While at the Finovate Fall 2016 conference, RightCapital announced the release of its enhanced financial planning platform with capabilities to help advisors comply with the new DOL fiduciary regulation. With RightCapital’s latest enhancements, advisors can use an automated information collection process to meet DOL discovery requirements. The easy-to-use financial planning solution handles annuities, Social Security optimization and tax-efficient drawdown strategies, providing advisors one planning solution with which to create a holistic view of a client’s retirement plan.
AUTOMATED CLIENT INFORMATION COLLECTION PROCESS MEETS NEW DOL DISCOVERY REQUIREMENT
“It is critically important for advisors acting as a fiduciary to understand their client by obtaining and documenting vital client information,” said RightCapital CEO and co-founder Shuang Chen. “RightCapital’s automated client information collection process makes it easy for advisors to satisfy this requirement. Clients follow a guided step-by-step process to complete the information collection process and all data is automatically stored in the system, ready to be used to create a holistic financial plan,” said Chen.
COMPREHENSIVE PLANNING SUPPORTS FIDUCIARY STANCE
With the enhancements RightCapital launched today, the financial planning solution includes innovative planning capabilities that address retirement income, annuities, Social Security optimization and tax-efficient drawdown strategies.
The newly added annuity module enables advisors to illustrate and quantify the impact of income annuities, fixed annuities, indexed annuities and variable annuities. In addition, annuity lifetime withdrawal benefits are taken into account in the context of holistic planning and are seamlessly integrated with client goals, Social Security, and other sources of retirement income.
Social Security optimization is automated and fully integrated with retirement planning.
RightCapital’s innovative tax-efficient distribution module has been further enhanced and now takes into account annuities, Social Security benefits and all other sources of retirement income. Now, RightCapital solves for a tax-optimized income drawdown strategy that allows clients to understand which retirement account to tap first to minimize income tax liability.
“There are independent solutions that provide annuity analysis, Social Security optimization and tax-efficient income drawdown strategies, but only RightCapital offers financial advisors one go-to place to help clients meet their financial goals and enable advisors to apply the fiduciary standard at the same time,” Chen said.
EASE-OF-USE AND MINIMUM TRAINING ARE KEYS TO THE ADOPTION OF FINANCIAL PLANNING
Fully adopting financial planning into advisor business processes is not easy and takes time, particularly for advisors and firms that have not been doing financial planning in the past. The training time and cost to implement financial planning can be prohibitive for advisors and firms. The key for the firm is to adopt an intuitive and easy-to-use solution that delivers real value to clients without demanding burdensome advisor training.
“The average time that it takes an advisor to create a financial plan could be as much as 6 to 8 hours with older financial planning systems. It can take up to six months to get comfortable using this older, complex financial planning technology. We created an intuitive and easy-to-use solution that takes 30 to 60 minutes for an advisor to create a plan with minimum training,” said Chen.
COST EFFECTIVE APPROACH TO MEET DOL REQUIREMENT
“At the end of the day, an advisor’s ability to run a successful and profitable business often depends on their ability to be cost-effective – and finding technology that is comprehensive but intuitive and easy to use. Our financial planning tool marries ease-of-use with robust capabilities. RightCapital is a powerful tool for advisors who are looking to quickly ramp up their business, or streamline an existing business in a post DOL world,” said Chen.
ABOUT RIGHTCAPITAL, INC.
After 15 years working with financial advisors, RightCapital co-founders Shuang Chen, CFA® and Song Chen recognized how complex many of the industry’s leading financial planning software systems had become. Founded in 2015, RightCapital is next generation financial planning software designed to help advisors simplify the financial planning experience for their clients. RightCapital offers an elegant, modern look and feel interactive, easy-to-use tools that can be shared by advisors and clients, and a rigorous and robust calculation engine that generates accurate results quickly. For more information visit www.RightCapital.com.