AAAA NEWS
Unveiling Implicit Bias: The Challenges Faced by Working Mothers in the Corporate World
As a working mother, I have encountered numerous challenges in my professional life. The assumption that mothers should prioritize their children above all else often affects our careers, placing us in a box that we struggle to break free from. However, it is essential to recognize that being a mother does not diminish our capabilities as leaders and professionals. We can excel both in nurturing our families and making significant contributions to the corporate world. This realization became even more apparent to me during a personal moment that I would like to share.
Embracing the Future: AAAA's Pivotal Role in Fostering African American Talent in Wealth Management
The Association of African American Financial Advisors (AAAA) stands at the forefront of a transformative era in wealth management. AAAA's V.I.S.I.O.N. Conference lights the way for Black/African American (B/AA) professionals in wealth management. This event is far more than a mere conference; it's a dynamic hub for networking and where talent meets potential.
The annual V.I.S.I.O.N. Conference has become an essential event for B/AA financial professionals. The 2023 conference marked a new high point with over 1000 licensed advisors and representatives from more than 30 firms attending, showcasing its growing significance as a networking epicenter for Black/African Americans in wealth management.
Diversity, Equity Belonging and Inclusion in Wealth Management is on the Rise.
More recently, the conversation around Diversity, Equity, Belonging and Inclusion (D.E.B.I.) has taken a dramatic turn. This shift raises significant concerns and prompts a vital discourse on the importance of D.E.B.I., not only as a moral imperative but also as an economic necessity.
Meaningful Relationships are Built at AAAA's V.I.S.I.O.N. Conferences
The Association of African American Financial Advisors (AAAA) announces a success story that exemplifies the power of networking and professional development fostered at our V.I.S.I.O.N. conferences.
In 2022, at our AAAA annual V.I.S.I.O.N. conference held in Atlanta, a meaningful connection was formed between two outstanding Black/African American licensed financial professionals, leading to a significant career transition and a testament to the power of AAAA's networking events.
Pam Gibbs: Celebrating an Advocate for Diversity and a Pillar for Change in the Financial Services Industry.
Reflecting on her groundbreaking tenure as the inaugural Director of the Office of Minority and Women Inclusion (OMWI) at the SEC, Pam Gibbs has been instrumental in leading the SEC’s diversity and inclusion initiatives. Her work has paved the way for greater inclusivity and representation within the financial advisory sector, laying a strong foundation for AAAA's members and partners.
U.S. Department of Labor Announces New Proposed Rule on Investment Advice Fiduciary for ERISA
The U.S. Department of Labor (DOL) announced on October 31, 2023, a newly proposed rule that precisely defines the term 'investment advice fiduciary' in relation to the Employee Retirement Income Security Act (ERISA).
Diversity, Equity & Inclusion 2023 Lifetime Achievement Winner: Alex David
Daily experiences have helped the CEO of Stifel Independent Advisors to appreciate how necessary it is for professionals, especially African American adults, to be role models for young Black males.
LeCount Davis: A Leader in the Financial Planning Industry
Ask anyone in the financial planning industry for a name synonymous with excellence, leadership, and diversity, and they’ll say LeCount Davis CFP®. With over two decades of experience, Davis has established himself as a trailblazer in a field that is traditionally dominated by white men. His journey began when he worked for a neighborhood financial guru who helped people with their finances, regardless of their ability to pay.
Lifetime Pathfinder Winner: “Keep Hope Alive”
Lifetime Pathfinder Winner: “Keep Hope Alive”
LeCount Davis, First African American To Receive CFP Designation And Founder Of The Association of African American Financial Advisors, Discusses History, DEI Solutions And Career Advice
AAAA INTRODUCES Alex David, President, and CEO of Stifel Independent Advisors, as incoming Chairman Emeritus.
ALEX DAVID PRESIDENT AND CEO OF STIFEL INDEPENDENT ADVISORS
The Association of African American Financial Advisors ("AAAA" or the "Association"), a non-profit membership organization for African American financial advisors and other wealth management industry professionals, today announced the appointment of Alex David, President and CEO of Stifel Independent Advisors, as its incoming Chairman Emeritus. In this position, Mr. David will provide strategic guidance to the Association as it embarks upon the next stage of its vision for driving a more equitable wealth management industry.
