit this year for the S&P 500 were met with headlines talking about how the next move would surely be a step down. In fairness, there are many reasons to have at least a degree of pessimism toward continued market growth. Inflation is at four-decade highs, the Fed has stated they will taper their bond buying program, reduce their balance sheet AND raise rates around four times in the coming year. Supply chain knots are still not completely unwound and our trade deficits are soaring. The ability of corporate earnings to outpace estimates will slow as they move further away from pandemic lows.
Don’t Let Short-Term Volatility Derail Long-Term Growth The most important thing to remember regarding your long-term investment success is to not overweight the mere possibility of short-term volatility. Take this year’s mid-term election as a prime example. Since 1970, volatility in U.S. markets tends to increase leading up to elections. The good news, though: markets historically have a nice bounce after a mid-term election cycle. Since 1950, the average 1-year return following a mid-term election is 15.1%. Long-term stock market results are much more dependent on more substantial numbers like corporate earnings and economic growth than changes in political leadership. Political leaders come and go, but the passion of individuals and companies to The Register | Spring 2022
improve, invent, create and grow is infinite and markets have prospered for it!
accomplishment, no sense of adventure in our lives, and without risk in markets, no returns!
We Can Only Control So Much – But When We Can, We Must
Risk is something we all encounter. The key is to plan and prepare. We can plan for the known potential risks, like buckling up in a car and not texting while driving. And, although we cannot predict the unknown events in our lives, we must prepare for their possibility. Planning and preparation are essential tools for your investment success as well. As the old saying goes, “Success is
Extraordinary events have a way of highlighting what works and what does not work. 2020 and 2021 provided just such a litmus test. These “unprecedented” times showed us that “controlling the factors within our control” is a wise strategy for good times and bad. An investor who was well-diversified prior to this crisis fared far better than one who was overweighting certain sectors. The investor who did not attempt to time this crisis won in a big way against those that thought they could do so. The investor who had the ability to trade and rebalance without restriction or cost saw tremendous opportunities from February through April 2020. Conversely, investors who had to pay retail cost for their investments (through transaction fees, commissions, and holding period restrictions) paid for it with their returns. It was a challenging but rewarding year for investors who followed a prudent plan of action! The truth is we consistently live in a state of uncertainty. We can proactively plan for the ‘known unknowns,’ like pending economic data releases, Fed interest rate announcements and even upcoming elections. But there are also many ‘unknown unknowns’. Two examples are events such as 9/11 or the pandemic and subsequent variants of the virus. Events simply can happen, as risk is inherent in our lives. Risk is actually a necessary thing! Without risk there can be no sense of
where preparation and opportunity meet.”
Ted Halpern, RFC® Contact: (240) 268-1000 Ted holds a degree in Finance from the University of Maryland. He is an SEC Registered Investment Advisor, a NAPFARegistered Financial Advisor, an Accredited Asset Management Specialist (AAMS), a Chartered Retirement Planning Counselor (CRPC), an Accredited Wealth Management Advisor (AWMA), and a Registered Financial Consultant (RFC®). He is a member of the Financial Planning Association, the International Association of Registered Financial Consultants (IARFC®) and the National Association of Personal Financial Advisors (NAPFA). He has also been continuously awarded with "Ethics Approved Status" for his adherence to the IARFC Code of Ethics.
Members Update Your Profile!
Page 12
Dr. Teresa So, RFC® IARFC Chair, Hong Kong/Macau Dr. Teresa So has been a force of success during her career in financial services. Her story originally appeared in the Register in 2009 where she related her beginnings in the industry and her initial exposure to the IARFC. But, her actual appreciation for the insurance profession came about when she was fairly new and personally had to rely insurance benefits – being sidelined for 6 months. It was through that experience that she learned that the insurance industry was a profession well worth her effort. Throughout her journey, the Register has included many photos that documented the advancement of Dr. So: her involvement in the Association, her dedication to teaching, her passion for mentoring her staff, and her many deserved accolades and awards. Most recently she was profiled in the 2019 Summer edition depicting the status of International Women in the IARFC. Now we return to her for an update on the Hong Kong Macau Chapter and an announcement of some exiting news.
Register: First, let’s find out about
the main influence on doing business recently – COVID. How has your chapter, your teams, and you, yourself weathered the global pandemic and what is the current status? Dr. So: Indeed, in the last two years, COVID substantially changed the mode of conducting my Financial Consulting business. Almost all face-to-face client meetings were substituted by online contacts. Under COVID, the Insurance Authority (the regulatory body for Insurance in Hong Kong) approved online conclusions of insurance business, policy amendments and claims. Regarding IARFC Hong Kong and Macau, the Chapter under my chairmanship, the operation was not adversely affected by COVID in 2020 and 2021. As before, classes of the RFC education program were completed in Hong Kong and Macau. Despite our members suffering from the drop in income, the membership renewal rates in the two years generally were maintained. There was a major change in the mode of conducting Page 13
Continuing Education activities – from in-person to online broadcast. We did make a step forward - subsidized by government funding, IARFC Hong Kong and Macau in 2021 revamped our website, wwwiarfc-hk.org. The modernized website, in addition to displaying enriched information and images, introduced the online membership renewal system by which members, without filling any paper, can conveniently renew their IARFC memberships by simply pressing a few buttons.
and business promotion. Replacing in-person meetings, Zoom, WeCom, Google Meet, and Microsoft Teams are deployed for meetings with clients, staff members, and business associates. Two years ago, these virtual tools were named as “the new normal”. Today, these have become “normal” under COVID. Register: Your career has been a success on many levels – educator, consultant, mentor, and Chapter leader? What has been the secret to your success?
Register: How did that change your way of doing business when it first started, now, and considerations for the future?
Dr. So: I always keep myself up-todate. Apart from my already busy daily schedules, I take time to read news, digest articles, and exchange with Dr. So: As people-to-people contacts people to keep abreast of the latest are much less under COVID, digital developments in Financial Services, communication tools have become the economy, and business analytics. an integral part of our lives. In my Because of this effort, I am able to keep business practice under COVID, I pace with the new regulatory measures frequently use Email, WhatsApp, before there are published, the market Signal, and Telegram. Social media, trends before they float, and the new including Facebook and Instagram, products before they are launched. are used for business promotion. The These “fore-information”, where staff members and the associates of legal and suitable, are shared with my Financial Consulting business are my students, staff members, business encouraged to adopt the same practice associates, and clients. for effective client communication The Register | Spring 2022
I would like my clients to know, being an MRFS stretches beyond traditional knowledge, I am even more competent in today’s Financial Consulting industry...Dr. Teresa So, RFC®
Register: In your past interviews, you have touted the importance of the IARFC. How have you supported the Association for all these years? Dr. So: Regardless of my busy schedules with my own Financial Consulting business, community service and industry engagements, I am always mindful of steering IARFC Hong Kong and Macau. In the past years, I introduced a licensed tertiary education provider in Hong Kong to be the joint organizer of the RFC education program. I served as one of the lecturers of the RFC education program to share my life experience with students. Through my introduction, various professionals in Financial Services acted as Speakers of Continuing Education activities that were well applauded. As the head of the Chapter, I addressed the audience at various ceremonial occasions for IARFC by online broadcast or video recording. Register: As alluded to, the IARFC has some exciting news. Give us the particulars on the new designation for Hong Kong and Macau, the MRFS. Dr. So: My idea is “Master Registered Financial Specialist” (MRFS). In my design, RFCs who complete the top-up curriculum in “Trust” and “FinTech” and meet the related IARFC requirements on Experience, Continuing Education, Licensing, Integrity and Ethics, are eligible for the advancement to MRFS.
