Page 10 - Investment Advisor - December 2021

EDITOR’S NOTE

By Janet Levaux

2021 — Looking Back and Ahead

his month’s cover story highlights many of the biggest Columnist and industry consultant Angie Herbers offers
headlines of the past 12 months. In many ways, its lack some thoughtful advice in this month’s installment of “The
Tof pandemic-related news shows how much our situa- Fast Track,” based on a recent poll done by Herbers &
tion has improved recently. Company: “Our survey confirmed that big shifts have indeed
With a new president in Washington, of course, came occurred during the pandemic period. These include changes
leadership appointments and different political priorities, in what consumers want and need from advisors and how they
as well as potential changes in retirement and tax rules. The perceive and value them.”
markets remained robust and experienced lots of activity One-third of respondents want more contact outside of meet-
tied to Bitcoin and other cryptocurrencies. At the same time, ings with their advisors and a similar number want virtual meet-
industry consolidation continued ings. “In other words, they want to
with lots of M&A action involv- Overall, according to Angie talk to a human advisor outside of
ing big financial firms and at the Herbers, the field of financial business hours and when they real-
RIA level. ly need them,” Herbers explains.
In other news, the advice “is shifting from Why? Investors “want and
North American Securities need more time to discuss their
Administrators Association just being mainly about numbers goals and their changing val-
released a report that looks at to being mainly about ues — and a person to hear them
broker-dealer compliance follow- out — whether they act upon
ing implementation of Regulation communication. … That them or not. They want the con-
Best Interest, as Washington certainly will hold true in the versations to be judgment-free.
Bureau Chief Melanie Waddell Also, one in four want to have the
explains this month in “The next year, and it may very well discussions virtually rather than
Playing Field” column. Melanie in the advisor’s office,” she says.
Lubin, NASAA president and be true for the next decade.” Overall, according to Herbers,
Maryland securities commission- the field of financial advice “is
er, said recently on a call with reporters that NASAA’s latest shifting from being mainly about numbers to being mainly
report shows that “while there has been incremental progress about communication. … That certainly will hold true in the
[in Reg BI compliance], broker-dealer firms still are not abiding next year, and it may very well be true for the next decade.”
by the Reg BI rule now in effect.” As we look ahead, the Investment Advisor team wishes you a
State securities regulators, Lubin said, “did not see the tide- happy and healthy holiday season. We all have lots to be grate-
turning reforms they had expected to see in the broker-dealer ful for this year and much to look forward to in 2022, which is
industry” after Reg BI took effect. The 2021 report “reveals poised to be another memorable 12 months.
that while there were some improvements, most firms are
operating in the same manner as they were under the suit-
ability rule, especially when it comes to harmful compensation
conflicts,” she explained.
GROUP EDITOR-IN-CHIEF

8 INVESTMENT ADVISOR DECEMBER 2021 | ThinkAdvisor.com