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april 2012

Marketing Gateway
All the marketing tools and resources you needall in one place

Introducing the New

LPLFinancial and UVEST Financial Services are affiliated organizations and members FINRA/SIPC. For broker/dealer use only. Not for public distribution.


A Message from Andy Kalbaugh

Dear LPLFinancial Institution Services Advisors: Over the last several months, Ive had the opportunity to get out in the field and visit some of your financial institutions. Ive done a lot of listening, idea gathering and learning, and Im excited to share with you some of my observations from the road. You have weathered extremely tough times over the last several years, from a roller-coaster market to a challenging interest rate environment. And through it all, you have persevered. You have remained committed to serving your clients and, in turn, they have remained committed to you. Congratulations and job well done. One trend I heard while meeting with financial institution senior managers across the country is a clear desire to find ways to help advisors evolve their practices from a traditional, transactionbased model to a true wealth management model. This is aligned with what were hearing from an industry, regulatory and consumer standpoint, as well. Across the board, advisors need to find ways to manage a greater number of relationships efficiently and effectively. And I firmly believe managed solutions will enable you to achieve these goals, while deepening household penetration and gaining access to clients you otherwise would not have had access to. While I believe managed solutions will help you become more efficient and effective, I also realize that advisory solutions are not the right fit for every client. I heard frequently that you need help identifying opportunities to drive more business from within your existing book of business. This year, youll hear more about tools we are developing to help you target and meet the needs of different client segments, and strategies we think will help you grow wallet share with existing clients. Another popular subject is social media and how you can most effectively leverage it. Many of you have not yet embraced the potential that social media tools provide to help drive your growth and build your brand. I encourage you to learn more about the social media tools and resources available to you via the LPL Financial Marketing Gateway, highlighted on page 5. The last topic I heard about is the need for enhanced technology tools. This year, LPLFinancial is making a significant investment in the Institution Services business with the development of a suite of new reporting and technology enhancements. And Im excited to report that LPL Financial is committed to continuing to dedicate resources to the Institution Services division throughout 2012 and beyond. I hope you feel the impact of our commitment to your institution, and I invite you to share with us how we can continue to help you grow this year. In partnership,

Andy Kalbaugh Managing Director, LPL Financial Institution Services

At a Glance
New Branch Training Materials
Drive more referrals from branch employees with two new branch training programs added to ClientsFirst : Recognizing Referrals: Financial Institution Branch Training Guide by Lincoln This brochure is designed to help bank employees understand some of the financial challenges their clients are facing, recognize a potential need for financial planning and effectively make a referral to the financial consultant. Knockout Referral Game by Jackson Jacksons newest referral game helps you get associates in your corner by rewarding their efforts. This complete package of materials will engage associates and make implementation easy for you. The branch training materials are available at | ClientsFirst | Branch Training

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1  Are You Ignoring Half Your Clients? A guide to developing stronger relationships with your women clients. 5  Introducing the New LPL Financial Marketing Gateway All the tools and resources you needall in one placeto effectively market your products and services to clients and prospects. 11  Opportunities for Growth and Streamlined Operations Bill Dwyer, president of National Sales and Marketing for LPL Financial, speaks candidly about our firms commitment to your success. 13 2012 LPL Financial Institution Services Conferences and Events Learn about our wide variety of educational, networking and training events offered throughout the year. 16 How You Can Shape Your Future Learn more about the Financial Services Institute and its mission to create a healthier regulatory environment for advisors. 17 Advisor Rankings A complete list of our most successful advisors to date. 19 Program Rankings  A complete list of our most successful programs to date.

Now Available on AdvisorFirst

The Value of an Investment and Insurance Customer to a Bank an LPL Financial, Kehrer/ LIMRA, Prudential, and Western National co-sponsored reportuses a new consumer data study to help define the value an investment and insurance client has to a financial institution. Locate this insightful study at | AdvisorFirst | White Paper Library | By: Kehrer/LIMRA

This issue brought to you by:

LPLFinancial and UVEST Financial Services are affiliated organizations and members FINRA/SIPC. For broker/dealer use only. Not for public distribution.