“
“
members occasionally ask me, “I am now an RFC. What is my next step with IARFC?” This question inspired me to design MRFS as an advancement path for RFC. Register: The designation expands the consultant’s knowledge base with a focus on Trusts and Fintech. Explain the importance of these areas. Dr. So: My working experience tells me “Trust” and “FinTech” are today among Financial Planners’ most needed knowledge in their professional practice. “Trust” is a popular tool legally accepted for wealth succession, usually with tax advantages. Nowadays, financial products are not sold by one person to the other. “FinTech” facilitates sales completion with efficiency and accuracy. Financial Consultants alien to “Trust” and “FinTech” are less competitive in today’s Financial Consulting industry. Register: Why would you encourage current RFCs to upgrade to the MRFS? Dr. So: I would like to reiterate that one should always advance to the
next level, instead of being stagnant. By upgrading to an MRFS, an RFC is further fueled with knowledge in “Trust” and “FinTech”, the two areas essential to their professional practice. Let me give an example. Decades ago, a “Bachelor’s” degree counted. Nowadays, when “Bachelors” are everywhere, a “Master’s” degree stands out in this knowledge-based world. I expect, not long from now, only “Doctors” are noticed for job engagements. The Financial Service industries in Hong Kong and Macau are competitive. For the players, they either advance or are ruled out. Register: How can they apply for this new offering? Dr. So: An applicant for the study of the MRFS program must be an in-force RFC. Program information inviting enrollments will be distributed by emails, in addition to website posting. It is also my idea to prepare introductory videos for posting on social media. Company presentation is another possibility. Interested RFCs will know about the MRFS promotion when their attention is drawn.
Certificate in Financial Consulting (Executive Program) Class
Register: Why is this new designation being developed? Dr. So: When I brainstormed about the trend of Financial Consulting, I realized the presence of the “new economy”. Nowadays, fund houses and individuals invest in non-traditional investments, including, cryptocurrency, metaverse investments, and digital assets. I am convinced of the RFCs’ need for advanced knowledge to stay competitive. Furthermore, IARFC The Register | Spring 2022
Page 14
Register: Building on your previous comments about women in the Financial Consulting field in an earlier issue, how have the opportunities for women changed and improved? Addressing RFC Graduation Class
Register: How would you advise consultants to educate their clients about being an MRFS? Dr. So: If I were an MRFS today, I would specifically tell my clients about my upgrade from RFC to MRFS. I have earned my new designation after gaining additional knowledge and given so, I have become even more professional and accordingly, I am able to serve them even better, especially in relatively more complex issues of “Trust” and “FinTech”. I would like my clients to know, being an MRFS stretches beyond-traditional knowledge, I am even more competent in today’s Financial Consulting industry. Register: Back to your association with the IARFC, what do you see as the future for the IARFC in Hong Kong and Macau? Dr. So: There are a few professional designations in Hong Kong. RFC is popular in the Insurance industry and presently one of the major players in Hong Kong today. However, it is not as well known in other sectors of Financial Service, i.e., Banking, Securities and Fund Management. Looking ahead, I would like to strengthen market penetration of the IARFC brand to make RFC the most sought after professional designation in Financial Consulting. Based on my experience and judgement, media advertisement is an effective option for market penetration. Company presentation is another. These will be done where possible.
Page 15
Dr. So: I see an increasing number of accomplished woman Financial Consultants in my circle. Compared with men, women are gentle in personality, patient, and sensitive to details. Women are not behind men in carrying out tasks in Financial Consulting. There are equal opportunities for men and women in today’s Financial Services industry, echoing the global advocacy on the two sexes. Register: Regarding your personal career, what are your goals for the near future? Dr. So: Although I have not thought of a time for my retirement, after decades of my Financial Consulting career, I have taken steps to formulate a succession plan. As long as my health permits, I will remain the most representative person of my Financial Consulting business in the foreseeable future. As the head of IARFC Hong Kong and Macau, I aspire to bring the chapter to its new height in terms of the membership volume and popularity. I will gain satisfaction by seeing RFCs advancing to further Financial Consulting professional designations and become elites of the industry.
Dr. So: To my clients, my Financial Consulting business is a one-stop shop serving them with comprehensive products and advisory service instrumental to their worry-free retirement. To my students, staff members and business associates, I am their partner in prosperity or adversity. COVID is an adversity for most people. Not long from now, it will fade out and prosperity will resume. Register: Lastly, given your years of experience and working through COVID, give us your perspective on living a holistic life – that is taking into consideration work, family, community, and your own development.? Dr. So: Life is fragile. I have seen people die old and die young. I aim at making each day of my life meaningful. As I love my family, I stay with my family members for pleasure and leisure as much as possible. I grasp suitable and affordable opportunities to contribute to the community. In fact, I presently hold various public positions serving people in Mainland China and Hong Kong. So far, I enjoy my life!
Register: Redefine your commitment to your clients and those you mentor? The Register | Spring 2022
ble!
vaila A w o N Y P INT CO
PR
Member Benefit
$45 (total 4 issues, includes postage)
Streamline the Complexities of Social Security Social Security Timing® helps financial professionals expertly streamline the complexities of Social Security into powerful solutions that will maximize client benefits and satisfaction.
Order Your Print Subscription Now Through the IARFC Store www.store.iarfc.org (Note: Members will still receive a digital copy.)
Once again you can enjoy the Register through printed copy. Members have expressed wanting a printed copy available to display at their office or just to have a hands on publication to read at their leisure. In trying to accommodate both those wanting to read the articles online and in print, you can order the subscription from the IARFC Store. Want to see your name in print? There are opportunities to submit articles for publications. Visibility is important and members can utilize the printed format to send to their clients. Review the submission requirements and the current editorial theme on the Register page of the IARFC website. For more information contact the editor, Susan Cappa.
Have Questions? Call the Register Editor, Susan Cappa at (513) 424-1589 The Register | Spring 2022
A subscription to Social Security Timing® gives you access to our industry-leading, patented software and our team of Social Security experts. Social Security Timing allows advisors to sort through the thousand of Social Security claiming options and identify the one that offers the highest lifetime value to clients. The difference between what most people do and what Social Security Timing would suggest they do is often over $100,000. To receive 20% off an annual subscription, use coupon code IARFC Member Link: https://www.covisum.com/iarfc/ Phone: (877) 844-7213 Email: sales@covisum.com
Members 20% off Page 16
Financial Gerontology Understanding the Longevity Bonus
When I was ten years old in 1976, I noticed a strange phenomenon in my family of origin, the street I grew up on, and the city in which I lived. In the 1970s it was rare for people to live into their 80’s. In fact, according to a University of California at Berkley study of demographics in the United States in 1937, life expectancy was 58 for men and 62.4 for women. It was not until 1974 that it grew to 68.2 for men and 75.9 for women. Today life expectancy for a woman age 70 is 87.6 and a 70-year-old man 85.3 years. Average life expectancy has grown tremendously in the 20th century. Lengthening life expectancy has important implications for retirement planning and there are stark differences in how people plan when comparing retirement then, versus now. People used to live shorter lives. They saved more at an earlier age and retired later in life. Today people are living longer than ever and many neglect to begin saving until later in life while retiring at younger ages. This trend can harm a person’s ability to properly prepare for a comfortable retirement.
