...Typical Business Plan for a Financial Advisor A.) Executive Summary: The role of the wealth manager is not to simply sell a financial product to a prospect. Instead, a wealth manager’s first concern is developing a comprehensive understanding of the client, a client-centric approach to providing financial solutions. Next the wealth manager must match the right solutions to the client’s needs and desires and ensure he or she receives an exceptional service experience. After that, product and service sales opportunities will naturally follow. Making the transition is clearly a trade-off between short-term results and long-term success. Financial security through goals-based wealth management. As a wealth manager with Merrill Lynch, the emphasis would be on marketing and looking for ways to help clients with a broad array of financial capabilities. The objective is to help clients achieve their goals and dreams, whether it’s living in luxury, providing charitable contributions and/or leaving a legacy for family and friends; consult and advise clients how to best save and structure their investments to reach their goals. 1. What would your specific goals be for new assets under management? a. Year 1 – 10 Million of Assets Under Management ( 10 qualified contacts per day, 1-2 new accounts per week ). b. Year 2 – 20 Million of Assets Under Management ( 20 qualified contacts per day, 2-3 new accounts per week ). c. Year 3 – 30 Million of Assets Under Management ( 30 qualified...
Words: 5146 - Pages: 21
...number of other business disciplines. It is important that we understand why a finance major needs these other skills and abilities. Let's take them one at a time: 1. Economics provides the theory that finance uses. The field of finance is a very new discipline, beginning formally around 1920. Before that, financial problems were referred to as "economic problems" or (even earlier) "problems in political economy." During the 1920s, finance broke away from economics and became a discipline of its own. Think of finance today as being applied economics. In other words, economics provides the theory; finance takes that theory and applies it to real world situations. 2. Accounting is sometimes called "the language of business" and it is certainly true that it is a language that finance practitioners need to be familiar with. Finance majors work with numbers generated by the accounting profession: income statements, balance sheets, cash flow statements, etc. Although finance practitioners don't need to know the intricate details of how these numbers were determined, they do need to know enough accounting to properly use these numbers in an analysis of financial problems. 3. Management provides the communication and organizational skills that all finance personnel need. Finance practitioners spend most of their day interacting with other people, so the ability to work effectively with others is crucial. 4. Marketing skills are increasingly important to finance...
Words: 2026 - Pages: 9
... | | |Marital Status: Single | | |Health: Excellent | | |Languages: Afrikaans & English | |tertiary Education | | |June 2007 University of Cape Town | |Completed |B.Com – Honours in Financial Analysis & Portfolio Management | | |Accounting | | |Economics...
Words: 885 - Pages: 4
...purpose of this proposal is to outline Mr. Tom Ho's financial status and standing in order to create a financial plan capable of achieving Mr. Tom Ho's life and financial goals. This proposal will address the action plans from several key and fundamental financial aspects, namely, insurance and risk management, savings and investments, education planning, retirement and estate planning and also, tax planning. The action plans and recommendations shall act as a guide in assisting Mr. Tom Ho to achieve sufficient financial protection, lower tax burdens, increased investment (passive) income, good retirement planning and also proper estate planning. The financial plan outlines all the financial planning and strategies that are designed and developed to: • Help to set aside an emergency fund preparing the client for unfortunate events and mishaps. • Provide client with budgeting plan and cash flows planning to support client and family's current lifestyle. • Help client in accumulating sufficient retirement funds to support him and his spouse's retirement lifestyle and needs. • Establish a profitable investment portfolio with balanced assets allocation according to client's risk profile and prospect analysis report. • Assist client in reducing client's tax burden by utilizing tax reliefs and other tax savings methods and strategies. • Distribute client's wealth by using appropriate estate planning tools and strategies when client departs. ...