AAAA CHAIRMAN OF THE BOARD CHRISTIAN NWASIKE
What You Can Do Right Now To Pandemic Proof Your Finances
“When you talk about another pandemic, African-American families already earn about half as much as the average white household. So fundamentally, it’s going to hit African-American families hardest,” said Christian Nwasike, Principal at Practice Management Consultants and Board Chair of the Association of African American Financial Advisors (AAAA).
LeCOUNT DAVIS
, MBA, CFP®
CFP Board launches scholarship in honor of AAAA Founder
“I was led by the Holy Spirit to pursue my life’s vision and mission, and this book is a way to pass on my beliefs, experiences, and ideas for success. I pray that I can be a beacon of light for aspiring financial planners and advisors in helping our communities become better stewards in handling money.”
T. Rowe, Commonwealth, and Zions Bank, book clubs, internships, and sales meetings reflect DEI goals
Zions Bank, Commonwealth Financial Network and T. Rowe Price have launched programs they say could help boost Black representation across wealth management and related fields — if they're adopted by other firms.
To shrink the wealth gap, reframe money as an everyday topic
Financial advisors can help close the country's racial wealth gap gradually by changing the conversations about money among Black Americans and other minorities.
What some financial advisors get wrong about ESG
Advisors can't afford to ignore the ESG data now showing up in corporate financial disclosures or a movement of institutional and retail investors that now spans $35 trillion worldwide, including $17 trillion in the U.S. alone, said speakers at this week's Association of African American Financial Advisors (Quad-A) Vision conference in Atlanta.
End Of The Status Quo For Alternative Investments
Alternative investments have been around for decades. For much of this time, however, large portions of the industry have held them at arm's length, believing they were too risky, appropriate for only the ultra-wealthy and institutional investors.
Why Word Choice Matters: Introducing Clients To REITs
The democratization of capital markets is a widespread concept that, despite its heightened buzz, has yet to materialize. While the industry has made efforts to provide retail investors with access to private markets, recessionary fears have left many rethinking their portfolios. This results in a growing appetite among clients to get a taste for alternative investments.
Rethinking the Early Retirement Movement. Why 'FIRE' Isn't Right for Everyone
Would you jump at the chance to retire before you turned 40? Both Gwen Merz and Derek Sall were intrigued by the idea, only to discover the reality can be more grueling.
Biggest Nigerian Bank’s Deal to Acquire Kenyan Lender Collapses
A plan by Access Bank Plc, Nigeria’s biggest lender by assets, to acquire a controlling stake in a Kenyan bank has collapsed after the companies failed to complete the transaction before a deadline.
Advisors Are Unhappy, and They Have Options, Recruiters Warn
As the wealth management industry prepares to tackle a new and potentially very challenging year, more advisors than ever before are seeking counsel and clarity on the next phase in their careers.
4 common money mistakes college students make
For many people, their first taste of managing their own money comes when they begin college, especially if they live on campus away from family. College students will begin to make many of their own decisions when it comes to how they’ll earn and spend their money.
SEC Adopts Amendments to Modernize Rule 10b5-1 Insider Trading Plans and Related Disclosures
The Securities and Exchange Commission today adopted amendments to Rule 10b5-1 under the Securities Exchange Act of 1934 and new disclosure requirements to enhance investor protections against insider trading. The amendments include updates to Rule 10b5-1(c)(1), which provides an affirmative defense to insider trading liability under Section 10(b) and Rule 10b-5. Collectively, the final rules aim to strengthen investor protections concerning insider trading and to help shareholders understand when and how insiders are trading in securities for which they may at times have material nonpublic information.
SEC Publishes FY22-26 Strategic Plan
The Securities and Exchange Commission today released its Strategic Plan for fiscal years 2022 to 2026, outlining agency objectives to fight against fraud, maintain a robust and relevant regulatory framework, and sustain a skilled and diverse workforce to serve America’s investors and capital-raising entrepreneurs alike.
