The Wealth Channel Magazine



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Download ASK AL: Al, the new tax act has restored the Qualified Charitable Distribution (QCD) provision. Why should my client take advantage of it, and what was the 30-day transition rule? (293 KB)

Download HERE’S THE CASE: Last year the Supreme Court upheld the Affordable Care Act and President Obama was reelected for four more years. What this means is that healthcare reform is here to stay. (165 KB)

Download Meeting the Retirement Income Needs of the Middle Market: Retiring and retired individuals face a great challenge in managing their financial resources to both provide for an acceptable yearly standard of living and avoid the disaster of outliving their funds. This challenge is particularly daunting for middle market individuals because of their limited financial resources, the scarcity of financial institutions with products and distribution systems focused on the middle market and the dearth of competent financial advisors serving nonaffluents. (594 KB)

Download Unlocking the Communication Code of Seniors: Writer George Bernard Shaw wisely said, “The single biggest problem in communication is the illusion that it has taken place.” Perhaps that’s why, despite the unprecedented opportunity afforded advisors by an aging population, many find themselves unprepared to successfully communicate with seniors. (911 KB)

Download 2013 Outlook— Dire or Cautiously Optimistic?: We began the year on the edge of our seats. Were we going over the proverbial Fiscal Cliff or would legislators in D.C. stand up and take responsibility for leading? (1.2 MB)

Download Disability Insurance & Barefoot Running: I’m a one-dimensional, DI geek. I’m also a barefoot runner, which got me to thinking the two things have a lot in common. (734 KB)

Download The Importance of a Mid-Career Financial Checkup: Our earth sits at the outer edge of our galaxy and, as the galaxy rotates in space, earth is being inexorably propelled into a colder, darker area of space. Although the cosmos is always changing, astrophysics allows us to predict the movement of objects in space. (669 KB)

Download Indexed UL’s Identity Crisis: Over the last two years, Indexed Universal Life (IUL) insurance has transformed from niche to mainstream. Virtually every major life insurance company now has at least one Indexed UL product and Indexed UL sales have increased even as overall industry sales have been flat. (243 KB)

Download Changing the Way We Provide Disability Income Insurance to the American Worker: The disability insurance industry has tried, but generally failed, to get insurance agents and/or financial planners to market disability policies outside of some specific, high net income markets. To date, the medical and dental markets have been two of the most likely target audiences. (727 KB)

Download Linked Benefits—Long-Term Care and Life Insurance: The statistics are compelling. With an aging population, there will be increasing reliance on third-party care facilities and less reliance on informal home care offered by friends and relatives. According to a Congressional Budget Office (CBO) study, in 2004, approximately 36 percent of long-term care support was offered informally, with only 3 percent covered by private insurance and 38 percent covered by Medicaid and Medicare. (501 KB)

Download Exchanges: An In-Depth Look: In 2014 Affordable Insurance Exchanges will be operational in every state in the country. They will be a new marketplace to purchase healthcare coverage for the individual and small group market. (571 KB)

Download Federal Wealth Transfer Tax Reform—Certainty for Now: It’s been a long and very strange journey tracking the federal estate and gift tax laws since 2001. After many years without significant change, the federal estate and generation-skipping transfer taxes were statutorily phased out and repealed by the first of the Bush-era tax cuts. (599 KB)

Download Your Last Will and Testament: This issue of The Wealth Channel Magazine is all about change, so I thought this would be an ideal opportunity to discuss the last changes you may ever have the opportunity to make. Do you have a last will and testament? (527 KB)

Download Business Succession— Planning for Future Generations: Business liquidation is a typical result of a failed business succession plan. The main issue of business succession is the development of future leadership and how new management will cash out the current owner’s business capital. (687 KB)

Download Ten Years in the Hot Seat An Interview with Dr. Larry Barton, CAP®: How do you view this industry and where do you see it going? I think for the first 200 years or so of our country finances were, for the most part, only talked about in terms of the affluent. (851 KB)

Download Embracing the Serve First Philosophy: Decades ago, legendary agent and manager Stuart Smith conceived a philosophy of serving the client first and letting the financial rewards take care of themselves. Smith’s concept became an integral part of the culture at his company, and many disciples still practice it today. (539 KB)