Are You Ignoring Half Your Clients?

A guide to developing stronger relationships with your women clients.

I worked with Pete and Karen as their financial advisor for more than 20 years. Pete had been retired for five years and we golfed or had lunch together every few months. I considered them among my best clients. But when Pete passed away unexpectedly, Karen began working with another advisor and moved all of her business to that advisor within a few months. How can you make sure this doesnt happen to you? Ask yourself the following questions: Do you have relationships with your female clients? Are those relationships substantial enough for your female clients to feel comfortable with you as their advisor? Research indicates that 70% of widows switch advisors after their husbands die.1 To avoid succumbing to this statistic, it is essential you develop relationships with your female clients, individually or as part of a couple.

Beyond the longevity challenge

Women represent a significant opportunity for your business, controlling an estimated $14 trillion in assets. And that opportunity is two-fold: Women are often the primary financial decision makers within a household. As such, they are also concerned about saving for retirement. According to a LIMRA study, when asked what their most important reason for saving is, 54% of women responded that they are saving for retirement.2 Women are earning more money than ever before. In 2009, women accounted for 51% of all workers in high-paying management, professional and related occupations.3 And, according to the IRS, half of all individuals with at least $500,000 in investable assets are women.4

Previous generations relied heavily on Social Security to provide all or some of their retirement income. But for women in particular, it is important to remember Social Security will provide only a fraction of the retirement income they will need. However, most married men still begin claiming Social Security benefits at age 62 or 63, several years short of the age that maximizes the value of the average households benefits. Couples should consider discussing delaying the onset of the husbands benefitswhich could yield greater benefits for women and longer term benefits in the event they outlive their husbands.

Life expectancy versus years in retirement

Average years before retirement Average years after retirement Average age of retirement

Three factors to consider when working with women

Understanding the opportunity is just the beginning. Working with most women clients requires different thinking and a different perspective. Women face unique financial challenges, and a successful relationship with women investors requires an understanding of those challenges and their impact over time:

Men Women
0 20 40 Years


75.7 80.6
80 100


Source: OECD, April 2011

1. Family first
Women work hard and are earning more than ever. But they also take time off for family and are facing earnings penalties for job interruptions. Women who graduated with a Harvard MBA lose up to 44% of their earning power for taking just 18 months off for family obligations.5 Many American women spend their earning years acting as caretakers, moving in and out of the workforce or working part time, giving way to a greater need for investment advice and active management of their retirement assets. Women who take time off from work to be a home caregiver can lose an average of: $25,484 in Social Security benefits $67,000 in pension benefits $565,000 in lifetime earnings6


April 2012

Are You Ignoring Half Your Clients?

2. Last woman standing

Women are living longer, with a greater life expectancy than men,7 leaving many married women to face managing their finances on their own later in life. Today, it is more important than ever for womenmarried or singleto develop and maintain a relationship with a financial advisor with whom they feel comfortable. Married women who are faced with working with a financial advisor who dealt only with her husband may seek out a new advisor if their spouse passes away. Before that happens, be sure to cultivate your relationship with your married women clients now, and increase your chances of retaining your book of business.

For women, who are often tasked with taking care of aging parents, the impact of healthcare expenses and long-term care can be more than financial. You probably have clients who are members of the sandwich generation, those families who are sandwiched between raising children and caring for elderly parents. Currently, one in eight Americans age 40 to 60 is a member of this group. And, as more individuals retire without enough savings to live on, this generation continues to grow.

Appealing to women investors

Advisors who want to meet the needs of their women clients should make the effort to understand these issues and how women approach their financial well-being. Taking those factors into consideration may help create the path to the appropriate investment products and solutions, such as: Investment products with guarantees and death benefits Income products to meet the needs of women who are living longer Life insurance products for women who outlive their husbands Long-term care products to help plan for potential health concerns One way to increase your appeal to women clients is to understand the unique challenges they face today, as well as identifying the steps needed to reach the most appropriate solutions. In addition to the challenges already covered including earning less and living longer women approach finances and investments differently than men: Many women worry about their finances more than men Many women focus on family needs and others first Many women are driven by connections over presentation

3. Being prepared for whatever may happen

For women, the odds of needing long-term care are significant. One study revealed that of those receiving long-term care benefits, 41% were single women, many of whom were widowed. A recent Lincoln Financial Group study reports 75% of those surveyed would use their savings to fund long-term care. Most Americans do not have a real plan in place to pay for the significant cost of long-term care, as shown below. Federal data estimates the cost of long-term care can easily exceed $60,000 a year. For the average U.S. family with $120,000 in savings, that expense will quickly deplete those savings.

