PlanPlus announced today at the T3 Enterprise conference the launch of miPlan+ – a Generation III white-labeled Robo advisor that fully integrates current financial services industry best practices. An innovative provider of financial and investment planning software currently used in 30 countries around the world, PlanPlus President and CEO Shawn Brayman said from the stage that he is proud to be partnering in this endeavour with FinaMetrica, an acknowledged leader in the field of psychometric risk profiling.
According to Brayman, PlanPlus has been carefully monitoring trends in the Robo space for some time, and has identified shortcomings of the existing offerings which, when properly addressed, will produce an online advisory platform that delivers significant benefits to both individual investors and the financial institutions serving them, while at the same time dealing with the valid concerns expressed by regulators about this market segment.
“We are uncomfortable with the perfunctory ways in which the discovery process is typically handled by current Robo platforms, as well as the marginalization of the risk capacity discussion and the fact that the results of plans aren’t tracked over time” said Brayman. “We believe that all investors – including Robo investors – deserve to have a plan that specifies the actions they need to take to reach their goals, a recommendation for a best-fit portfolio selected as the outcome of a robust profiling exercise and to have their results monitored on an ongoing basis. This belief is the driving force behind the creation of miPlan+.“
DEFENSIBLE AND COMPLIANT
Brayman said that miPlan+ was designed to be the most researched, comprehensive, defensible and compliant online advice platform in the world today. Its planning engine compares advantageously with the best tools currently available to “flesh and blood” advisors. Its projections use graduated tax rates and incorporate government benefits, lump sums, tax-deferred plans and off-book assets. Its profiling process is built around an algorithm that integrates risk tolerance, financial knowledge and experience, risk need, risk capacity and investing composure. “Off-ramps” identify prospects who should not be using an online advisory solution and redirect them to appropriate channels. “Financial behavior” is tracked and compared to plan projections in order to gently nudge those who drift off course by not respecting their savings targets, or identify other forms of remedial action that might be required. miPlan+ is also designed to be a true multi-currency, multi-jurisdiction and multi-language platform.
“Our goal is that when investors agree to purchase the portfolios recommended to them by miPlan+, they are giving truly informed consent with a full understanding of the potential consequences and all the alternatives,” said Paul Resnik, FinaMetrica Co-Founder and Director. “miPlan+ gives financial institutions looking to enter the online advice market the comfort that comes from knowing that choosing a platform built around industry best practices and designed by experts with a proven track record of academic and industry expertise will greatly lower their business and reputational risk”.
SEAMLESS DROPIN APPLICATION
miPlan+ was also conceived and designed to be a seamless “drop-in” application for firms that already have asset management and execution platforms, and who are looking for a quick way to enter the B2C marketplace, or enhance their current advisor-led planning offerings. APIs transfer the necessary information between miPlan+ and the sponsoring firm’s book of records in such a way that client data is only gathered once, but remains accessible from wherever it is needed. From a technology perspective, miPlan+ is a Java calculation library already in production, with an HTML5 user interface that can be replaced or modified by the sponsoring financial institution implementing the solution. miPlan+ is scalable and hardened from a security perspective, Brayman said.
ABOUT PLANPLUS, INC.
For the past 25 years PlanPlus Inc. has been providing innovative investment and financial planning software and training to financial institutions, professional advisors and the general public. PlanPlus Planit has become a global industry leader with its multi-currency, multi-language capabilities, and it is currently used in more than 30 countries around the world. For more information, visit www.planplus.com
Advisors rely on FinaMetrica’s award-winning risk profiling process to help clients stay invested and achieve their financial goals by delivering suitable investment advice. Launched in 1998 and proven through market cycles, FinaMetrica is used by thousands of leading advisors around the globe to scientifically assess their clients’ risk tolerance, incorporate those into the financial planning process and frame expectations more realistically. Almost a million FinaMetrica risk tolerance tests have been completed to date. To learn more, visit www.riskprofiling.com