At the T3 Advisor conference in Garden Grove, Calif., FinMason will launch its new risk tolerance and compliance products for financial professionals. These two new products bring institutional-caliber assessments to compliance professional and advisor fingertips. FinScore ProTM systematically develops a mutually understandable, bright-line agreement on risk from each client and prospect in a quick and uncomplicated way. FinScopeTM provides compliance teams with the ability to screen each client portfolio every night with robust analytics to detect problems before they become problems. Together, the FinScore Pro and FinScope products form a unique synergy that constantly assures all portfolios are in compliance with the client’s explicitly agreed upon risk limits.
Advisors attending the T3 Advisor conference February 15-17, 2017 can visit the FinMason booth to view a demonstration of FinScore Pro and FinScope. On Friday, February 17th, Mark Hollingsworth, FinMason’s Head of Advisor Solutions, will be at the conference leading a conversation titled “De-Risking Your Advisory Practice: Your Future Could Depend on It.”
“Proper risk analytics matter and advisors must choose a solution that is academically rigorous and fully documented so that they are defendable to both clients and, potentially, the courts if need be,” said Kendrick Wakeman, CFA, CEO and founder of FinMason. “We want advisors to be the best possible advocates for their clients and the only way that can be achieved is through full transparency and a collaborative agreement on risk.”
FINSCORE PRO EXAMINES REAL TOLERANCE FOR RISK
FinScore Pro is designed as a simple process that guides a client or prospect to identify their ideal level of risk versus reward, even if they have little or no financial background. Instead of just being assigned an obscure label or number, FinScore Pro allows the client to envision and comprehend the amount of risk they should be taking and why it is potentially beneficial that they take on a certain level of risk. An advisor’s client can then visually validate that a proposed portfolio is in line with their desired risk/reward in a way that they can understand and buy into. It’s all about increasing a client’s understanding of the value of advice instead of having to just rely on the “trust me” approach.
“The flaw in many other risk questionnaires is that they ask many complicated questions, but fail to demonstrate a direct link to a client’s desired risk and reward,” continued Wakeman. “FinScore Pro allows your clients to really understand their risk habitat in a way that brings confidence, not anxiety.”
FINSCOPE ENSURES PORTFOLIO COMPLIANCE
Once a client’s true risk appetite has been established, advisors and compliance officers can turn to the new FinScope product to keep portfolios compliant. The enterprise-wide solution runs daily checks on each individual portfolio and flags the portfolios that need attention. If the portfolio is outside of the client’s risk tolerance, the advisor is prompted to have a conversation with the client and/or take corrective action, if necessary.
“Since fiduciary standards will soon be implemented, it’s important that firms put forth their best efforts,” Wakeman said. “FinScope empowers advisors, giving them more opportunities to have meaningful conversations with their clients at the right times. This creates an immense amount of value for the client and helps to protect both the advisor and the client in the event of adverse market conditions.”
ABOUT FINMASON, INC.
FinMason is a Boston-based financial technology and investment analytics firm dedicated to providing tools that help financial advisors and their clients move forward with confidence. FinMason’s cutting-edge platform analyzes millions of global investments and delivers institutional-grade analytics at scale via three core products: FinRiverTM provides financial technology platforms with robust analytics and proprietary data sets via lightening-fast APIs; FinScore ProTM provides financial advisors with a quick, intuitive and uncomplicated risk assessment tool that systematically develops a mutually understandable, bright-line agreement on risk from each client and prospect; and FinScopeTM provides compliance teams with a way to screen through each client portfolio every night with robust analytics to detect problems before they become problems. For more information, visit www.finmason.com or follow @finmasoninc on Twitter.