How Americans plan to pay for long-term care

Your savings Social Security Your private pension or retirement plan Medicare Your income at the time Private health insurance Long-term care insurance Medicaid Disability insurance

75% 70% 68% 64% 55% 52% 43% 31% 30%

Source: Lincoln Financial Life Stages Survey: Long-term care, Lincoln Financial Group, September/October 2010.

Taking the next steps

Lincoln Financial Distributors is proud to offer new Women and Investing materials to get you started as you take steps to help enhance your relationship with your women clients.

1. Get started
Lincoln has created a prospecting letter for women that you can personalize and mail to get clients and prospects actively thinking about their financial futures. This letter can be sent to existing clients and prospects.

2. Present
Host a women-only seminar. The benefits of this initiative include addressing your current women clients to help them empower themselves, as well as potentially increasing your client base with new prospects. Generate interest with Lincolns customizable seminar invitation and ask attendees to bring a friend. Consider partnering with a business that offers a female-friendly service or product. Use the Lincoln Women and Investing client seminar, which discusses the unique nature and needs of women investors and strategies to empower women to drive their financial futures. Ask your Lincoln wholesaler for the invitation and presentation. Meet with your women clients In addition to your regularly scheduled meeting with your married clients, offer to meet with the woman separatelyone-on-one. This may enable some women to feel more comfortable talking about their own financial concerns and needs with you. Discuss their financial risk tolerance and ways to help prepare them for the unexpected. One way to do this is
1 2

to use the Lincoln budget worksheet, Budgeting for Your Financial Future: A Womans Guide, with your clients to help identify financial goals and basic budgeting considerations.

3. Implement
Send a personalized follow-up letter to those clients you have met with to encourage them to ask questions and possibly set up another meeting with you. Use the Lincoln womens budget worksheet to follow up with any of your clients who have not completed it, or set up a meeting to review it with those who have. To access the Women and Investing materials, visit | WomenInvest, or ask your Lincoln wholesaler. Contact your women clients today to see the difference it can make for your business tomorrow.
2012 Lincoln National Corporation Lincoln Financial Distributors, Inc., a broker/dealer, is the wholesale distribution organization of Lincoln Financial Group. Lincoln Financial Group is the marketing name for Lincoln National Corporation and its affiliates. Affiliates are separately responsible for their own financial and contractual obligations. LCN1202-2064500 2/12 Z01 Order code: LFD-WI-ARC001

The $14 Trillion Dollar Woman, Barbara Kay  Source: LIMRA, Gender Matters: Retirement Savings of Working Men and Women, February 2011 Source: U.S. Department of Labor, Womens Bureau, 2009  The Cost of Workplace Flexibility for High-Powered Professionals, Claudia Goldin and Lawrence F. Katz, October 2011 A Womans Guide to Long-Term Care Insurance Protection, American Association for Long-Term Care InsuranceConsumer Education Division, 2009 Morningstar Inc., Annuity 2000 Mortality Tables

