News You Can Use
This issue's article is by Lisa Gray of graymatter STRATEGIES LLC, a financial journalism and marketing consulting firm based in Memphis, TN.  

"The Capital Apple Tree" By Lisa Gray This is the first of a series of articles on the four types of capital and their relationship to wealth management.   When thinking of wealth management, financial assets are the first to come to mind. And although that's quite logical, it's only the surface component of the true wealth management picture. In fact, clients at any asset level have much more than one form of capital. Financial assets are the most obvious, but the other forms of capital are the foundation from which financial capital is created. Think of it like this: an apple tree yields apples, which can be used for a variety of purposes-pies, fruit salads, or just to eat. But the apples didn't just come from the tree. They came from seeds that were planted in good soil and provided the right ingredients for the tree to grow and bear fruit.   So what does an apple tree have to do with wealth management? If you think of the apples as financial assets, you can see that if you don't use them for the benefit of achieving a goal, they can rot and disappear. But on a deeper level, you also can see that there are other vital aspects of those financial assets that continually have a bearing on wealth management.   All investors have four forms of capital: social, intellectual, human, and of course, financial. The intellectual capital is responsible for a person's business acumen, creative abilities, and other capabilities serving as the tools used to create the wealth (the seeds that were planted). Social capital is the influence and connections the person has in the business or civic communities that create good will on the part of society and acceptance of that person as an authority, a good business person, or other factors that invite encouragement and investment for growth (good top soil). Social capital can have deep roots in the form of well-known and highly respected parents, personal friendships with influential people, or involvement in community or philanthropic efforts. Human capital not only has to do with a person's future earning capacity as so many advisors view it, but it also has even more to do with the person's business staff, other advisors, children or siblings also working in the business, spouse, or anyone else involved in the success of the entity that created the money.   Finally, the financial capital is the result of the other forms of capital. But it is not a stand-alone result. Social, intellectual, and human capital continually influence financial capital. Social capital continues to create good will and provide profitable associations; intellectual capital updates original business models or creates new products or services to sell; and human capital is responsible for continuing to sell and subsequently deliver what was promised to the buyer.   The connection of all this to wealth advisors? Simply this: advisors who only address the financial capital of their clients receive only a small part of the capital they could be managing for their clients. Addressing the other three forms of capital and realizing their connection to financial capital can result in deeper relationships with clients, a higher level of trust, more assets under management from fewer relationships, and unsolicited referral business-the best kind of referral possible. 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 17 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 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: This independent broker-dealer has been supporting advisors for over 27 years. Their focus and philosophy is simple: Create value. The true purpose of a broker dealer is to serve the interests of its representatives. Many firms lose that focus over time and shift to self-interests, proprietary products, and/or parent company demands. This BD will always focus on you! They run an efficient back-office, provide big-firm services with a small firm touch and offer one the most competitive payout schedules in the country. At this BD, they understand your independence, and that their role is only to perpetuate your success. They also understand that the client relationship is between you and the client and that they work for you. With that said, they feel that 27 years of independence, solid financial foundation and resourceful philosophy are a perfect fit for the representative that needs no boundaries. With this BD, independence is paramount. Allowing their representatives to conduct their business without obstruction or the introduction of proprietary products is important to them. Because of this value, their independent representatives have certain freedoms and access to outside resources not generally provided or promoted by other broker dealers. This BD has no proprietary products, advisory services or technology. They rely on outside resources for the things they should, those things best left to the vendors that specialize it such items. They have a strong and experienced Compliance, Brokerage Service, and Licensing & Commissions Department. Those are the areas they specialize in. This BD understands that transitioning your practice is a HUGE decision and requires a great deal of planning as well as attention to detail. Their goal is to ensure to the best of their ability that your transition experience to the firm is successful, quick and efficient. They try to make it easy to do business with them and will treat you like a part of their family, before, during and after your transition. If you know someone who might be interested in the above opportunity or who might be ready to go Independent, please have them visit www.goingindependent.com (go to our Opportunities section and click on Hotjobs) or contact Jason Burke directly at 727-725-8876.

Here's some additional information from Turning Point, Inc...

www.BrokerBestPractices.com
www.BankBrokerBestPractices.com
www.IndependentRepBestPractices.com
www.FABestPractices.com (Financial Advisors)
www.InsuranceAgentBestPractices.com

By clicking on any of these links, you will be taken to a webpage where you can Preview these reports, take a short survey, and then print the entire report when you're done. It's that easy.

TURNING POINT in the MEDIA!
Mitch Vigeveno of Turning Point, Inc has been quoted in several articles in 2005 (including Investment News and Horsesmouth.com).  Please visit our Media page to read what Mitch had to say!

TURNING POINT PARTNERS:
Are you getting the most out of your business?  Are you operating at peak efficiency?  How about your marketing, your compliance,  or your HR?  We have some friends who can help you out.  Just visit our Partners section in our website for links to a variety of services that are helpful to building your business!

Quote of the day:
"If you want to be respected, you must respect yourself."
Spanish proverb