Agency vs Fiduciary: a Financial Advisor, a Prudent Person, a Fiduciary and a Client Walk into a Bar
By Charles McCain

 
 

You’re at the end of a long day, most of which you have spent studying the proposed US Department of Labor Fiduciary rule for retirement accounts. One of your best clients, who has nine million dollars in her IRA Rollover, stops by your office with two friends, a prudent person, and a fiduciary.

"Let’s go and grab a beer," you suggest and everyone follows you to a nearby tavern. "Bartender, four Muddy Delta microbrewery beers." You look around. "Is that OK? I recommend it."

"Whoa, hold on," says the prudent person. "Would you say this brand of beer is the type a reasonably intelligent beer drinker would choose on behalf of someone, keeping in mind the prudent person rule first formulated in the 1830 court decision, Harvard College v. Amory?"


   
 


Introduction of Behavioral Investor Types
By Michael M. Pompian

In the current environment, the number of requests for media interviews related to behavioral finance that I have received has gone up substantially from the less-volatile market we experience in the middle part of this decade. I can only take this to mean that behavioral finance is really taking hold as a discipline that investors and advisors want to know more about and use to their benefit. The good news is that I have developed a system to more easily apply behavioral finance in practice which is based on more than a decade of research. The system is called Behavioral Alpha and begins by classifying investors into behavioral investor types or BITs.


   

 

CANNON ESTATE PLANNING TELECONFERENCE SERIES
Next airs March 22nd - 1pm ET

As an Estate Planner, you must possess a high degree of sensitivity to the needs and concerns of clients regardless of their type of family or the position they may occupy within a family. This is especially true when working with couples in a non-marital relationship, blended families and multiple generations of the same family. Join Estate Planning Attorney, Clary Redd, as he discusses Ethics Issues Arising in Estate Planning for Those in Different Family Contexts.
 
 


 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 

NEW! CANNON WORKSHOPS IN BOSTON
April 25-26, 2016

Further your professional development through our two-day workshops in Boston. You will have the opportunity to attend Financial Advisors Course on Trust, CWS® I & II, and Retirement Plan Services Issues & Updates. Boston will also be your first opportunity to attend Capitalizing on the Insurance Opportunity, Certificate in Applied Behavioral Finance, and Performance Coaching. These workshops will not only enhance your professional skills, but also provide you the potential to earn Continuing Education credits towards your financial services designations.


 
 

CERTIFICATE OF APPLIED BEHAVIORAL FINANCE
New in 2016

Better serve your clients in 2016 with Cannon’s course on Behavioral Finance. Behavioral finance holds that investors are human beings and therefore an investor’s personal beliefs and biases influence their decision making. For the professionals who advise clients with their finances, understanding how these biases work in the decision-making process is critical. Join Cannon in this highly-interactive two-day workshop available in Boston, Chicago and Atlanta.


 
 
 

 
 
 
 
 
 
 
 
 
 
 
 
 

SCHOOLS AT PEPPERDINE UNIVERSITY
May 15–28, 2016

Pepperdine University offers Cannon students the opportunity to further their professional growth on one the United States' most picturesque college campuses. Join us in Malibu, CA to explore the Personal Trust, Securities Operations, Trust, Audit, Compliance and Risk Management, and Retirement Plan Services curriculums.