"Astute Advisors May Gain the Keys to Family Wealth" By: Lisa Gray  Much of the work at graymatter involves multi-generational families of wealth and their advisors. Often, the family wealth in these situations is thought to be controlled by a crusty patriarch who is used to doing things his way without a lot of question. However, that paradigm is actively changing and as the current controlling generation passes on, the change will become more apparent. As things exist today, advisors tend to accept the existing paradigm at face value. But an advisor who is astute and in tune with his or her clients can hold a valuable key in helping a wealthy family develop a greater understanding around their wealth and, in the process, cause the wealth to serve them in a more robust manner custom designed to fulfill their goals. Case in point. Just such a crusty patriarch at the point of retirement was extremely pleased to see his son, who had ‘grown up’ in the family business, be elected CEO of the company entirely on merit, not on the fact that he was the heir apparent. The patriarch simply planned to transfer his former CEO role of the family business to controlling the family office he was in the process of setting up to continue building the family wealth. But his two daughters had different plans. Since they had husbands who also had been inordinately successful in their respective businesses, they felt no real need for the family wealth at its current level, much less at a higher growth level. Their interest lay avidly in the philanthropic arena.   The patriarch misinterpreted his daughter’s attitudes as disinterest, a conclusion which both hurt and disappointed him. His conclusion was supported, as he saw it, by what he deemed extravagant spending, social involvement, and heavy volunteerism. The daughters’ sensed their father’s disappointment, yet could not understand the basis for it. The newly elected CEO son saw the frustration on both sides but didn’t know how to even approach resolving it. Needless to say, there was an impasse around the family wealth between these two generations.   During a recent conversation between the patriarch and the advisor, an opening was offered the advisor to develop a much deeper, trusted relationship with the entire family. When talking about the family, the patriarch expressed concern, in light of his view of his daughters’ spending habits, about the spoiling of his grandchildren who were exposed to three significant pools of wealth. Knowing only his crusty exterior, the advisor saw this opening as an ‘uncomfortable’ topic of discussion and quickly steered the conversation to other matters. However, if the advisor had taken the moistness of the patriarch’s eyes as the invitation it indeed had been, he could have helped the patriarch redefine his role as grower of wealth to mentor and educator of the third generation inheritors. This would have opened the door to a family-wide interest in philanthropy—one eagerly shared by the daughters—and the preservation of a vital role for the patriarch in controlling the family wealth. Greater cohesion of the family around the wealth, deepening their relationships intra-family, and exponentially building trust with the advisor would have been valuable results. How much more valuable would the advisor have become in this family’s eyes?     Lisa Gray is president/CEO of graymatter STRATEGIES LLC, a consulting firm based in Memphis, TN whose purpose is to help advisors raise the level of their relationships with their clients. She has 18 years' experience in wealth management and is the author of "The New Family Office: Innovative Strategies for Consulting to the Affluent,” http://www.euromoneybooks.com/default.asp?page=4&productID=3178      **** Since our inception we have helped over 400 financial consultants make the move to independence. "I cannot express to you the joy and the increase in quality of life that I have found since leaving the wirehouse world." Shane Merritt, Branch Manager Merritt Capital Management Here Are A Few of the Benefits of "Going Independent": Payouts on all your business, including fee based accounts of 90% plus. The opportunity to build substantial equity in your business and sell it at an attractive multiple when you desire. The opportunity for you, not someone at the home office, to control your bottom line and the profitability of your practice. The opportunity to build related businesses such as insurance, qualified plans, or trust companies, and keep those revenues. The opportunity to eliminate your clients’ perceptions of conflicts of interest with research departments and corporate finance groups – TRUE OBJECTIVITY. The opportunity to charge and keep substantial fee income for planning, analysis and other services to your clients. The availability of technology that is as good or better than anything you have now. The list goes on… This Month's Registered Representative Opportunity: They Offer a Strong Commitment to Their Independent Offices If you are an established broker and seek to work with a full service firm that recognizes client service as a paramount requires a committed strong and capable corporate management support team.To support and enhance their work force -- their firm's most important asset theyve made a substantial commitment to provide each employee and independent office with the training, equipment, resources and environment necessary to excel in today's investment industry. They are committed to anticipate the needs of each independent office, respond to their requests and provide leadership that empowers them to meet the expectations of their clients. Proven leaders from Management to Operations It's simple - entrepreneurs. Entrepreneurs with an honest history and an established book of business who want to grow their business with proven leaders from management to operations. If you're currently independent or thinking about becoming an independent, if you're a representative in a financial institution, whether you're a commission or a fee-based investment broker, if you have the spirit and desire to control your destiny, this B/D is the right broker/dealer for you. Their Products and Services are Committed to Success They offer you the industry's best combination of net payout, back office support, business development support and sophisticated technology. Their service is personal, professional, fast and accurate. They listen to what their representatives have to say, and provide opportunities for their input to be heard. They recognize and value the fact that you have an independent business. They take time to understand your needs so that the service they provide is valuable and responsive. Their success is solely dependent upon you and your clients' success, and will respect and protect the relationship between you and your clients. They will do everything in their power to help you deliver quality advice, guidance, investment management, and outstanding service to your clients. Back Office Support - Operations The operations department is the backbone of any brokerage firm. A well-run back office allows you to spend 100% of your efforts on expanding your business. By the same token, a poorly managed back office will inevitably result in lost time and frustration. The staff needs to be thorough, as well as helpful. The common denominator between all well-run back offices can be summed up in one word Experience. Their Chief Operating Officer and Director of Operations have a combined 30 years experience in the brokerage industry. Value Added Services This B/D believes that an investment broker's time is best spent in a selling and/or a consulting capacity. Given that there are a limited number of hours in each day, administrative tasks subtract from time that could be more profitably spent selling. That's why this B/D offers an extensive menu of value-added services to help our investment brokers grow their business efficiently. From technology support and investment research to marketing with our proprietary web-based prospecting System. 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Here's some additional information from Turning Point, Inc...

www.BrokerBestPractices.com
www.BankBrokerBestPractices.com
www.IndependentRepBestPractices.com (*Sept 2005 REPORT AVAILABLE!)
www.FABestPractices.com (Financial Advisors)
www.InsuranceAgentBestPractices.com

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