What to Expect During the Financial Planning Process
Get Acquainted Meeting
- Ask each other questions.
- Explore and determine whether a good working relationship can be established.
- Address client expectations.
- Discuss investment philosophy.
- Review fees.
- Clients to give consideration to financial goals, if proceeding to the next meeting.
Financial Planning Meeting #1
- Bring detailed financial information to this meeting:
- Investment statements.
- Employer retirement plan statements.
- Social Security and pension estimates.
- Insurance policies and/or coverages.
- Information on other assets (i.e., rental properties).
- Loan/debt/mortgage information – terms of loans and dates of origination.
- Review and discuss anticipated client spending/lifestyle (i.e., budget).
- Set financial goals.
- Discuss client risk tolerance – i.e., comfort level with fluctuating investment values.
- Obtain following information for next meeting:
- Legal names, DOB, address.
- Dependent names and DOB.
Financial Planning Meeting #2
- Present financial plan.
- Make corrections, as needed.
- Review action plan for pursuing goals.
- Investments, estate planning, tax strategies and insurance protection.
- Review investment portfolio that supports goals in financial plan.
- Obtain following if moving to plan implementation:
- Social security numbers.
- Obtain beneficiary information to designate on accounts.
- Occupation and employer address.
- Emergency contact information.
Plan Implementation Meeting
- Forms signed to establish accounts and transfer funds.
- Assign duties, if needed (i.e., clients initiating transfers of employer plan retirement benefits).
- Powers of attorney obtained, if any.
- Prospectuses and other regulatory disclosures provided.
“Onboarding”
- Introduction to LPL Financial.
- Welcome letter and instructions provided to client on how to access accounts online.
- Client is granted online access to financial plan.
60-Day “Reinforcement Meeting”
- Set 60 days after plan implementation to review and confirm strategies in financial plan.
- Meeting reinforces the goals set in client financial plan.
- Address concerns and answer client questions.
Client Communication – What To Expect
- Regular client meetings – usually every six months.
- Client events – generally 4-8 per year (seminars and social events).
- Newsletters – typically 2-4 per year.
- Emails addressing market conditions – if stock prices drop 10 to 20 percent.
- Phone calls addressing market conditions – if stock prices drop more than 20 percent.