Page 17
It is important to note that aging is heterogeneous and not normative. In other words, there is no one way to age and the path of every individual is different. Additionally, aging is not synonymous with disease. Not everyone will experience significant cognitive decline or physical disability as they grow older. There are people that live until old age and death without experiencing either of these phenomena. We do know for certain that as people age, they will encounter significate life transitions that will require reaction and adaptation and many of those key pivotal events will require the need for consulting professionals of insight and direction. Financial preparedness shapes many of these events. The expertise of a Financial Gerontologist, a trained professional who understands financial planning from a life course perspective, cannot be understated.
What is Gerontology? “Financial Gerontology” was established as a discipline in 1988, according to Neil E. Cutler, Ph.D., President of the American Institute of Financial Gerontology. Gerontology, which is the study of the biological, psychological, environmental, and social aspects of aging, has been studied by Psychologists, Sociologists, and Anthropologists since the early 1970s. The importance of understanding the role of
Gerontology in the financial planning process cannot be understated. Since 2010, 10,000 people per day turn 65, and by the same statistical number in 2022, we can assume that 10,000 people are now turning 75 every day. The fastest growing segment of the population is people over age 80. Financial Consultants with sound gerontological training are uniquely positional and will ultimately be responsible for helping people navigate the stages and ages of life. Financial Gerontology is moving to the forefront of tools that successful consultants will need to advise 44 boomers and generations. Schools of Gerontology across the nation are spending considerable energy at special research centers at places like USC Davis School of Gerontology, MIT AgeLab, University of Nebraska at Omaha, University of North Carolina and Duke. It is difficult to conceptualize how one can advise people in later life if they do not have a solid grasp of what the process of aging is and how it unfolds over the life course. The researchers at these Universities are not studying “old age” or “old people”, instead they are investigating the many different ways people age and how personal choices in life contribute to later life outcomes. Aging is conceptualized not as an event but rather a series of events over a lifetime. This lens is called the life course perspective. The Register | Spring 2022
Financial Decision-Making, Retirement Planning, and Financial Gerontology Financial Gerontology is a new and emergent field where practitioners of financial consulting are trained in the science of Gerontology. It is difficult to understand how a person could consider developing a financial plan from any perspective other than from a life course perspective. A good consultant considers past decisions and weaves them into a cohesive plan that speaks to the future well-being of the individual. The role of the financial gerontologist is to plan for the biological, psychological, social, and financial elements of an individual’s life. It is well documented that seeking advice from a financial planner is ideal. Porto and Xiao (2016) argue that seeking financial advice is considered a desirable financial behavior, which is a component of consumer financial capability, and financial capability has been positively linked to financial wellbeing. Furthermore, they claim that financial capability can be defined as the ability to take control of one’s finances and that financial advice has been linked to improved financial behaviors and well-being (Porto & Xiao, 2016, p. 83). For more information on Financial Gerontology, download the White Paper at the IARFC Store.
Download New White Paper at IARFC Store Additional Topics Explored In addition to the Register, these topics of Financial Gerontology will be explored further: • What Makes a Financial Gerontologist Different From a Financial Consultant • Taking a Life Course Framework Approach to Planning • Psychological Factors Related to Financial Decision Making • Financial Gerontologists as Futurists • The Role of Transitions • My Vocation as a Financial Gerontologist • Maximizing Your Longevity Bonus • Ageing Your Way and Make the Most of It • Build a Strong Social Support System • Give Back as You Age • Cultivate Happiness • Call to Action
Dr. James L. Flanagan MRFC®, CEP is the President of Bentron Financial Group, a firm specializing in retirement and estate planning. For over 30 years Jim has been helping people at or near retirement with investments, risk management, estate planning and longevity issues. Jim’s work in the field of Gerontology uniquely positions him and his firm to help people age successfully. Contact: (630) 505-8375 www.bentron.com
The Register | Spring 2022
Page 18
Member Benefit
Recruit Your Colleagues Enhance the Designation/Credential
Your own designation or credential continues to increase in value and recognition by adding members of highly qualified consultants using and displaying the RFA®, RFC®, or MRFC®.
Mobile Dictation and Transcribe Service
An Ongoing Opportunity
The IARFC is looking to enrich the careers of your professional peers with the same membership benefits you enjoy. By recruiting potential members, you offer them an opportunity to tap into the premier network of members who share best practices, strategies to help grow businesses, and techniques for better practice management.
Recruiting a Colleague is Easy!
Take a few minutes to expand our network of the RFAs, RFCs, and MRFCs. Enter the names, addresses, and emails of your colleagues in the fields below and return the form by fax, mail, or email to the IARFC. Details available at www.iarfc.org. (Please print or type the information below. Program subject to change) __________________________________________________________________________________________ First Name Middle Name Last Name Prefix:
Mr.
Ms.
Mrs.
__________________________________________________________________________________________ Address __________________________________________________________________________________________ City State Zip Code
Copytalk can help members take their business to the next level. Copytalk works with tens of thousands of Broker/Dealers, Agencies, and Producers, helping them increase their productivity while being more compliant. They selectively partner with companies and organizations who see the value in helping their members and field producers improve their success
__________________________________________________________________________________________ Phone Email
Recruited by:_______________________________________________________________________________ Phone_____________________________________________________________________________________ Email______________________________________________________________________________________
International Association of Registered Financial Consultants (IARFC®) Attn: Membership Services P.O. Box 506 Middletown, OH 45042 Email: info@iarfc.org Phone: (800) 532-9060 Website: www.iarfc.org Fax: (513) 345-9479 Page 19
Contact Person Chaz Foley Email: chaz.foley@copytalk.com Phone: (866) 267-9825 x428
Member Price $64.95 per month The Register | Spring 2022
New Spring Journal
To Financial Educators The Journal of Personal Finance encourages high quality submissions that add to the growing literature in personal finance. Since this literature spans a number of disciplines, authors are encouraged to conduct a thorough review of literature prior to submission.
In This Issue... •
No Good Deed Goes Unpunished: the Hidden Complications of Donation-Based Crowdfunding
•
An Evaluation of the Consistency of Financial Risk-Aversion Estimates
•
The Impact of Financial Advisors on the Subsequent Wealth of Older Adults
•
No Hedge Funds, No Cry
•
Financial Knowledge and the Relationship with Using Professional Investment Advice and Granting Trading Discretion
•
Gender Differences in Education Loan Use Among Unmarried Americans
•
The Relationship Between Emotions and Financial Time Horizon
We are looking for original research that uncovers new insights in personal finance — research that will have an impact on advice provided to individuals. It is the goal of the editor to provide timely reviews (less than 60 days) and decisions to authors. To submit manuscripts to the IARFC for publication visit https://www.iarfc. org/publications/journal-of-personalfinance for submission guidelines or contact jpfeditor@iarfc.org.