3 4 5


April 2012

Areyouignoringhalfofyourclients? Aguidetoavoidgettingstoodupbyyourwomenclients IworkedwithPeteandKarenastheirfinancialadvisorforover20years.Petehadbeenretired forfiveyearsandwegolfedorhadlunchtogethereveryfewmonths.Iconsideredthemamong mybestclients.ButwhenPetepassedawayunexpectedly,Karenbeganworkingwithanother advisorandmovedallofherbusinesstothatadvisorwithinafewmonths. Howcanyoumakesurethisdoesnthappentoyou? Askyourselfthefollowingquestions: Doyouhaverelationshipswithyourfemaleclients? Arethoserelationshipssubstantialenoughforyourfemaleclientstofeelcomfortable withyouastheiradvisor? Researchindicatesthat70%ofwidowsswitchadvisorsaftertheirhusbandsdie.1Toavoid succumbingtothisstatistic,itsessentialthatyoudeveloprelationshipswithyourfemale clients. Beyondthelongevitychallenge Womenrepresentasignificantopportunityforyourbusiness,controllinganestimated$14 trillioninassets.Andthatopportunityistwofold: Womenareoftentheprimaryfinancialdecisionmakerswithinahousehold. Assuch,theyarealsoconcernedaboutsavingforretirement.AccordingtoaLIMRA study,whenaskedwhattheirmostimportantreasonforsavingis,54%ofwomen respondedthattheyaresavingforretirement.2 Womenareearningmoremoneythaneverbefore. In2009,womenaccountedfor51%ofallworkersinhighpayingmanagement, professionalandrelatedoccupations.3And,accordingtotheIRS,halfofallindividuals withatleast$500,000ininvestableassetsarewomen.4 Threefactorstoconsiderwhenworkingwithwomen Understandingtheopportunityisjustthebeginning.Workingwithmostwomenclientsrequires differentthinkingandadifferentperspective.Womenfaceuniquefinancialchallenges,anda successfulrelationshipwithwomeninvestorsrequiresanunderstandingofthosechallengesand theirimpactovertime.

1.Familyfirst Womenworkandareearningmorethanever.Buttheyalsotaketimeoffforfamilyandare facingearningspenaltiesforjobinterruptions.WomenwhograduatedwithaHarvardMBAlose upto44%oftheirearningpowerfortakingjust18monthsoffforfamilyobligations.5


The$14TrillionDollarWoman,BarbaraKay. Source:LIMRA,GenderMatters:RetirementSavingsofWorkingMenandWomen,February2011. 3 Source:U.S.DepartmentofLabor,WomensBureau,2009. 4


TheCostofWorkp placeFlexibility yforHighPowe eredProfessio onals,ClaudiaGoldinandLawrenceF.Katz z, October2011.

Many yAmericanwo omenspendtheirearning gyearsacting ascaretakers s,movingina andoutofthe e workf forceorwork kingparttime e,givingwayto t agreatern needforinves stmentadvice eandactive managementofth heirretiremen ntassets. Womenwhotaketimeofffrom mworktobeahomecareg givercanlose eanaverageo of:

$25,484inSocia alSecurityben nefits

$67 7,000inpe ensionbenefi its

$56 65,000 0inlifetimeearnings


Previo irretirement ousgeneratio onsreliedhea avilyonSocialSecuritytop provideallor rsomeofthei incom me.Butforwo omeninparti icular,itsimp portanttorem memberthat tSocialSecuri itywill provid deonlyafrac ctionofthere etirementincometheywilllneed. Howe ever,mostma arriedmenstillbeginclaim mingSocialSe ecuritybenefi itsatage62o or63,several l yearsshortoftheagethatmax ximizestheva alueoftheav eragehouseh holdsbenefit ts.Couples etofthehusb bandsbenefi itswhichco ouldyield shouldconsiderdiscussingdelayingtheonse greate erbenefitsfo orwomenand dlongerterm mbenefitsint theeventthattheyoutlive etheir husba ands.

Source:OE ECD,April201 11 2.Las st(wo)manst tanding Womenarelivinglonger,withalongerlifeexpectancy e th hanmen,7leavingmanymarriedwome en tofac cemanagingtheir t finances sontheirown nlaterinlife. Today,itsm moreimportan ntthanever forwo omentodeve elopandmain ntainarelatio onshipwitha financ cialadvisorth heyfeelcomf fortablewith,regardlessif fthey aremarried m orsing gle.Marriedwomen w whoare a facedwit h workingwithafina ancialadvisor rwhodealtonlywithher husba andmayseek koutanewad dvisoriftheir rspousepass es away. .Beforethathappens,besuretocultiv vateyour relatio onshipwithyour y marriedwomenclientsnow,and