Words: 5931 - Pages: 24
...Newport Investment Ciba-Geigy Agenda • • • • • • • Pigments Division within Ciba-Geigy‘s Portfolio Pigment Division Pigment Market Overview Newport Plant $140 m Newport investment Conclusion (Reflection about Portfolio Planning) 2 22.02.2015 Pigments Division within Ciba-Geigy‘s Portfolio • Founded in the mid 18th century • 14 divisions and 33 strategic business units Ciba-Geigy 5 Categories Pillar Growth Core Development Niche Texitle Dyestuffs Chemicals Pigments Polymers Mettler-Toledo • High margin product • Much in common with Pillar Key source of profit and cash for the group HighPerformance Pigments (HPP) Classical Pigments Dispersions Quinacridone DPP 22.02.2015 3 Pigment Division • Market for Pigments: Colouring agents e.g. printing ink and automobile paint (HPP) • Ciba worldwide leader in organic pigments and clear no 1 in HPPs • According to Ciba‘s portfolio planning guidlines responsible for SFr. 50M p.a. cash flow, 10% RONA 22.02.2015 4 Pigment Market Overview • • • • • • Total market 6 bn – 20% marketshare 2-3% annual growth rate Relative market share of 1.0 Very profitable products (esp. DPP) Competitors: BASF, HOECHST, DAINIPPON Principal markets: – North America => US approx. 40% of Ciba‘s total HPP Sales (50% DPP) – Japan Long-term markets: – Europe – North America – Far East • 22.02.2015 5 Newport Plant • Importance of Newport Plant for Pigment business ...
Words: 593 - Pages: 3
...studied how people should and actually do make investment decisions. Theorists have produced optimization models that capture important features of reality, such as changing investment opportunities, unpredictable labor income, habit formation, and transaction costs. And at the same time, scientific studies of actual financial behavior have revealed that people consistently make certain mistakes because of lack of knowledge, faulty logic, cognitive dissonance, and biased statistics. The new science of finance has had a profound impact on the practice of institutional risk management.1 Sophisticated enterprisewide risk-management systems are widely used today by financial service firms and a growing number of nonfinancial companies (DeLoach 2000). In comparison, applications of this new science to the important life-cycle issues households face have been limited. Online financial planning “ tools” “ and optimizers” far behind the best lag theory. Contemporary theory uses multiperiod hedging techniques and contingent-claims analysis, but the quantitative models routinely used by professional financial planners appear to be ad hoc blends of trial-and-error Monte Carlo forecasting and Markowitz’static mean– s 2 variance model of efficient portfolio diversification. The aim of this article is to suggest ways to align the practice of life-cycle investing with the latest scientific knowledge. Among the important insights of modern financial science are the following: A person’welfare...
Words: 4070 - Pages: 17
... Financial Planning Report Private & Confidential Financial Planning Report Private & Confidential Table of Contents Current Financial Situation 2 Discovery 2 Financial Planning Goals 2 Assumptions 3 Assets assumptions 3 Liability assumptions 3 Timing to reach Goals 4 Personal questions 4 Tolerance for risk 4 Ethical issues to advise: Mr & Mrs Peters 5 Tax Computation - Frank 5 Net Worth Statements 6 Cash Flow Statement 10 Advice and recommendations 10 Retirement Planning – Lauren Crossley 10 SIPP Calculator 11 Claim back even more via your tax return 12 Investment Portfolio at a glance - Laura Darcy 13 Portfolio Analysis and recommendations 13 Educational Funding for University- Keenan Shaw 14 Estate Planning 14 Analysis of the death of the client 15 Financial Analysis 16 Appendix 16 References 18 Current Financial Situation This confidential report was created for the use of Mr & Mrs Peters use only. Each section is designed to give a comprehensive understanding of the financial circumstances and also includes forecasting for the future. The report reflects your current financial position and where you are likely to stand in the event of disability, death or retirement. There is a legal disclaimer written by our legal team contained in the Appendix (see extract 1) The goal of this wealth management plan is to make the greatest possible use of your present and expected financial resources....
Words: 5356 - Pages: 22
...UNIT-I Unit I: Nature of Financial Management: Meaning – Nature – Objectives – Scope- Functions of Financial Management – Financial forecasting – Financial Planning – Time Value of Money (NP) Nature of Financial Management: Meaning: Financial Management means planning, organizing, directing and controlling the financial activities such as procurement and utilization of funds of the enterprise. It means applying general management principles to financial resources of the enterprise. Nature Scope/Elements 1. Investment decisions includes investment in fixed assets (called as capital budgeting).Investment in current assets are also a part of investment decisions called as working capital decisions. 2. Financial decisions - They relate to the raising of finance from various resources which will depend upon decision on type of source, period of financing, cost of financing and the returns thereby. 3. Dividend decision - The finance manager has to take decision with regards to the net profit distribution. Net profits are generally divided into two: a. Dividend for shareholders- Dividend and the rate of it has to be decided. b. Retained profits- Amount of retained profits has to be finalized which will depend upon expansion and diversification plans of the enterprise. Get MBA study materials, articles, order business templates and stock market updates from or http://www.easymbaguide.in/ or www.easymbaguide.jimdo.com or www.easymbaguide.blogspot.com. Give your valuable feedback...