Continuing Education Quiz Register for the Journal of Personal Finance Online CE quizzes and receive both the Spring and Fall 2022 quizzes for $20. Read the articles in the Journal and then take the quiz online. The questions are provided in the back of the Journal for reference. Once you have registered, you will receive an email with a link to access the quiz. Two (2) units of IARFC CE will be awarded to anyone who achieves a score of 70% or higher per quiz. Only one quiz submission per IARFC member is allowed. IARFC CE Guidelines for Professional Self-Study. Up to five (5) units may be claimed for reading academic journals maximum ten (10) units.
The Register | Spring 2022
Page 20
IARFC International News Hong Kong/Macau RFC® Graduation and Conferment Ceremony March, 2022 Macau Dr. Teresa So, RFC®, Chairman for Hong Kong/Macau encouraged the RFC conferees by video broadcast.
Professor Jun Liu, Rector of City University of Macau Addressed the Audience
Mr. Raymond Chan, Vice-Chairman of the Executive Board of Macau Institues of Financial Services Delivering His Speech.
Page 21
Joyful RFC Conferees
The Register | Spring 2022
IARFC International News
Hong Kong/Macau Coming 3rd Quarter 2022 New Designation
MRFS Master Registered Financial Specialist Membership An applicant must be an RFC with in force IARFC membership (renewals).
NEW! Hong Kong/Macau Chapter Webpage www.iarfc.org/about/hong-kong_macau
Philippines Chapter Philippines Set Cast of Contributors for 2022 International Tuesday Podcast Series
Education An applicant must have completed an IARFC approved TOP-up curriculum in the areas of:
Trust Fintech
Continuing Education All members must complete a minimum of 40 credit hours of Professional Continuing Education each year.
Stayed Tuned for More Information The Register | Spring 2022
Retuning this summer is the International Series of the Philippines Tuesday Podcasts. The sessions connected the Philippines RFCs with their counterparts in other IARFC Chapters. Heading up the list of guests and their topics are: Dr. James Flanagan, MRFC® – Financial Gerontology Dr. Constance Craig-Mason, MRFC® – Breaking into Financial Authorship Leonard Simpson, RFC®, IARFC CEO – Income Protection Nick Royer, MRFC® – Planning Techniques Mary Garlock, RFC®, IARFC Trustee – Public Relations for Your Practice “We are once again excited to work with other IARFC Chapters for our International Series. It is through these interchanges of ideas and experiences of others, that we advance our own professional careers. Though the financial laws may differ, the IARFC Code of Ethics and it’s dedication to continuing education is the same. Join us this summer for what will be a very interesting lineup of presenters and topics...” Grace De Vera Escobar RFC®, Executive Vice President, Philippines Chapter Page 22
How Does
Giving Back
to the Community Lead to Business
Remember the scene in “Indiana Jones and the Last Crusade” when Indy needs to cross a chasm yet doesn’t realize there’s an almost invisible bridge? The YouTube clip is called “Leap of Faith.” That’s how you need to approach getting business through your community involvement. Put another way, if you give without the expectation of getting anything in return, good things often come your way. There are ways you can speed up the process. Don’t expect to speed it up too much. Advisors who measure everything by return on investment (ROI) won’t find charitable giving to their liking. You give because it’s the right thing to do. You make your living serving clients in the local community. It makes sense to take some of your earnings and give it to people doing good works. What is community involvement? It can mean volunteering, writing checks, soliciting donations, taking on a leadership role or a combination of these activities. One good piece of advice I’ve heard is “You get out what you put in”. That won’t make those advisors measuring ROI very happy because it’s a wash. You need to interpret the advice another way: “Business won’t come to you simply because you joined an organization. You need to make an effort.” This major effort starts with raising your visibility. Joining an organization and being listed in the member directory doesn’t do the trick. Why? Because few people pass a wintery evening reading through the membership directory! Your organization has meetings and events. You need to attend. Page 23
Strategy: These meetings are an opportunity to meet people, giving them the opportunity to connect your name with your face. Try to meet at least six new people every time you attend a meeting. Say hello to people you’ve met previously. Initial conversations include: “Where do you live” and “What do you do?” Don’t push business. It’s a turnoff in initial conversations. The exception is networking at groups like the Chamber.
intangible concept. You can make the case why this is the ideal place to put money right now. You know how to get people to buy into a concept. You are on the revenue side of the ledger. Membership, charitable giving and gala fundraisers all involve getting people to write checks. Your skills as an advisor are the perfect fit. People who can raise money for an organization are usually far outnumbered by other people good at spending money.
Involvement occurs on different tiers. In most cases it consists of four levels: General member, committee member, committee chair and board member. These are like concentric circles on a dartboard. You started as a general member. Attended meetings/events. You meet people. You might be lucky and meet potential clients, but you wonder why you aren’t meeting the movers and shakers in the community. They belong to the organization, but you haven’t seen them yet. Using the dartboard analogy, they are in the bullseye. You are in the outer rings.
Strategy: Get yourself into a role that involves meeting people with the potential to donate money. These are the same people you would like to have as clients. Here’s the logic. You want people with assets, philanthropists have money to give away. You aren’t pushing business, yet they learn what you do. You attend events with them, seeing they have a good time. They get to like you.
Strategy: Joining a committee and working your way up get you closer to the people you want to know better. The committee you choose makes a difference. The membership committee puts you in contact with new members who joined after you. Fundraising puts you in front of people with disposable income. Event planning gives you similar opportunities as fundraising along with showcasing potential. Do what you do best. As a financial advisor you have skills possessed by surprisingly few people. You can look someone in the eye and ask them for money. You can explain an
Don’t try to run the place. Advisors are often Type A personalities. You are the take charge type. So far, you’ve held your tongue, not screaming “Get to the point!” when someone enjoys talking. As you get familiar with the operation, you may have figured out how it could run much more efficiently. “We need to clear out the dead wood” goes through your mind. Stop right there. Strategy: Stick to being the superstar who can raise money. It’s possible you will be tapped on the shoulder and moved up the ranks. Don’t try to do this yourself because you are still the “new member.” They are already suspicious of you because at some time in the past, there was another advisor who (a) Promised but couldn’t deliver, (b) Was only involved to get clients, (c) Suddenly The Register | Spring 2022
disappeared. They think all advisors are the same. Put another way, the “Old Guard” may not be that efficient at running the organization, but they are experts at freezing out someone they don’t like. Phone a friend. Time has passed. You raise money. Everyone knows you. You don’t push business. Some people have approached you and become clients. You are irreplaceable. You have now ascended to a board position. During training they emphasize you can’t put your interest ahead of the organization. You think this is a little hypocritical because at the same time, they want you asking everyone you know for money! You’ve noticed fellow board members do business with each other.