Treasury Announces Seven Additional States to Receive up to $1.5 Billion from U.S. Treasury Department to Promote Small Business Growth and Entrepreneurship through the American Rescue Plan
Today, the U.S. Department of the Treasury announced the approval of seven additional state plans for up to $1.5 billion in funding under the State Small Business Credit Initiative (SSBCI). Treasury has now announced the approval of state plans totaling up to $6.3 billion in SSBCI funding.
Vegan ETF gets ‘carbon neutral’ rating without credits
The VegTech Plant-based Innovation & Climate ETF is in line with a 2.12˚F temperature rise.
US Business Activity Shrinks for a Seventh Month, Prices Rise
US business activity contracted for a seventh month, though at a more moderate pace, while a measure of input prices firmed in a sign of lingering inflationary pressures.
How advisors can help the ‘unretired’ with their return to the workforce
The convergence of low bond prices, high inflation and market volatility has boosted the number of retirees being forced to go back to work.
Africa’s hospitality sector bouncing after pandemic setback
Africa’s hospitality industry has bounced back from the Covid-19 pandemic much faster than expected, according to the Hotel and Hospitality Show Index.
CEOs Say They Expect a U.S. Recession, but Most Think It Will Be Short
Top executives in much of the world are preparing for an economic downturn that is shorter and milder than usual, so they are focused on weathering the slowdown without widespread job cuts, a new survey found
The Jobless Rate Is at a Half-Century Low. In These States, It’s Even Lower.
The labor market broadly improved across the U.S. last year, with every state adding jobs in 2022, but the pace of gains varied widely.
Turkey Faces Post-Quake Economic Hit as Some Assets Stop Skid
A daunting economic landscape will exacerbate the humanitarian catastrophe wrought by a pair of earthquakes on Turkey, as early estimates of the damage point to mounting inflation and budget risks.
Super Bowl special: How to leave NFL tickets to heirs without getting sacked
Passing down season tickets from generation to generation can get hairy. It’s often worthwhile to bring in an estate planner or attorney to make sure it’s a clean handoff.
Deepak Chopra And Robert F. Smith Launch Initiative To Bolster Leadership and Mental Wellness In The Black Community
What happens when a powerhouse businessman and a world-renowned wellness leader join forces for social good? An initiative that’s poised to change the face of leadership development.
Taking The Financial Sting Out Of Divorce
Divorce is often financially messy, even when it is relatively amicable.
That’s what a couple from Brooklyn, N.Y., found when they tried to work out the finances of their separation.
U.S. Is No Longer The Millionaire Magnet It Was Before The Pandemic
The U.S. is losing its allure as a residence for millionaires.
The net inflow of high-net-worth individuals plunged more than 80% last year compared with pre-pandemic levels, fueled partly by wealthy Americans “seeking new pastures abroad at an unprecedented rate,” according to a report by London-based immigration consultant Henley & Partners.
What do advisory firms need to keep growing? A move beyond client referrals
Many successful advisory firms have achieved high rates of organic growth through an age-old method: client referrals. Here, it’s important to distinguish between retention and referral. Think of retention as a measure of a client’s satisfaction; while important, it’s also somewhat passive in nature. After all, it would take a lot of energy for someone to change advisors.
The U.S. Economy Came In Hot In January, But There Are Some Caveats
The US was unseasonably hot in January, and it wasn’t just the weather.
Friday’s data are only the latest indication that the economy got off to a strong start in 2023, underscored by the biggest jump in consumer spending in nearly two years and a reacceleration in closely watched measures of inflation. Sales of new homes also surged, following figures last week that showed strong retail sales.
Joe Biden expected to issue first presidential veto in anti-ESG vote
Joe Biden is on course to issue the first veto of his presidency after two Democratic senators sided with Republican lawmakers in opposing a White House rule that allows fund managers to consider environmental, social and governance factors in their investment decisions
ESG Genie Out of the Bottle Is an Investor Headache
Global investing is becoming more fraught as the political rhetoric around sustainable guidelines for US pensions gets louder. And Tesla’s investor day falls flat.