Words: 2661 - Pages: 11
...Business Financing and the Capital Structure Joelann Rousell Principles of Finance May 31, 2015 Financial planning involves decisions related to finance, financial requirements of the company. Financial manager has to determine the needs of the funds and available sources for those funds. Financial planning is deciding in advance the funds required for future actions. There are several steps involved in the process of financial planning. These steps are described as follows:- 1. Estimation of fund requirement:-Amount of capital required is determined at this step and in determining the capital need projected statement has to be drawn. Capital is of fixed and fluctuating nature and we need both fixed as well as fluctuating capital to run business. Fixed capital is required for fixed assets, investment in intangible assets and fluctuating capital is required to maintain stock and inventory of the company which is required to carry on operating activities. 2. Determining the sources of funds available:-To finance the above requirement what sources are available with the company has to be determined. Various sources are available like bank loans, raising money through shares, securities, or debt and equity. 3. Choosing the best source of finance:-There are various sources available to the company but according the paying capacity and nature of the company we have to choose the available source. 4. Forecasting the availability of funds or company’s earning capacity:-Next...
Words: 1501 - Pages: 7
...Financial Planning Project: • Project is worth 15 points, or 15% of your grade • Due via email or Blackboard by 12/9 at 11:55pm • Report format must be Microsoft Word document, with .doc • Late submissions will lose .5 points per day late • Report should be 3 to 5 pages, no longer than that please You have a hypothetical $1 million portfolio of your own which you will use as the basis to create a financial plan for your future. Using the information contained in Chapter 14 of the textbook, Managing Portfolios: The Practice, you will use the Nine-Step Investment Process to create your own personal investment plan. Details of the Nine-Step Investment Process are found beginning on p. 14.3, and they include the following: The Nine-Step Investment Process 1. Develop an understanding of the client’s goals (your goals) 2. Identify a target rate of return 3. Agree on a time horizon 4. Determine the client’s tolerance for and capacity for risk 5. Define the asset classes 6. Determine an appropriate asset allocation 7. Create the IPS 8. Select the investments themselves 9. Monitor and adjust as needed Instead of planning for a client, you are planning for yourself and your own personal goals, assuming you have just received $1 million today. In doing so, you should consider your own investment horizon and specific life situation, as well as the current condition of the global markets. Your report must contain a narrative section for each of the 9 steps of the...
Words: 481 - Pages: 2
...INTRODUCTION The Investment Portfolio should be managed in a manner which is consistent with the philosophy of the Investor and reflects the unique purpose for the Investment Portfolio. This IPS is the governance instrument for the investment of those funds entrusted to the Investor. The basic tenets under which the portfolios will be managed include the following: (1) Modern Portfolio Theory, as recognized by the 1990 Nobel Prize, Harry Markowitz, will be the primary influence on the portfolio structure and subsequent decisions. The underlying concepts of Modern Portfolio Theory include: Investors are risk averse. The only acceptable risk is that which is adequately compensated for by potential portfolio returns. The portfolio as a whole is more important than an individual security. The appropriate allocation of capital among asset classes (stocks, bonds, cash, etc.) will have more influence on long-term portfolio results than the selection of individual securities. Investing for the long-term becomes critical to investment success because it allows the long-term characteristics of the asset classes to surface. For every risk level, there exists an optimal combination of asset classes that will maximize returns. A diverse set of asset classes will be selected to help minimize risk. The proportionality of the mix of asset classes will determine the long-term risk and return characteristics of the portfolio as a whole. Portfolio risk can be decreased by increasing diversification...
