Between Now and Success

In a Nutshell: Learn the basics and dispel the myths around Bitcoin so that you can provide advice that's in your clients' best interests. Guest: Adam Blumberg, CFP, co-founder of Interaxis, a company that provides research and education to advisors and companies in the cryptocurrency, digital assets, blockchain, and DeFi space.  My Key Takeaways: Money is complicated. Money's been called many things and we discuss some of its key properties and why Bitcoin may just be the ultimate manifestation of "money." Bitcoin is not going away. It's survived several boom and bust periods and is now hovering near all-time highs. Big players like Fidelity, MassMutual, Paul Tudor Jones, Bill Miller, Stanley Druckenmiller, and many others own and advocate for it. Bitcoin is not for everyone. Not yet, anyway. But as interest rates stay low, federal deficits rise, and ideas like Modern Monetary Theory gain popularity, there's a subset of your client base that will be looking for alternative investments. Do you want those clients buying volatile crypto on their own or working with you to diversify a reasonable percentage of their portfolio? Also Learn: What the difference is between "bitcoin" and "Bitcoin." Why many bitcoin proponents call it "digital gold." Why some of the mystery that turns people off Bitcoin -- such as who created it -- is actually a strength that has helped it gain widespread adoption and acceptance as a store of value. Where advisors are turning to learn more about Bitcoin, even if they ultimately decide to guide their clients elsewhere.

Paul Tudor Jones did it for hedge fund managers. Michael Saylor and Jack Dorsey did it for publicly traded companies.   Now, Marty Bicknell is doing it for RIAs and he discusses it with me on my new podcast.   Once called “rat poison squared” by Warren Buffett, bitcoin is now going mainstream. After a tumultuous 12-year existence punctuated by head-spinning bull markets, devasting declines, exchange hacks, and its use in criminal activities, bitcoin has grown into adulthood.   Bicknell recently announced that his firm, the $35 billion AUM behemoth Mariner Wealth Advisors, will offer bitcoin to its clients through a separately managed account run by Eaglebrook Advisors.   To date, only a small number of intrepid advisors including Morgen Rochard, Jackson Wood, Adam Pokornicky, Tyrone Ross, Adam Blumberg, and Isaiah Douglas have done the pioneering work of understanding bitcoin, figuring out the compliance and operational details of offering it, and presenting it to their clients as part of a thoughtful asset allocation.

In a Nutshell: As our industry evolves beyond money management, engaging with clients on their money-life issues and formative experiences surrounding money will be one of your most valuable services. Guest: Dr. Preston Cherry, the Founder and President of Concurrent Financial Planning, a comprehensive financial planning firm serving households and business owners across generations. Dr. Cherry is also an Assistant Professor of Finance & Personal Financial Planning at the University of Wisconsin - Green Bay's Austin E. Cofrin School of Business, where he is in the process of building a new personal financial planning program. My Key Takeaways: Experience matters. Your clients are bringing a lifetime of positive and negative money experiences into this working relationship. You need to understand where they're coming from to help them get where they want to go. Bridge generations. Older clients might still be "stuffing money under the mattress." Millennials are curious about the latest bitcoin surge. How are you serving your current client base while broadening your horizons for the next generation? Share your stories. Opening up about the experiences that shaped your own life and career creates real connections. Those connections can create clients for life. Also Learn: Why one of Preston's favorite discovery questions is, "Tell me about a money situation that you've had the last six months." How a combination of open dialogue and measurable assessments can keep clients actively engaged with your planning process. How to use connection, communication, and convincing to "nudge" your clients towards better financial decisions. What Preston saved in an envelope to remind him of an important disconnect between his emotions and his money that he was able to overcome.

Mindy Diamond is the President and CEO of Diamond Consultants in Morristown, NJ. Recently, Mindy invited me to be a guest on her podcast, Mindy Diamond on Independence, and I appreciate her allowing me to share our conversation with you here. Some of the topics Mindy and I discussed include: Why discipline and focus are two essential traits of a financial advisor, especially an RIA CEO who wants to grow a lasting business. Some of the most common problem areas that the advisors I coach are working through right now. How the best advisors crash through perceived barriers by adjusting their mindsets and matching their dream to their desire. The 5 key areas I believe advisors need to focus on to accelerate their growth. Wisdom from top advisors like Ric Edelman, Joe Duran, Jon Jones, Elliot Weissbluth, and Peter Mallouk that you can adapt to your own business. The ways that the pandemic will continue to affect marketing and messaging as we head into 2021. Thanks again to Mindy for having me on and for letting me republish this episode.

