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Advisors
Register now to manage accounts, create MAx Models and get access to our Knowledge Bank.

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Create Account to manage your assets on the Jefferson National Account Management website.

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Advisors
Register now to manage accounts, create MAx Models and get access to our Knowledge Bank.

Account Holders
Create Account to manage your assets on the Jefferson National Account Management website.

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Advisors
Register now to manage accounts, create MAx Models and get access to our Knowledge Bank.

Account Holders
Create Account to manage your assets on the Jefferson National Account Management website.

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May 03, 2016

Financial Planning: IBDs Change Tune on Digital Advice Ahead of Fiduciary Rule

 

Jefferson National’s was featured in the recent article “Fiduciary Rule Impact on IBDs: Accepting Digital Advice” published by Financial Planning. The article examines the challenge that many independent broker-dealers may face as a result of the DOL fiduciary rule—namely servicing smaller clients and staying ahead of investor trends and regulation.

The article quotes several industry experts, including our CEO Mitch Caplan, who explains, "Unless these incumbent firms change the way they do business, these smaller accounts will end up going to fee-based advisors and fee-only RIAs — many of whom are using digital advice — and many of these smaller accounts could end up going directly to robos.”

Citing the results of last year’s Advisor Authority Study, Mr. Caplan points out "We found that the most successful advisors — those who earn more and manage more AUM — are twice as likely to adopt technology and be early adopters of robo solutions.”

Mr. Caplan concludes, “Over time, more firms and more advisors at all levels will join the ranks of these early adopters and will incorporate robo solutions as a part of their practice.  The ones who do so understand that digital advice is not the competition — it’s an ally and a partner to help you build a more successful practice. The ones who don’t won’t be in business in five years."

Read more on the challenges the DOL fiduciary rule may bring, here