What Covid Taught Us About The Future Of Financial Advice
On the third anniversary of the start of the Covid-19 pandemic, I’m reflecting on how our world has changed and what that means for the future of financial advice.
Great Resignation' Wasn't That Great, Historically Speaking
The rate at which US workers are quitting their jobs, which has become a much-watched economic indicator during the current economic expansion, fell in January and is now well below the peaks that sparked talk of a “Great Resignation” in 2021 and 2022. But at 2.5 quits per 100 jobs, it’s still higher than at any point before the Covid-19 pandemic.\
How To Avoid Alienating Women Clients
Alienation, noun — the state or experience of being isolated from a group or an activity to which one should belong or in which one should be involved.
Finra Targets 1,000 Reg BI Exams By Year-End, Expects More Enforcement Actions
The Financial Industry Regulatory Authority aims to have by year-end examined 1,000 broker-dealers for compliance with Regulation Best Interest, according to Bill St. Louis, head of Finra’s National Cause and Financial Crimes Detection Program
Are Bank Failures Signaling a Rerun of the Great Financial Crisis?
Starting last Friday and extending over the weekend, we saw two very large bank failures: Silicon Valley Bank (SVB) and Signature Bank. Those followed the collapse last week of Silvergate, the “crypto bank.” These are some of the largest bank failures in U.S. history, and they all happened in the past several days. What is going on here—and could we be headed for the next Great Financial Crisis?
Invest In Your Clients' Personal And Financial Well-Being
Human connection has never been more valuable. The power of client relationships, as many successful financial advisors know, can make or break a career. A recent survey conducted by Edward Jones with Morning Consult found that 55% of Americans who plan to use a financial advisor in 2023 said the advisor should be invested in both their personal and financial well-being, compared to 16% who said they view the relationship as transactional. This is a rousing endorsement around the importance of serving clients more completely through deep personal relationships and comprehensive planning and advice.
Answering the ancient question: Does gold fight inflation or not?
Geopolitical uncertainty almost always tops the list, including the disturbing idea of an intercontinental military conflict. Likewise, the possible collapse of the global banking system and proliferation of cyberattacks by rogue states commonly come up as justifications for loading up on the yellow metal. Voracious commodity demand from up-and-coming economic rivals like China and South Korea provides yet another.
Firms That Foster DEBI Will Be Able To Increase Client Retention, Reduce Turnover, And Increase Revenue
By: Christian Nwasike, CEO of the Association of African American Financial Advisors
Insights from over 300 executives (C-suite and Board of Directors) rank brand reputation as the greatest strategic risk for an organization. It is noteworthy that this finding ranks above other high-visibility risks, such as the business model, competition, and the impact of economic trends on the company.
Laws such as Title VII of the Civil Rights Act prohibit discrimination in the workplace based on race, color, sex, national origin, religion, age, disability, or genetic information. Laws such as these have contributed to developing workforces that reflect local and national population trends. The violation of these laws, as well as other laws, may result in lawsuits filed by current and former employees. Settlement of such lawsuits is costly and unpleasant. If publicized in an unfavorable manner, the Firm may also face backlash or public shame from its employees, clients, and the communities in which it does business. There is also the possibility that the media may hold it accountable for the hypocrisy of its diversity and inclusion initiatives, resulting in severe damage to its reputation.
Studies conducted by organizations such as The Society for Human Resource Management (SHRM) indicate that each time a company replaces a salaried employee at a mid-level managerial level, it costs the company approximately 6-9 months' salary to hire and train the new employee. Some experts suggest that the cost could be twice that of the employee's annual salary, particularly for executives in the C-suite.
Evaluating the Implications of the Upcoming DOL Ruling on B/AA RIA / Independent Advisors and the Black Community
By Necho Carroll, Director of Operations for the Association of African American Financial Advisors
The Association of African American Financial Advisors (AAAA) is the largest trade organization that represents B/AA Financial Advisors in the Wealth Management/Financial Services Industry. Our database contains 10% of the total population of licensed Black or African-American Financial Advisors in the industry.