Enhance Your Visibility with Clients and Prospects
IARFC TriFolds
Strategy: Someone chairs the board. Hopefully they like you. Approach them privately. Explain you understand the rules, but would like to increase your professional visibility. What can they recommend? They might suggest you sponsor an event. They might have a quiet word with the other high profile members, specifically those expressing a need to change consultants. You are bringing a lot of value to the organization. They might make a personal effort to help satisfy your request. Getting involved in a community organization marks you as someone who gives back. Sometimes you wonder if the world is made of givers and takers. You are marked as a giver. The circle of wealthy leaders and donors in the community often see themselves as givers. You are considered one of them. They like you. People do business with people they like. Bryce M. Sanders Bryce Sanders is President of Perceptive Business Solutions Inc. He provides HNW client acquisition training for the financial services industry. His book, “Captivating the Wealthy Investor” is available on Amazon. Contact: (215) 862-3607 brycesanders@msn.com www.perceptivebusiness.com
The Register | Spring 2022
In Stock To order:
Visit the IARFC Store Page 24
Keeping up with Technology When Your Clients are 18-20 years old! How it Works So when you have clients that are 18-20 years old and very technology savvy, their parents who are not, and you are in the middle, how does communication flow? I can say from experience - pretty well with challenges! This generation moves very fast and I have to keep up with professional athletes (my client niche) who are scattered across the country. As I have mentioned in previous articles, involving the parent is key to the process and that could mean introducing them to various virtual platforms. As you would expect, Zoom has become a necessary blessing. By now, most clients and their parents are familiar with the technology and it provides connectivity no matter where all parties live. Before, as with most consultants, I would need to interview in person, which in my world of professional sports made for a lot of traveling. In the real world, this generation accepts and actually expects virtual interaction. Who would have projected years ago conducting business from a coffee house or from a hotel room? It is a major part of what I do now, utilizing my three most important pieces of technology: an ipad, iphone, and basic laptop that provides ways to get document signed. My process is very streamlined.
The Challenges? • Not Tech Friendly Enough The complaints I get from my clients are that sometimes the processes are not tech-oriented enough. This might include where to scan and receive faxes as emails or sign and send options (Docusign). Page 25
Having to physically print a document and sending it back are constant complaints. Players advocate for more tech-friendly interactions and perhaps make decisions against organizations that can’t fill those needs. In essence how tech-touch these organization are or aren’t may be a deal breaker when it comes to servicing this generation. One young man opened up a business banking account and found that he could not scan to deposit a check. The Kid was in Georgia and the Bank was in California.
in deals lined up. As their financial consultant we have to consider NIL (Name, Image, Likeness) taxes.
• Staying focused Being in a virtual meeting with these younger clients sometimes involves finding the best time to meet and keeping their attention span. Virtual distractions could include a client playing video games or talking with their buddies. You have to go through a break-in period learning the personality of the client.
• The Worst Nightmare When dealing with technology at the end of the day, my worst nightmare is with all the passwords. If I can no longer utilize fingerprint technology, I am extremely hampered.
• Being Tech-Attractive to the Prospects and Clients I do not have cool Instagram account – but I have to understand and appreciate the ramifications of what an active Social Media presence and visibility means to someone who gets national media attention. Frequently, players have marketing reps that teach them how to market themselves and grow their following thus increasing their brand visibility. When they are playing for their team, that is W2 money. Marketing is a separate monetary benefit. That is where the consultant can help differentiate between the two. I have one collegiate player that has already has $1 million
• Keeping Current It’s important to keep up how technology benefits the financial services industry – and it changes frequently. Being attuned to how organizations are catering to this generation is critical. It may come down to Bank A you are recommending is more tech savvy than Bank B as a deciding factor.
Meeting the above challenges is what I do. Using technology makes the task easier. At the end of the day however, the values have not changed, the strategies have not changed – technology constantly is just updating the delivery. Ronnie Kaymore, RFC® is a former professional football player who works with over 200 professional athletes from an insurance perspective – covering many areas including retirement. Ronnie Kaymore, RFC® Kaymore Sports Risk Management Phone: (973) 715-0574 The Register | Spring 2022
Professional Continuing Education
Member Benefit
(800) 532-9060
info@iarfc.org
Web-Based Client Relationship Management
www.iarfc.org
Where Can I Get My Required
Continuing Ed? Finding ways to satisfy your IARFC CE could not be easier. We have complete instructions on Unit Definition, Acceptable topics, Non-acceptables topics, and suggested study methods. Virtual Methods are accepted. Remember all of our designations/credential carry a Continuing Education Requirement. Designation/ Credential
Units of Suggested Topics
Units of Ethical Practices
RFA®
36 every two years`
4 every two years
RFC®
36 every two years
4 every two years
38 every year
2 every year
MRFC
®
Read more about CE in our CE RecordKeeping Brochures available online at: MRFC: www.iarfc.org/professionals/mrfc/mrfc-ce-requirements RFA/RFC: www.iarfc.org/professionals/designated/rfa-rfc-ce
Your Options for CE Provider Presentations • Professional Conferences/Meetings Internet and Computer Based Courses • Authoring Financial Academic Courses • Business-Related Books
Redtail Technology, Inc. is the leader in Web-Based Client Relationship Management solutions for the financial adviser. Redtail is bringing nextgeneration technology to the financial consultant to help them better manage their client base so that they can have MORE TIME, earn MORE MONEY, and have MORE FUN! Whether you are looking to strengthen your client relationships, improve your team’s collaboration efforts and overall efficiency, increase your revenues and profitability, decrease client attrition, or engage in any number of other business building activities, Redtail CRM offers tools to assist in your efforts. You’ll also be happy to know that Redtail integrates widely and deeply with other popular tools in the financial services industry, which helps to eliminate redundant data entry and create consistency across the platforms you use in your daily operations. https://corporate. redtailtechnology.com/
Academic Journals • Trade Publications Professional Self Study • MRFC Exam Study Guide IARFC Ethics Exam
The Register | Spring 2022
Members 10% Off Page 26
Member Benefit Awards Presented in 2022
IARFC Awards Website Solutions Marketing Content Sale Tools At less than $20/month, the VSA offers a collection of sales and educational tools designed to enhance customer-facing conversations. Members gain full access to monthly newsletters, client presentations, financial calculators, fact finders, and so much more when they take advantage of the exclusive IARFC member benefit offer. Get started with the VSA today at: https://fsonline.com/iarfc.php
Members Discount 10% Off
Founder’s* Members Editor’s Choice Ambassador
For information on all the Awards given in 2022 visit: https://www.iarfc.org/events/awards
Founder’s Award
The Founder’s Award is bestowed in honor of the Founder of the IARFC, John J. Gargan and is presented to persons who have delivered significant service to the operations and growth of the International Association of Registered Financial Consultants.
2022 Founder’s Award Recipient Robert Laraia, RFC® Northstar Wealth Partners, West Harford, CT His past contributions have played a significant role in the leadership of the IARFC: serving on the US Chapter Board, assisting with Public Relations, fundraising for the National Financial Plan Competition, and contributing to the IARFC Register publication. He has served the Mission of the IARFC well for many years!
