PLANADVISER - January/February 2018 - 38

servicing strategies
Value Added
Helping sponsors see the worth of an adviser's fiduciary services
P
lan sponsors often fail to comprehend
or value their advisers'
fiduciary services, according to
those service providers themselves in
attendance at the 2017 PLANADVISER
National Conference (PANC). Asked if
they think plan sponsors understand
what it means to have their adviser
serve as a fiduciary, 43% of attendees
polled said, " No. " And, asked if they
thought plan sponsors value their
adviser serving as a fiduciary, 54%
responded, " Yes, some do. "
Adviser Edward Chairvolotti, for
one, has trouble getting sponsors to
see the value of his services as a fiduciary.
As CEO of Chairvolotti Financial
Inc. in Winter Park, Florida, he has
been talking to potential new clients
about his firm's fiduciary services
since it started doing 3(21) investment
adviser work eight years ago and 3(38)
investment manager work five years
ago. " I like to say, 'I've been told, 'No,'
more than most,' " he says, referring
to potential sponsor clients who fail
to see the value of hiring his firm as
a fiduciary adviser. " We have more
than 150 401(k) plan clients, but I still
struggle with this every day. "
Chairvolotti does mostly 3(38) work
now and explains to sponsors how this
can help reduce their fiduciary liability,
control plan expenses and improve
participant outcomes. But when sponsors
see their participants' balances
growing steadily in a long bull market,
he says, they tend to be complacent
about their fiduciary risk.
Beyond Investment Analytics
An advisory firm talking to potential
new plan sponsor clients can communicate
its value by focusing on how it can
help a sponsor lower its fiduciary risk
more broadly than just by providing
investment analytics, sources say.
Many advisory firms now utilize one of
the same handful of third-party tools
for investment analysis and reporting,
38 | planadviser.com january-february 2018 Art by James Yang

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PLANADVISER - January/February 2018

Table of Contents for the Digital Edition of PLANADVISER - January/February 2018

Big Ideas
2018 PLANADVISER Top 100 Retirement Plan Advisers
2018 PLANADVISER Micro Plan Survey
Value Added
The Magic of Local Events
Warming to ESG
HSAs in Retirement Planning
PLANADVISER - January/February 2018 - Cover1
PLANADVISER - January/February 2018 - Cover2
PLANADVISER - January/February 2018 - 1
PLANADVISER - January/February 2018 - 2
PLANADVISER - January/February 2018 - 3
PLANADVISER - January/February 2018 - 4
PLANADVISER - January/February 2018 - 5
PLANADVISER - January/February 2018 - 6
PLANADVISER - January/February 2018 - 7
PLANADVISER - January/February 2018 - 8
PLANADVISER - January/February 2018 - 9
PLANADVISER - January/February 2018 - 10
PLANADVISER - January/February 2018 - 11
PLANADVISER - January/February 2018 - 12
PLANADVISER - January/February 2018 - 13
PLANADVISER - January/February 2018 - 14
PLANADVISER - January/February 2018 - 15
PLANADVISER - January/February 2018 - 16
PLANADVISER - January/February 2018 - 17
PLANADVISER - January/February 2018 - Big Ideas
PLANADVISER - January/February 2018 - 19
PLANADVISER - January/February 2018 - 20
PLANADVISER - January/February 2018 - 21
PLANADVISER - January/February 2018 - 2018 PLANADVISER Top 100 Retirement Plan Advisers
PLANADVISER - January/February 2018 - 23
PLANADVISER - January/February 2018 - 24
PLANADVISER - January/February 2018 - 25
PLANADVISER - January/February 2018 - 26
PLANADVISER - January/February 2018 - 27
PLANADVISER - January/February 2018 - 28
PLANADVISER - January/February 2018 - 29
PLANADVISER - January/February 2018 - 2018 PLANADVISER Micro Plan Survey
PLANADVISER - January/February 2018 - 31
PLANADVISER - January/February 2018 - 32
PLANADVISER - January/February 2018 - 33
PLANADVISER - January/February 2018 - 34
PLANADVISER - January/February 2018 - 35
PLANADVISER - January/February 2018 - 36
PLANADVISER - January/February 2018 - 37
PLANADVISER - January/February 2018 - Value Added
PLANADVISER - January/February 2018 - 39
PLANADVISER - January/February 2018 - The Magic of Local Events
PLANADVISER - January/February 2018 - 41
PLANADVISER - January/February 2018 - Warming to ESG
PLANADVISER - January/February 2018 - 43
PLANADVISER - January/February 2018 - HSAs in Retirement Planning
PLANADVISER - January/February 2018 - 45
PLANADVISER - January/February 2018 - 46
PLANADVISER - January/February 2018 - 47
PLANADVISER - January/February 2018 - 48
PLANADVISER - January/February 2018 - Cover3
PLANADVISER - January/February 2018 - Cover4
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