The Department of Labor (DOL) ruling on independent contractors has the potential to have a significant negative impact on Black/African American (B/AA) financial advisors, which will, in turn, have a negative impact on the Black/African American community. The ruling could lead to many B/AA financial advisors being reclassified as employees, which could make it more expensive for these Advisors to serve Main Street clients at affordable prices. This is a concern because a large portion of Black/African American households have incomes below the national media average.
LIBRARY OF CONGRESS SELECTS ASSOCIATION OF AFRICAN AMERICAN FINANCIAL ADVISORS WEBSITE FOR INCLUSION IN WEB ARCHIVES
The Association of African American Financial Advisors (“AAAA” or the “Association”), a non-profit membership organization for African American financial advisors and other wealth management industry professionals, today announced the inclusion of its website in the Industry Association Web Archive, a collection of historically and culturally significant websites designated for preservation. The Library of Congress or its agent will engage in the collection of content from the Association’s website at regular intervals over time.
Library Of Congress To Include Association Of African American Financial Advisors
By CHRIS LATHAM
U.S. Library Of Congress Will Archive Content From The Website And Potentially Social Media Accounts Of The Association Of African American Financial Advisors
Why The Ranks Of Women Advisors Are Finally Increasing
By TRACEY LONGO
MARCH 1, 2023
Danielle White, the CEO of recruiting firm Myriad Advisor Solutions in Waukee, Iowa, has never seen as many women becoming financial advisors or opening up their own shops as she has over the past two years.
77% Of Americans Plan To Change Jobs This Year
February 16, 2023
In 2021, 47.8 million workers left their jobs, an average of nearly 4 million each month. According to new data, companies should brace themselves to lose more workers even as inflation rages on.
23 people who will leave a mark on wealth management in 2023
December 9, 2022
As this year winds to a close, it's time to look at the forces and issues that could shape wealth management in 2023. At the heart of any of that change is people.
The Financial Planning staff has compiled a list of 23 people we believe will make news in the coming year. We expect to see continued growth in M&A volume, advances in crypto regulation, diversity, equity, and inclusion issues, and efforts in behavioral finance, digital marketing, and more.
These Are The Best Apps To Help Pay Down Debt With Little To No Effort
January 17, 2023
“With prices more than 8% higher than they were a year ago, it is perhaps unsurprising that balances are increasing,” the Fed researchers wrote in a blog post as reported by CNBC. “The real test, of course, will be to follow whether these borrowers will be able to continue to make the payments on their credit cards.”
But fortunately, there are tools out there that do the heavy lifting of debt repayment for you.There are tons of apps that take the guesswork out of financial wellness, and we’ve rounded the best of them up for you.
Changes advisors expect to make in client portfolios this year
By Devin McGinley
InvestmentNews' quarterly outlook survey tracks market sentiment and expected asset allocations among financial advisors. Between Dec. 6 and Jan. 6, InvestmentNews Research surveyed more than 200 advisors. After a rocky 2022, here are the top areas where advisors say they anticipate adding exposure in client portfolios over the next 12 months.
Quad-A Vision conference draws hundreds of Black financial advisors
After two years as a virtual event, the industry's largest gathering of Black financial advisors is back in person with hundreds more attendees than before the pandemic.
The Association of African American Financial Advisors, which often goes by the nickname of "Quad-A," drew more than 450 registered guests and 20 corporate sponsors to its Vision conference in Atlanta, Chairman Christian Nwasike said in his opening remarks Tuesday morning. The numbers rose from 253 guests at the last in-person Vision gathering in 2019 in Detroit. Nwasike, an advisor coach who received the appointment in January, said the nonprofit organization led by volunteers has doubled the size of its board and tripled its full-time staff this year, in part by raising more than $1 million in the past six months.
Merrill wealth head wins AAAA award for advancing Black advisors
The leading professional association for Black financial advisors has a new award that recognizes wealth management executives for leading the way on diversity, equity and inclusion.
Andy Sieg, the president of Merrill Wealth Management, accepted the inaugural "Spirit of the VISION" Award from the Association of African American Financial Advisors during the group's annual VISION conference, where Merrill was a leading sponsor, last month in Atlanta. LeCount Davis, the founder and chairman emeritus of the association, presented the award to Sieg at a banquet and awards ceremony. VISION stands for "value, impact, succeed, influence, optimize, now."