Vilma Alcaraz, RFC®
Page 27
The Register | Spring 2022
IARFC National Financial Plan Competition
Utah Valley Style This year Utah Valley University (UVU) will send three teams to the Finals of the IARFC National Financial Plan Competition. This was an exciting turn of events, albeit surprising for Dr. Luke Dean, RFC®, who heads the Financial Planning Program at the University.
compete and they want the experience to be included on their resumes.
To prepare for the competition each year, Dr. Dean re-reads the rules regarding the help allowed by faculty. He can then work though the concepts of the case study and guide students on how to tackle the obstacles and Utah Valley has one of the largest goals presented. He also enlists the undergraduate Financial Planning help of local financial professional who programs in the country, including a new FP Masters program. With a robust give their experience of over 30 years. This can be a benefit or a hindrance. curriculum of 13 specific financial planning classes for undergrad, they are Sometimes the students who compete are typically new and can’t articulate supported by a significant, dedicated and defend the concepts that these group of faculty members. professionals propose. In reality, classes allow “When I see how hard the students for minimal time to work for this ‘fictional family’ and their delve into complex financial plan, it makes me realize what problems that these they will do for their real clients.” family face. That is where the students go Dr. Luke Dean, RFC® outside the class and research. From being in the Competition for Having a new case study each year a number of years, Dr. Dean felt the is beneficial and Dr. Dean is grateful 2022 case study was harder with less for being given fresh material. Having time to complete the financial plan. a different case study year after year Students were frankly advised that it invites more learning both for the would increase their already insane students and for himself and less work load. Most of the students are reliance on a case study that has been full time, working, and have family or church responsibilities. According to Dr. handed down from friends. Admittedly Dean, these students have an admirable it is more work for him, but the educational factor is higher. work ethic and grit to juggle a lot of priorities, which will help them in their Specifically on the Competition future careers. setup, he likes the way the program is structured. In different phases of the He requires all of students to do the competition, students are challenged case study as part of his class. Not to develop different skill sets. In the everyone tries to compete; some are first skill set, they put together the really trying to win, others do just
plan, then with advancement to Semi Finals or Finals, they learn presentation skills, handle emotional reactions of clients, and finally have to defend the calculations and how and why they made plan recommendations. He loves the broad skill set and the way students are faced with working in a pressurized environment. The underlying main factor that the Competition establishes is that the students grasp the difference they make in the financial security of their clients. Most of the UVU students come from blue collar homes where money was stretched. These young men and women know that money brings concerns, stress, and anxiety. They are poised to help families meet not just financial needs, but emotional and professional challenges in their lives. A consultant’s advice can affect generations. One could argue that the profession attracts “do gooders”. As well, the Competition brings opportunities for his students to meet leading professionals in the industry. With the IARFC Board Directors networking with the Finalist teams and the corporate sponsors’ backing, it shows how the Association is supporting the next generation of financial consultants. Money and resources are allocated to make this competition happen when funds could easily be spent elsewhere. UVU’s take…The IARFC Professionals are the kind of people that UVU wants influencing their students.
enough to satisfy the class requirement. Instead of letting students pick their own team members, he surveys the students to ascertain whether they want to win the competition or just do enough to satisfy the class requirement. Teams are then partnered with those who express like-minded goals thereby eliminating the frustration of being with a partner who is not as invested in the outcome. The case study presents things they don’t know, they don’t have a lot of experience with, which means they have to do the research. The main motivation is that students like to The Register | Spring 2022
Page 28
¬¬
Top 10 Mistakes Financial Professionals Make and How to Fix Them Let’s review the 10 top mistakes most consultants make that stop them from earning the six and seven-figure income they want. And then, what consultants can do to fix the mistakes right now.... even with all the problems that we have out there today! 1. Mistake...Always looking for shortcuts. You will be more successful and will earn a lot more when you realize that your success comes from mastering the basics of marketing and sales. There are no secrets, no shortcuts, and no magic bullets. Your success will take patience and determination. The get-rich-quick mentality is a disease, just like drinking or gambling. It can ruin your life if you do not stop it. You will not earn the income that you need and want until you stop looking for a shortcut. It is a huge mistake most professionals make! 2. Mistake...Spending all your time studying products. Product knowledge is overrated and misused in the sales process. As a result, making sales for most is just “pitching and presenting” the product. Studies show that 80% of training money is spent on product training. And then, because all that is learned is about products, you want to share all this information with your Page 29
clients. So the focus is just on products, when the focus should be on the sales skills training needed to identify and then solve the prospects’ problems! 3. Mistake...Failing to treat yourself as a professional. Professionals like doctors, lawyers, and CPAs all have one thing in common, they must study all the time to keep up to date with their skills. Yet how many financial professionals make the mistake of not looking for ways to update (increase) their skills? Many consultants have the attitude: “I’ve been doing this for years, what more can I learn?”. The Top Performers in every profession always look for the best ways to sharpen their skills so that they will gain the fine edge that leads to consistent success. The top sales performers study an hour every day to improve their marketing and sales skills! The more training you get to help people, the more clients you will retain and the more sales you will make! And when you learn to help people find the money, you will finally earn the money you have been dreaming about. 4. Mistake...Not approaching and staying in front of the people you know. Consider who do you trust
more - someone you already know or a stranger? Do you honestly believe that you help people? Are you focused on making a ‘positive difference’ in people’s lives? Then who are the first people you should be helping? Do you want your friends, family, neighbors, clients, and prospects to call you when they have a problem, need your help, or advice? Or, do you want them to call your competition down the street. Who is going to take better care of them, you or a stranger? Now consider, is there any business out there that does not depend on repeat business and referral from their clients. Do you want the people that you know to come to you for new and repeat sales? Then do not make the mistake most make... you must use a client monthly communication to stay in front of the people you know! 5. Mistake...Expecting to get overnight results. When you do not get immediate results from your marketing and sales efforts, do you just move on and try a new idea? Instead, you should measure and analyze your results, giving you an idea on how to proceed. Would you ever build a home without a strong foundation? Yet, most businesses are built without The Register | Spring 2022
a solid foundation. They do not have a marketing plan. They have not defined who their ideal prospect is. And, they do not have a set sales process. 6. Mistake...Selling a product or sales idea - instead of solving a problem. Are you focusing on “selling”, instead of “helping” people? Do you want to increase your productivity? Then learn to ask the right questions to help people to identify and understand what they need and want. Focus on their needs and wants. Keep your own goals and agenda out of the conversation. 7. Mistake...Talking too much - poor listening skills. We all love to talk about our products or ourselves, but we need to focus on asking questions and then listen to our prospects’ needs, concerns, and challenges. When we listen first before we talk, then we will understand what is driving their buying decision. Our prospects will tell us what they want, the problems they face, and what it will take to get on board. We just need to take the time to truly listen. The key to successful sales is the ability to meet prospects’ needs and wants, so that we create a relationship with our clients that keeps them coming back. Only after you have listened to them and have taken the time to understand the why of the issue... will you be able to solve the problems... that they want to solve! 8. Mistake...Not practicing. Many of us enjoy playing sports. All of us love to win. But to consistently win, we must practice. Consider, champion tennis players like Nadal and Federer. How much do they practice? Most people make the mistake of winging it in every part of their process. Do you have an elevator speech, referred lead talk, appointment script, etc.? How often do you practice your delivery skills, such as asking the right questions to drive the conversation? In the past month, how many times have you practiced your appointment script? We will improve when we practice and master the basics. 9. Mistake...Not seeking help or coaching. Consider, most of us know what we need to do to increase our income. But for most of us, ‘knowing’ is of little value. For example, we all know that exercise is beneficial, but do we do it? Or we know that eating more vegetables is good for us, but do we? Those who are truly committed to being The Register | Spring 2022
their best get a coach to keep them on track. No athlete could ever make it to the Olympics without a coach. Many successful business owners, executives, and salespeople have their Executive Coach for the same reason. Professionals have coaches. Amateurs do not. Coaching helps the best to get better... the good to become great... and the struggling to break through. 10. Mistake...Lack of Confidence and Passion. Oftentimes, the difference between acquiring a client or not is about your level of confidence. If you allow yourself to get caught up in the bad news of a “struggling economy”, then you may freak out. You may not project yourself as the confident financial professional that you are. Remember that desperate people never get dates. Similarly, desperate consultants rarely acquire clients. You are good and so are your products and services. Be confident and exhibit skills that will help you to gain clients. Client acquisition requires passion to be successful. As the owner of your business, you know that you can help people. But if you are not passionate about it...then your efforts will not work. Be honest with yourself...how many of these consultant mistakes do you make? Are those mistakes hurting your practice right now? Starting today, focus on fixing just one of these mistakes and you will be amazed at the good things that will happen. You will soon be on your way to earning the six and seven-figure income you want!