Words: 1859 - Pages: 8
...Kyle Stocker FIN-421 4/7/2014 Rudy Wong: Investment Advisor Rudy Wong, an investment advisor at O’Hagan Securities was in a predicament that caught him in the middle of his clients and the stock market crash of September 2008. In the United States, the Dow Jones Industrial Average had stooped to its lowest level as well as the Toronto Stock Exchange since 2003. This financial crisis led four of Wong’s clients to request urgent meetings regarding their assets and investments. All four were of different gender, age and particular needs which left Wong concerned that they all hold a risk of losing everything. He had to decide the best way to reassure all of his clients by communicating logical arguments based on their portfolios and his expertise, managing their emotions and attempting to re-establish their faith in the market despite its current situation. Wong knew that the outcome of his decisions had a great impact on his professional credibility and the interests of his clients who entrusted their life savings to Wong and O’Hagan Securities. As an investment advisor, it is Wong’s duty to help clients to optimize the allocation of their financial assets that meet the client’s particular needs. He does so by taking into account each clients financial resources and constraints as well as their short and long term goals. They are considered all purpose financial counselors who show the client how they can save money on mortgage payments, their child’s college fund, the...
Words: 1675 - Pages: 7
...to 11. 3. Conclusion………………...page 12. 4. Recommendations ………..page 12. 5. Reference………………….page 13. The objectives of this report are to how much we understand that big company’s activities, analysis organisations, and accomplishment of the goals. This report examines Guinness Peat Group plc (GPG)’s activities such as planning for organisation, controlling, structure, and delegation etc. Guinness Peat Group (GPG) is an investment holding company that focuses on various sectors including financial services, textiles, food processing, motor vehicle distribution, building services, property development, and food and produce distribution. About half of its holdings are in Australia and New Zealand, with the rest in Asia, Europe, and the US. Portfolio companies include UK-based thread manufacturer Coats Holdings, New Zealand produce wholesaler Turners & Growers, and residential property developer CIC Australia. In the end of 2010, total number of employees was 23,386, revenue was $2,089.3M, and net profit came to $70.7M. It was requested by Jimmy 1. Explain the importance of planning for this organisation. Planning involves setting the organisation’s goals, establishing a strategy for achieving these goals, and developing a comprehensive set of plans to integrate and coordinate organisational work. According to annual report 2010, GPG (Guinness Peat Group...
Words: 2659 - Pages: 11
...Institute of Technology, 800 West Peachtree St., NW, Atlanta, GA 30332-0520, United States Available online 23 March 2006 a Abstract This paper documents the effect of investments in Enterprise Resource Planning (ERP), Supply Chain Management (SCM), and Customer Relationship Management (CRM) systems on a firm’s long-term stock price performance and profitability measures such as return on assets and return on sales. The results are based on a sample of 186 announcements of ERP implementations, 140 SCM implementations, and 80 CRM implementations. Our analysis of the financial benefits of these implementations yields mixed results. In the case of ERP systems, we observe some evidence of improvements in profitability but not in stock returns. The results for improvements in profitability are stronger in the case of early adopters of ERP systems. On average, adopters of SCM system experience positive stock returns as well as improvements in profitability. There is no evidence of improvements in stock returns or profitability for firms that have invested in CRM. Although our results are not uniformly positive across the different enterprise systems (ES), they are encouraging in the sense that despite the high implementation costs, we do not find persistent evidence of negative performance associated with ES investments. This should help alleviate the concerns that some have expressed about the viability of ES given the highly publicized implementation problems at some firms. # 2006 Elsevier...
Words: 13588 - Pages: 55
...ensuring one’s financial well being. Mutual Funds have not only contributed to the India growth story but have also helped families tap into the success of Indian Industry. As information and awareness is rising more and more people are enjoying the benefits of investing in mutual funds. The main reason the number of retail mutual fund investors remains small is that nine in ten people with incomes in India do not know that mutual funds exist. But once people are aware of mutual fund investment opportunities, the number who decide to invest in mutual funds increases to as many as one in five people. The trick for converting a person with no knowledge of mutual funds to a new Mutual Fund customer is to understand which of the potential investors are more likely to buy mutual funds and to use the right arguments in the sales process that customers will accept as important and relevant to their decision. This Project gave me a great learning experience and at the same time it gave me enough scope to implement my analytical ability. The analysis and advice presented in this Project Report is based on market research on the saving and investment practices of the investors and preferences of the investors for investment in Mutual Funds. This Report will help to know about the investors’ Preferences in Mutual Fund means Are they prefer any particular Asset Management Company (AMC), which type of Product they prefer, Which Option (Growth or Dividend) they prefer or Which Investment Strategy...
Words: 18964 - Pages: 76