Compassion comes full circle when giving makes you a better advisor
February 7, 2023
By Kobby Okum
When an advisor launched a nonprofit in his ancestral home of Ghana, he also learned how to better understand his clients
The U.S. Consumer Is Starting to Freak Out
By Harriet Torry and Joe Pinsker
Jan. 30, 2023 11:16 am ET
The engine of the U.S. economy—consumer spending—is starting to sputter.
Retail purchases have fallen in three of the past four months. Spending on services, including rent, haircuts and the bulk of bills, was flat in December, after adjusting for inflation, the worst monthly reading in nearly a year. Sales of existing homes in the U.S. fell last year to their lowest level since 2014 as mortgage rates rose. The auto industry posted its worst sales year in more than a decade.
The AI revolution is here
January 17, 2023
Can ChatGPT give good financial advice? InvestmentNews fed the algorithm questions to see how its AI stacks up.
Here’s Why You Need To Ask Your Company About Student Loan Debt Assistance
BY JASMINE BROWLEY · UPDATED FEBRUARY 2, 2023
Right now, the national total student loan debt (including federal and private loans) sits at $1.75 trillion. The average borrower took out $28,950.What’s more, the average student loan payment is $460 per month, and it usually takes the average borrower about 20 years to pay off their debts.
Financial heartbreak: Lying about money can cost you your relationship
Valentine’s Day is a time to celebrate romance, relationships and love. A recent survey suggests one big threat to the relationships we’re celebrating entails financial infidelity, when someone is being less than honest with their spouse or partner about financial matters.
Companies face pressure to offer ESG options in retirement plans
Most corporate retirement plans are awash in fossil-fuel investments. But that could start to change this year as a new U.S. rule comes online and employee pressure builds for more climate-friendly options.
Active Fund Managers Beat Michael Jordan, For Once
2022 was a great year for active fund managers, at least when it came to confronting the passive aggression from the growing ranks of index-following funds.
Central banks set to lift interest rates to 15-year highs as investor jitters grow
Leading central banks are due to raise interest rates this week to the highest levels since the financial crisis, stoking anxiety among some investors that this month’s bond market rally underestimates evidence of persistent inflation.
Food Costs Are Tumbling But Shoppers Still Face Soaring Bills
As a rout in the price of food commodities from wheat to cooking oil deepens, the cost of products on grocery shelves continues to rise. .
Securities regulators warn of risks related to self-directed IRAs
The SEC, Finra and NASAA issue identical alerts telling retirement savers they're on their own if they open accounts that give them complete autonomy on the investment lineup.
Bucking the trend: Why some advisors refuse to outsource investment management
As portfolio management becomes increasingly commoditized, advisors make the case for managing assets in-house and promoting that to clients as a unique value-add.
The billionaire effect
The Global Billionaires Fund had a major rebalancing in January. Lawrence Gosling finds out who’s in and who’s out – and how investors can benefit
Fed seen delivering quarter-point rate hike next week
March 16 (Reuters) - With the bulk of relevant economic data now in hand ahead of their policy meeting next week, U.S. central bankers are seen pressing on with their inflation-fighting campaign with a quarter-point interest-rate hike that just days ago looked possibly derailed by turmoil in the banking sector.
Bank Failures, Market Turmoil Fuel Bets on a Pause in Fed Interest-Rate Increases
Shift in outlook comes ahead of next week’s central bank meeting; market bets on rate cuts as early as this summer
The Fed Not Raising Rates Will Be A Sign Of Panic
The Federal Reserve’s war on inflation isn’t over. After five days of turmoil in the banking sector, financial markets had all but written off the prospect of additional interest-rate increases. But the latest consumer price index shows why that assessment was premature.
Growth in HSAs robust in 2022, study shows
At the end of last year, approximately $104 billion was saved in 35.5 million health savings accounts, a year-over-year increase of 6% for assets and 9% for accounts, a Devenir survey shows.