Wealth Clarity Blog

In my last post I talked about the young millionaires, many 35 and younger, and the hidden risks of not seeking financial advice; opting instead for a do-it-yourself approach.  To the credit of this budding wealth creator crowd, the financial services industry has been big, slow, and expensive to work with, and as the next generation of wealth creators, you are demanding something better.

If this is you, then what are the telltale signs of financial advice that can add value to your life AND be worth paying for?

Here’s your grading guide:

1. Access to information about subjects you care about and that can be consumed easily and quickly.  This would mean electronic newsletters, blogs, videos that address areas of need and that are in short bit sized nuggets.  The ability to create thought leadership that is timely and interesting.
2. Information that is focused on you.  Valuable opinions and information about subjects that can improve your life instead of how important and successful the advisor or investment company is.
3. Interested in finding and interacting in the places you like to be, when you want to.  This would suggest communicating with you in ways you enjoy, whether that be through twitter, email, Skype, and questions and comments via blogs.
4. Transparent communication.  Do you really understand what they do, who they are, and why it matters?  If value isn’t communicated effectively then I would argue it isn’t present.
5. Value that can be experienced in every interaction.  A clear willingness to help you get where you need to go, and not only if you buy something or sign a contract. If this happens, and you see tangible progress towards your goals, the cost will become less and less relevant. Continue Reading »

Young wealth creators (Gen X and Y), many in the social media industry, are opting for more self-directed financial advice than previous generations did.

A recent survey done by Spectrem Group, the Chicago based research firm that focuses on the affluent and retirement markets, found that millionaires ages 45 and less were not as interested in seeking the advice of financial advisors, and felt it was too expensive; the younger the age (especially the group under 35) the stronger the belief.

While this is concerning for the investment business as a whole, I believe it’s equally as dangerous for the young wealth creators and here’s why: Continue Reading »

Have you noticed the growing number of billionaires who are publicly announcing their intention to give away most, if not all, of their wealth during their lifetime?  Bill Gates, Warren Buffett, and the most recent addition Mark Zuckerberg, founder of Facebook and the notorious and vaguely fictional character in the movie Social Network, along with 50 other donors who have signed what is being called the Giving Pledge.

Loosely stated, the Giving Pledge is the idea is to put their names on a document pledging to give the majority of their money to charity instead of to heirs, where it’s many times wasted, according to an article in The Daily Nation.

What I found most interesting in this new trend is that it makes just as much sense for the super wealthy as it does for wealth creators and high net worth individuals even though your asset base doesn’t include quite as many zeros.  At first I thought:  well this is easy for the super rich to do because they have gobs of money.  Not so fast.  In reality it’s likely harder emotionally the more money you have.  Continue Reading »

Didn’t January just scream by?  If this is what an economic recession feels like then I believe we need to review definitions.  In that vein, and if you are like me at all, the goal setting process is intellectually important but can get pushed to something I’ll get to next weekend—kind of like my honey do list.

Last year I introduced an easier way to put a few proverbial stakes—translated means goals or intentions—into the ground without the traditional baggage associated with the goal setting process.  Most goal setting that I have experienced can become one more thing to get accomplished; and like gravity; can fall to end of the list. Continue Reading »