Securities America Challenges Advisors to Protect their Practice with Continuity Plans
"Not planning for the unexpected is the biggest risk of lumping continuity planning and succession planning together," said Roger Verboon, director of practice succession and acquisition at Securities America. "Succession planning is a necessity for independent advisors to plan for their own retirement, but continuity will cover them in the time between now and that retirement."
The North American Securities Administrators Association (NASAA) closed its comment period today on proposed model rules requiring state-registered advisors to have continuity and succession plans. One of the key components of the proposal is for advisors to have a qualified person available to service accounts in the event of death or unavailability of key personnel.
In addition to raising awareness, Securities America is providing educational materials, agreement templates, a continuity plan organizer, a video, and other resources to help advisors get a written plan on file. Once advisors complete and file a plan, they will be able to display a Continuity Plan Verified seal, letting current and prospective clients know they have addressed the risk factor to their business.
Continuity is also an element of the dedicated Practice Transition Center Securities America provides its advisors. The Continuity Challenge call to action has seen results. Since 2012 when Securities America first issued the continuity challenge to its advisors, the number of plans on file has more than doubled.
Securities America also introduced the Continuity CafÃ© at their 2014 Connect National Conference, providing advisors a place to interact and network. For advisor Tom Potter of Illinois, the cafÃ© provided an opportunity to meet up with an advisor he had been talking to and, with Verboon's help get a plan on file on the spot.
"Comprehensive practice management solutions go beyond the daily operations of an advisor's practice," said Kirk Hulett, executive vice president and head of strategy and practice management at Securities America. "We believe in providing guidance for advisors in every phase of their practice, and helping them protect that business through continuity planning is one element that cannot be overlooked."
About Securities America
Securities America is one of the nation's largest independent broker-dealers with more than 1,800 independent advisors responsible for $50 billion in client assets.
Securities offered through Securities America, Inc., member FINRA/SIPC.
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