Member Benefit
Retirement Plan Simulator Tools for Financial Consultants looking to grow their AUM Advisor Controls prioritizes improving efficiency and productivity with easy-to use solutions for understanding and advancing clients’ retirement income stories: The Retirement Plan Simulator. In just minutes, a consultant can input data and walk their clients through the retirement planning process, engaging them every step of the way, and identifying strengths and weaknesses. Advisor Control’s proven processes will simplify and seamlessly deliver a compliant and optimized retirement income plan.
Jeremy B. Nason, RFC® Jeremy B. Nason, RFC is the co-founder of the Insurance Pro Shop™ – The first affordable, full-service Insurance Marketing and Sales Resource Center for today’s Financial Pro, and Found Money Management™, a life insurance sales training system dedicated to helping Middle-Income Families to ‘Live Debt Free and Truly Wealthy!’ ®
Contact: (877) 297-4608 jeremy@insuranceproshop.com www.insuranceproshop.com
Use code IARFC at checkout for a $20 discount on your monthly subscription — available exclusively to IARFC members. Member Link: https://advisorcontrols.com/iarfc/ Phone: (309) 633-2308 email: support@advisorcontrols.com
Members $20 per month Page 30
Our Strategic Alliances A f f e c t Yo u r B o t t o m L i n e IARFC Partner Discounts - Investigate what the IARFC has to offer its members.
Connect to your Benefits ®
Page 31
IARFC Home Office info@iarfc.org Online (800) 532-9060 Log into Your Member Account www.iarfc.org/members/ P.O. Box 506 Update Your IARFC Profile general/member-benefits Middletown, OH 45042 The Register | Spring 2022
MRFC® 2022 Update - Board Changes Robert D. Lawson, MRFC® This is an exciting time to be involved with MRFC® and I am thrilled to be part of an impressive team of board members, forward thinking industry executives, and financial consultants. I am highly motivated to transform this organization to the next level by helping our qualified and credentialed Master Registered Financial Consultants become better equipped by making a positive difference in the financial lives of the families, business owners, and communities in which they serve across the United States... Robert D.Lawson, MRFC®
Named MRFC® Certification Board Chair Following the success of the parent Association, (the International Association of Registered Financial Consultants with chapters in countries worldwide), the Master Registered Financial Consultants (MRFC®) Ceritifcation Board has elected Robert Lawson as its new Chair to lead the program in the next phase of growth to accelerate the MRFC’s expansion throughout the United States. Lawson was formerly the Vice-Chair and Secretary of the MRFC Certification Board and has been involved with IARFC since 1997. With decades of experience in the financial services industry as a Financial Consultant, Investment Fiduciary, President of a Registered Investment Adviser Firm, and FINRA Arbitrator, he continues to be actively involved with nearly every facet within the industry. Lawson is ready to take MRFC® to the next level of growth by launching a number of new groundbreaking initiatives that will provide value, not only for our Financial Consultants, but for the investing public in which they serve. Robert D. Lawson, MRFC® Barrington Capital Management, Inc.
New Officer Positions for the MRFC Certification Board
Mary Anne Redmond, MRFC® - Vice Chair William Peterman, MRFC® - Treasurer Dr. Craig Lemoine, MRFC® - Secretary
New MRFC Board Member, William Peterman, MRFC® From the results of the recent MRFC Certification Board elections, William Peterman, MRFC® will be joining the Board effective immediately. He is part of a group of very dedicated individuals who oversee the functioning of the MRFC credential program and provide its members with sound guidance, adhering to NCCA regulations. Bill Peterman has been in the financial planning business for over 25 years. He has earned a Bachelors of Science Degree in Accountancy from Western Illinois University in 1980. His many industry designations including: Master Registered Financial Consultant, Certified Public Accountant, and Certified Financial Planner, Bill holds FINRA Series 7, 24, & 66 licenses. He also holds a Life, Heath and Annuity licenses in the state of Illinois and various other states. During his career, Peterman has helped individuals in areas of financial planning, investment planning, and tax planning. In addition to working with individual clients, he has been a national trainer and has taught numerous seminars for the public in all areas of investment and financial planning. Prior to his years in the financial planning field, Peterman served for 15 years in banking as a Vice President & Corporate Auditor of a multiple bank holding company. William Peterman, MRFC® Peterman Financial Group The Register | Spring 2022
I believe my diverse background and years of service affords me unique perspectives for the oversight of the MRFC Certification Program. I fully intend to support the MRFC Board and the credential we confer on qualified consultants with the utmost professionalism and the integrity it deserves... William Peterman, MRFC®
Page 32
Application Applicant Information
Exam
(please print or type)
______________________________________________________________________________________ Please provide your name only on the line above as you want it to appear on your Certificates.
The Certification staff will review all candidate applications submitted to determine if the
Business Information
candidate is eligible to sit for the MRFC exam.
______ _______________________ __________________ __________________________ __________ Prefix First Name Middle Name Last Name Suffix
Candidates will be notified of their eligibility to
____________________________________________________________ __________________________ Business Name Preferred Salutation
90 days, after notice of application approval.
