Here are some answers to frequently asked questions concerning Fluent Financial and our services.
Q. WHO IS FLUENT FINANCIAL?
A. Fluent Financial is an award-winning Dallas-based wealth management firm that offers in house portfolio design and risk management along with the latest tax management strategies. With more than 30 years of combined business, tax, and financial planning experience and a 99.2% annual client retention rate, Fluent Financial helps clients work to accelerate their financial independence.
Q. WHO IS YOUR TYPICAL CLIENT?
A. Fluent Financial has a wide range of clientele nationwide that includes successful business owners, executives, professionals, family estates and high net worth individuals.
Q. WHAT IS A CERTIFIED FINANCIAL PLANNER® AND WHY IS IT IMPORTANT?
A. CERTIFIED FINANCIAL PLANNER® Practitioners maintain the highest designation and standard of recognized excellence in the financial planning industry. Every CERTIFIED FINANCIAL PLANNER® Practioner must take and dutifully honor an oath to honor the highest industry ethics and is responsible to always do what is in the best interest of the client. For more information, please visit www.cfp.net.
Q. WHO IS LPL FINANCIAL?
A. LPL Financial is one of the leading financial services companies and the largest independent broker/dealer in the nation*. For more than four decades, the firm has served as a partner, supporting financial advisors in their goals of protecting and growing their clients’ wealth. A chief objective of LPL Financial is to reduce the complexity of running a financial services practice so advisors can focus on what they do best — help their clients attain their financial goals and fulfill their dreams. LPL Financial understands that providing Americans with unbiased investment advice is critical to their financial security. Because they offer no proprietary products, LPL Financial advisors can provide truly unbiased, conflict-free advice and investment recommendations. For more information about LPL Financial, visit www.lpl.com.* AS REPORTED IN FINANCIAL PLANNING MAGAZINE 1996-2014, BASED ON TOTAL REVENUES.
Q. HOW DO YOU PREVENT CONFLICT OF INTEREST?
A. At Fluent Financial we believe our client’s interests come first. Therefore, we chose to partner with LPL Financial in order to offer truly objective, conflict-free advice. We offer no proprietary products or services but have access to financial solutions from hundreds of vendors across the industry. And because Fluent Financial is a fee-based firm, our fees are clear and transparent to our clients. We do not make money by selling investments—but rather by a clear and concise fee each year to manage your portfolio.
Q. HOW DOES THE FEE STRUCTURE WORK?
A. Fluent Financial is a fee-based wealth management firm. Unlike commission-based firms, which charge a commission on the sale of different products, a fee-based structure charges a fee for the overall management of your assets. Some transaction charges may apply but will be fully disclosed if necessary.
Q. WHAT KIND OF PROTECTION DOES MY ACCOUNT HAVE?
A. The LPL Financial SIPC Membership provides account protection up to a maximum of $500,000 per customer, of which $250,000 may be claims for cash. An explanatory brochure is available at www.sipc.org. Additionally, through London Insurers, LPL Financial accounts have additional securities protection to cover the net equity of customer accounts up to an overall aggregate firm limit of $575,000,000 subject to conditions and limitations. The account protection applies when an SIPC member firm fails financial and is unable to meet obligations to securities clients, but it does not protect against losses from the rise and fall in the market value of investments.
Q. FIRST MEETING: WHAT CAN I EXPECT?
A. Many investors don’t know what to expect when scheduling a first meeting with a new financial planner. At your first meeting with Fluent Financial, we’ll spend a lot of time getting to know you. We want to take a 360 degree view of your world to determine what is important to you and what you value in life. Additionally we want to understand your past, present and future situation in order to develop a financial strategy that is truly tailored for you. Our goal is to help you gain an understanding of financial independence and how to get there. To get started, call or email our office today to schedule your free consultation.
Q. WHAT DOES THE CFA DESIGNATION MEAN?
A. The Chartered Financial Analyst (CFA) Program is a professional credential offered by the CFA Institute to investment and financial professionals. A candidate who successfully completes the program becomes a “CFA charterholder”. The CFA exams are widely considered to be extremely difficult, with pass rates usually below 50% for all three levels. It covers a broad range of topics relating to investment management, financial analysis, stocks, bonds and derivatives, and provides a generalist knowledge of other areas of finance.
Chris Scott, of Fluent Financial, has earned the right to use the CFA designation, which illustrates he is trained to lead the investment profession globally by promoting the highest standards of ethics, education, and professional excellence for the ultimate benefit of society.
Q. WHAT IS YOUR CLIENT RETENTION RATE?
A. Our annual client retention rate is 99.2%, far above the industry average which was 90% in 2013*.
Q. HOW DOES FLUENT FINANCIAL SELECT INVESTMENTS?
A. With 30 years of combined investment and financial planning experience, we have helped many clients gain insight and understanding when it comes to our investment selection techniques. Because of its recognized leadership in independent research, we utilize LPL Financial`s research department. Other research methods we use, but are not limited to, are Standard and Poor’s, Morningstar, Credit Suisse and many other top-rated subscriptions for the latest on investment selection strategy. Our expertise in preparing income statements, cash flow and balance sheets for public companies in the past allows us to successfully navigate the myriad of traditional and alternative investment choices for our clients.
*As reported in PriceMetrix’ 4th annual The State of Retail Wealth Management report.