New marketing rules that removed SEC shackles a few years ago came as a sea change for financial advisors. Most notably, now they can solicit testimonials and bask in positive online reviews.
But advisors lived in a world of strict SEC marketing scrutiny for so long,
While compliance will always — and should always — be top of mind, financial advisors who fail to adapt are at serious risk of falling behind. Regulations have changed, but so have the ways advisors show up in Google searches and the ability to personalize marketing through AI.
Below are some of Financial Planning's latest marketing stories that lay out how advisors can best connect with and foster prospects, avoid running afoul of the SEC, properly use AI for marketing and much more.
Marketing funnels done right
The best marketing funnels convert prospects into clients because they go beyond generating leads. They create systems for converting the right prospects into clients.
These funnels are specific, contain multiple touchpoints and nurture prospect relationships.
Effective marketing is key to organic growth
Firms can often peg growth to rising AUM totals. But when much of that comes from M&A activity, that growth proves costly.
However, a recent study showed that the RIAs that are spending on marketing are achieving stronger organic growth. They're going beyond referrals, employing dedicated marketing professionals and differentiating content, among other practices.
Is anyone even seeing your marketing?
The rules have changed — and they're continuing to change. The search engine optimization that helped prospects find advisor websites a couple years ago isn't working anymore.
Today, advisors have to optimize their authority. That includes having more robust and informative websites, strong social media presences and an ability to show up in AI searches. At our
Don't fall into this AI marketing trap
While AI is perfectly suited to help advisors develop marketing strategies and outreach materials, 87% of consumers say the best advertising still needs a human touch. Without some care, AI-generated marketing can come off as inauthentic.
The key is balance — and ensuring that your AI-supported marketing connects with clients and prospects.
Stay on the right side of the SEC
More than five years after the SEC rolled out its updated marketing rule, regulators are making one thing clear: It's no longer enough to simply have policies in place. Firms are increasingly expected to demonstrate that they are actively following them.
A December risk alert from the SEC's Division of Examinations highlights where many advisors still fall short, particularly when it comes to testimonials, endorsements and third-party ratings.
Using LinkedIn to develop hot prospects
Andy Leung is looking for a very specific clientele — former Marines and graduates of the U.S. Naval Academy. And once he finds them, he tends to connect well since he is both of those things himself.
Using LinkedIn searches, Leung is able to discover close connections who fit those criteria. From there, he's created messaging and message frequency protocols that have helped him build a successful niche.