Download Positive Change through Community Foundations: Financial advisors frequently overlook or underestimate what community foundations offer. Many community foundations not only offer great opportunities for an advisor’s clients, but they also offer the advisors themselves a depth of knowledge, expertise and a change in perspective that is not readily available elsewhere. (539 KB)

Download Practical Perspectives that Make a Difference: As a psychologist and financial therapist, I work with the constant ebb and flow of people’s lives. As financial planners and advisors, so do you. (604 KB)

Download Getting at the Emotion Behind the Money: As a nation, we have a huge macroeconomic problem because of the microeconomic problems happening. Major businesses—ones that most thought were unbreakable—have fallen quite far, and entire industries have failed. (777 KB)

Download Advising Clients to Gift to their Children: If your client is lucky enough to be in a strong financial position, gifting is one way to approach the subject of their children’s financial well-being. Gifting opens the door for conversations about money between parent and child. You may discover that many of your clients are afraid to talk about money with their kids. (568 KB)

Download The Financial Needs and Attitudes of Women of Color: The State Farm® Center for Women and Financial Services at The American College has released a landmark report entitled The Financial Needs and Attitudes of Women of Color. The purpose of the study was to better understand the financial position, goals and concerns of women of varying racial and ethnic backgrounds. (544 KB)

Download The Changing Face of Plan Sales: One of my favorite expressions is “I spent a week there one afternoon.” Nothing could be truer for retirement plan advisors. (469 KB)

Download Research Summary: Capitalizing on the Greatest Anomaly in Finance with Mutual Funds: The Capital Asset Pricing Model (CAPM), a cornerstone of asset pricing theory, states that, because company-specific risks (such as a fire in a region where a property and casualty insurance company insures a lot of properties) can be eliminated through diversification, investors should only be compensated for bearing market risk, which affects the entire financial system. While theoretically sound, numerous empirical studies have found that the CAPM fails to predict stock returns. (510 KB)

Download It Can’t Happen to Me: Many of us trav el through life with the emotional comfort of the expectation that our lives will be rosy—a happy childhood, a good education, a happy marriage, good health, wonderful children and grandchildren, and more. I should know. (787 KB)

Download A Faculty Member’s Perspective of Change: Financial Planning techniques and tools are constantly changing. Taxes, insurance products, compliance environments, investment options and risk measures are always in a state of flux. (441 KB)

Download David McCahan—A CLU® Champion A Lifetime and Legacy of Service and Dedication: Dr. David McCahan, who truly believed that “education was the source of greatness in society,” began his career as one of Dr. Solomon Huebner’s students at the Wharton School. Dr. Huebner recognized his promise and invited him to be an Instructor in their Insurance Department. (415 KB)

Download Happier, Healthier and Younger in Retirement: We all understand and appreciate the need for sound financial planning during the years preceding retirement. Who among us hasn’t gone online to calculate our retirement nest egg needs and then panicked because accumulating that much wealth seemed inconceivable, especially if we started the process at age 55 or later? (215 KB)

Download Lizzie the Learner: Nobel Prize-winning author William Butler Yeats once said, “Education is not the filling of a pail, but the lighting of a fire.” And often, in the insurance and financial services industry, when you meet an up-and-comer or rising star, you notice a difference in the dedication to his or her career. (417 KB)

Download Charitable Giving Tool Drastically Minimizes Federal Estate Taxes: The financial planning process can incorporate philanthropy, achieve lower federal estate taxation and transfer greater wealth to heirs. In a low interest rate environment such as the one we currently have, the charitable lead annuity trust (CLAT) can be particularly helpful. (263 KB)

Download Commissions in the Crosshairs?: Be thankful you’re not providing financial advice in the United Kingdom. Now that we’re into 2013, the Financial Services Authority’s (FSA) ban on commissions as payment for providing financial advice is in full effect. (340 KB)

Download Make it Real: It may start with a daydream or an idea you hear in a conversation. Or maybe it begins when you read something in the newspaper or a magazine. (228 KB)


Spring 2013

Publication Date

Spring 2013


The American College of Financial Services


Bryn Mawr, PA


Finance and Financial Management

The Wealth Channel Magazine