In a Nutshell: In this era of "fake news" and deep divisions between people, understanding the context behind dominant narratives can help build bridges, stimulate new ideas, and push us all forward. Guests: Nathaniel Whittemore, a strategy and communications consultant for leading crypto companies as well as the host of The Breakdown, which is my favorite podcast in the crypto world. Nathaniel was also a principle at the venture capital firm Learn Capital and he was on the founding team of Change.org. My Key Takeaway: As you try to anticipate some of the narratives that could shape your story in 2021: Think macro. Big ideas like Bitcoin and MMT could have more of an impact on global economics than they do on how we buy and sell things day to day. Explore in good faith. There are thoughtful folks on both sides of every issue who are worth listening to and learning from. Share your diagnoses. When we talk about problems we agree on, we're more likely to arrive at meaningful and inclusive solutions. Also Learn: Why, as a financial tool, Bitcoin might not be an "either or" but more of an "and." What the broader applications for crypto could mean for developing countries and creative companies. How narratives can create self-fulfilling prophesies that alter our beliefs. Which narratives Nathaniel Whittemore is trying to break right now to expand the range of political and economic possibilities he shares with his audience.

In a Nutshell: The top 20% of RIAs aren't just the biggest. They're the firms whose best practices lead to sustained growth, high valuation, and an enduring business. Guests: Lisa Salvi, Vice President, Advisor Services, Charles Schwab and Catharine Aguilar, Chief Marketing Officer, CornerCap Wealth Advisors.  My Key Takeaway: To prepare your firm to make a big leap in 2021: Standardize your workflow, write out your plans, and strengthen your value proposition by creating a clear, definitive ideal client profile/persona. These are actionable activities that can lead to growth and low attrition. Build metrics that allow you to track and manage your progress on top-line growth, customer service, and profitability--and hold your team accountable for meeting them. Always be recruiting. Billion-dollar firms are always hiring the best people, even if that means poaching from another advisory firm. Also Learn: Why Lisa, Catharine, and I are such big believers in the annual planning process. How hiring a diverse group of top performers from inside and outside of finance can lead to stronger culture and greater innovation. What kinds of motivation and incentives the next generation of your firm's leadership will respond to. How embracing authenticity can lead you to more effective social media strategies.

In a Nutshell: Computers are for number crunching. When it comes to managing people, leaders have to nurture the qualitative if they want to drive quantitative results. Guest: Walter Booker, the Chief Operating Officer of MarketCounsel, the premier business and regulatory consulting firm focused exclusively on the RIA sector, along with its affiliate, The Hamburger Law Firm. My Key Takeaway: To take a holistic approach to managing your team: Focus on the "soft stuff." Teaching your people how to manage portfolios is easy. Helping them grow as people so that they can be more effective advisors is how you create real value for your firm. Let your people be who they are. Covid-19 and WFH are changing the boundaries between our professional and personal selves. Make sure your employees know you embrace both. Treat your team the same way you treat your clients. Caring that goes beyond the numbers will trickle down through the rest of your organization and across your whole client base. Also Learn: Why "who" your team members are matters more than "what" they are. How to apply the same process of discovery and values-matching to potential hires that you use with potential clients. How improving your cultural fluency and embracing diversity can lead you to a talent goldmine. What Walter Booker learned about teamwork and diversity from working on his own "Island of Misfit Toys."

Dennis Morton, Jr. CFP,® CHFC® is a Founder and Principal at Morton Brown Family Wealth in Allentown, PA. I've known Dennis for several years and he and his co-founder and business partner, Kathryn Brown, have built a really outstanding firm. He also hosts one of my favorite podcasts, "Leading with Purpose." Dennis was kind enough to let me share this outstanding episode on developing versatile leadership. Joining Dennis for this conversation about leadership, blind spots, and adaptability are Craig Reynolds, former CEO of Cigars International and current Senior Advisor to Scandinavian Tobacco Group, and his Executive Coach, Eleanor Lawrence of Human Dynamics, LLC and the Center for Creative Leadership.

Imagine you’ve just given a fantastic presentation to a roomful of executives. You’re pumped because you know all your preparation and rehearsal paid off. And you can tell from the energy in the room that your audience was knocked out too. Then, as you’re shaking hands, one of the execs “compliments” you by saying they were amazed by your intelligence because given your ethnicity, it had predestined you to a life of mediocrity. That’s exactly what happened to today’s podcast guest, Cecile Munoz! I was stunned when she shared that story with me. But, in a certain sense, I wasn’t. Anyone who’s been in financial services a couple decades is far too familiar with incidents like that. Too many pockets of our industry were boys’ clubs, and usually, the higher up the ladder you got, the whiter and more male the organization looked. Thanks to executives like Cecile, that’s finally changing in a meaningful way. On today’s episode, Cecile talks about how her experiences as a Hispanic woman inspired her to create an executive search company that’s helping advisory firms redefine what leadership looks like, especially post-pandemic.

Is the key to growing your business narrowing your niche? I know that sounds contradictory. And I know many advisors worry about the “Million-Dollar Prospect” who swipes past your firm because she's a pediatrician and you specialize in orthodontists. But if you're one of 10 advisors in town that offer the same services, you have a 10% chance of winning a prospect. If your specialization, your marketing, and your values set you apart, then prospects who are drawn to your firm have a binary choice: you versus everyone else. Your 10% chance just skyrocketed to 50%! My guest today, Samuel Deane, started with a pretty narrow niche: comprehensive planning for millennials working in tech. Then, Samuel zeroed in on a niche within his niche where Deane Financial Partners could establish a real competitive advantage and make a positive impact on communities across the country.