____________________________________ __________ __________________ _______ ____________ Street Address Ste#/Apt City State Zip ____________________________________ _________________________ ________________________ Business Phone Fax Cell Phone __________________________________________________ ____________________________________ Business Email Address Primary Yes No Website
sit for the MRFC Exam. The candidate will have
MRFC® Fee Schedule
Choose one
Nonrefundable Application Fee:
$100
Examination/Certification Fee:
$350
IARFC Membership Fee (join)* $100
Home Information ____________________________________ __________ ____________________ ______ ___________ Street Address Ste#/Apt City State Zip
Current IARFC Membership (continue)* $0 Total payment:
___________
______________________________________________ ________________________________________ Home Phone Cell Phone ____________________________________________________ __________________________________ Home Email Address Birth date MM/DD/YY
Please send all mail to my:
Business Address
Commence on anniversary of passing MRFC Exam
Home Address
Experience Must have a minimum of four years of experience as a full-time practitioner in the field of financial services: Full-time__________ Part-time___________
Education Education criteria requires an applicant to assert and document achievement in any ONE of these areas: Licensing, Professional Designations/Credentials, or Education Background. Licensing Broker/Dealer______________________________________ (Personal) FINRA CRD No._____________ Securities Licenses: Insurance Licenses:
Series 6 and 63 Series 7 and 66
Series 7 and 63 Series 6 and 66 Series 65 Other______________________________
Life Health Variable Contracts Prop. & Casualty Other_____________________________________________________________
Primary Insurance Company (if any)_________________________________________________________ Affiliated with an SEC Registered Investment Advisor (RIA)?
Yes
No
Name of RIA____________________________________________________________________________
CFA
CFP®
ChFC®
CLU®
CPA
EA
LUTCF®
RFC®
Other________________________________________________________________________________ Education Background School, City, State (Since High School)
MRFC (Credential Only)
$350
MRFC (with IARFC Membership)
$450
*Optional... The IARFC Association Membership provides partner discount programs, technical tools for use in consulting practices, constant exposure to new sales and prospecting ideas, and opportunities to connect with like minded professionals in the financial services industry. Payment Options 1. Mail Application with payment to: IARFC P.O. Box 506, Middletown, OH 45042 2. Fax Application to: (513) 345-9479 (credit card only) 3. Email Application to: info@iarfc.org
Professional Designations/Credentials AAMS®
Annual Recertification Fee
Graduated Yes
No
Check payable to: IARFC Credit Card: Visa, MC, Amex, or Discover Credit Card#
Major
Degree Exp. Date
Security Code
Signature Evidence of license, diploma or documents may be requested. You need not submit evidence with the application.
Code of Ethics (Appllicants must adhere to the IARFC Code of Ethics) I will put my clients’ interests above my own at all times within the scope of my abilities. I will maintain proficiency in my work through continuing education. When fee-based services are involved, I will charge a fair and reasonable fee based on the amount of time and skill required. I will abide by both the spirit and the letter of the laws and regulations applicable to financial planning services. I will give my clients the same service I would provide to myself in the same circumstances. I will disclose all facts about fees, commissions, and any other sources of compensation received for services provided to clients.
Page 33
The Register | Spring 2022
Questions relating to business and ethical conduct
Recommend a colleague for the MRFC
(If you check “Yes” to any of the following questions, please attach a written explanation.)
Yes
No
Have you ever been refused a surety bond or other form of employment security? Have you ever been denied or enjoined from selling or dealing in securities or from functioning as an Investment Advisor? Have you ever been arrested, indicted, or convicted for any felony or misdemeanor, except for minor traffic offenses? Have you ever been known personally by any other name, or have you ever conducted financial activities, conducted business, or carried brokerage/bank accounts in any other name? Have you ever become insolvent, failed in business or compromised with creditors? If “Yes” – please provide the date, name, location of court, disposition, liabilities, and assets.
Full Name
Address
City
Have you ever had a license, permit, certificate, registration or membership denied, suspended, revoked or restricted, or have you had an application of such type ever withdrawn for cause?
State, Zip
Have you ever been the subject of any order, judgement, decree or other sanction of a foreign court, foreign exchange, or have you ever been the subject of any action by a foreign or domestic governmental or regulatory agency?
Phone
Attestations (Applicants please read carefully) 1. 2.
3.
4.
5.
6.
7. 8. 9.
10.
11.
12.
13.
I hereby certify that I have read and understand the foregoing statements and that my responses are true and complete to the best of my knowledge. I hereby apply for the MRFC credential and in consideration of my application, I submit myself to the jurisdiction of the MRFC Certification Program and hereby verify that I agree to abide by all the provisions of the By-Laws and regulations of the MRFC Certification Program as they are and may be amended. I agree to comply with all such requirements, subject to right of appeal as provided by law. I agree that any decision as to the result of any exam(s) that I may be required to pass or annual Continuing Education (CE) requirements will be accepted by me as final. I further agree that neither the IARFC, MRFC Certification Program, nor its Trustees, Directors, Officers, or employees shall be liable to me for action taken or omitted in official capacity or in the scope of employment, except as stated in the IARFC By-Laws and the MRFC Certification Program Policies and Procedures. I hereby certify that I have a sound record of business integrity with no suspension or revocation of any professional licenses, and I hereby adhere to the IARFC Code of Ethics, a copy of which I have read and understand. It is agreed and understood that any material misrepresentation of facts or information given in this application or subsequent renewals may be cause for immediate revocation of the MRFC credential and all its privileges, without refund of any dues or fees paid. I understand that failure to disclose any regulatory event, including suspensions or revocations, may disqualify me from initially obtaining the MRFC credential or could result in revocation of the credential. I understand and agree that my MRFC credential will not become effective until I have met all the eligibility requirements and have successfully passed the MRFC exam. I understand that the MRFC credential remains the property of the MRFC Certification Program, and must be destroyed or returned should the credential be suspended or terminated. I understand that the continuation of the MRFC credential requires the successful awarding of forty (40) units of financial services focused CE credits — of which two (2) units every year must be related to Professional Ethics commencing the January of the year following initial acceptance. I understand this application is valid for sixty (60) days from the date of receipt by MRFC Certification Program’s home office and I have ninety (90) days upon application approval to schedule the MRFC exam. I authorize the Association and the MRFC Certification Program to make available to any federal, state or municipal agency, or any securities or commodities industry self-regulatory organization, any information they may have concerning me or to request confirmation of my status, and I release those organizations, employees and agents, from any and all liability of whatever nature by reason of furnishing such information. I further agree that my contact information contained in this application be divulged to interested parties as part of the member profile on the IARFC website for the benefit of members and the public. I understand that except for my certification status, written authorization by me is required to release my information.
How did you learn about the MRFC? Linkedin
Broker/Dealer Direct Mail IARFC Website
Exhibit
Referral
Other __________________________________
Referred by (if applicable)
Full Name
City, State
International Association of Registered Financial Consultants P.O. Box 506 Middletown, OH 45042-0506 Phone: (800) 532-9060 Fax: (513) 345-9479 Email: mrfc@iarfc.org Website: iarfc.org
I attest that I have read and understand the above and that the information I have provided is complete and accurate to the best of my knowledge and belief. I further understand that my MRFC credential may be revoked if I have provided any false or incomplete information. 4/21 Signature of Applicant (required)
The Register | Spring 2022
Date
Page 34
P.O. Box 506 Middletown, Ohio 45042
IARFC National Financial Plan Competition
2022 Corporate Sponsors