increa aseyourchan ncesofretainingyourbookofbusiness throughoutm morethanon nelifetime. 3.Bei ingpreparedforwhatevermayhappen Forwomen, w theod ddsofneedin nglongtermcare c aresigniificant.Onest tudyrevealed dthatofthos se receiv vinglongterm mcarebenefi its,41%were esinglewome en,manyofw whomwerew widowed. Arece entLincolnFinancialGroupstudyrepor rtsthat75%o ofthosesurve eyedwouldu usetheir saving gstofundlon ngtermcare.MostAmeric cansdontha avearealplan ninplacetop payforthe significantcostoflong l termcar re,asshownbelow.Feder raldataestim matesthecost toflongterm m carecan c easilyexc ceed$60,000ayear.Forth heaverageU. .S.familywith$120,000in nsavings,tha at expen nsewillquicklydepletetho osesavings.

AWo omansGuidetoLongTermCare C Insurance Protection,Am mericanAssociationforLong gTermCare Insura anceConsumer rEducationDiv vision,2009. 7 Morn ningstarInc.,Annuity A 2000Mortality M Tables s.

HowAm mericanspla antopayfor rlongtermcare

Source:LincolnFinancialLifeStagesSurve ey:Longtermcare,LincolnFinancia alGroup,Septemb ber/October2010.

Forwomen, w whoare a oftentask kedwithtakin ngcareofagin ngparents,th heimpactofhealthcare expen nsesandlong gtermcareca anbemoreth hanfinancial. Youprobablyhaveclients swhoare memb bersofthes sandwichgeneration,tho osefamiliesw whoaresandw wichedbetwe eenraising childr renandcaring gforelderlyparents. p Curre ently,onein eightAmericansage40to o60isa memb berofthisgro oup.And,asmore m individu ualsretirewit thoutenough hsavingstoliveon,this gener rationcontinu uestogrow. Appealingtowom meninvestors s Advisorswhowant ttomeetthe eneedsofthe eirwomencli entsshouldm maketheeffo ortto under rstandtheseissuesandho owwomenap pproachtheir rfinancialwellbeing.Takin ngthose factor rsintoconsid derationmayhelpcreatethepathtoth eappropriate einvestment tproductsand d solutions,suchas: ntproductswithguarantee esanddeath benefits Investmen eettheneedsofwomenw whoarelivinglonger Incomeproductstome sforwomenwho w outlivet heirhusband ds Lifeinsuranceproducts tstohelpplanforpotenti alhealthconcerns Longtermcareproduct

Onewaytoincreaseyourappealtowomenclientsistounderstandtheuniquechallengesthey facetoday,aswellasidentifyingthestepsneededtoreachthemostappropriatesolutions. Inadditiontothechallengesalreadycoveredincludingearninglessandlivinglongerwomen approachfinancesandinvestmentsdifferentlythanmen. Manywomenworryabouttheirfinancesmorethanmen. Manywomenfocusonfamilyneedsandothersfirst. Manywomenaredrivenbyconnectionsoverpresentation. Takingthenextsteps LincolnFinancialDistributorsisproudtooffernewWomenandInvestingmaterialtogetyou startedasyoutakestepstohelpenhanceyourrelationshipwithyourwomenclients. 1.Getstarted Lincolnhascreatedaprospectingletterforwomenthatyoucanpersonalizeandmailtoget clientsandprospectsactivelythinkingabouttheirfinancialfutures.Thislettercanbesentto existingclientsandprospects. 2.Present Hostawomenonlyseminar.Thebenefitsofthisinitiativeincludeaddressingyourcurrent womenclientstohelpthemempowerthemselves,aswellaspotentiallyincreasingyourclient basewithnewprospects. GenerateinterestwithLincolnscustomizableseminarinvitationandaskattendeestobringa friend.Considerpartneringwithabusinessthatoffersafemalefriendlyserviceorproduct.Use theLincolnWomenandInvestingclientseminar,whichdiscussestheuniquenatureandneeds ofwomeninvestorsandstrategiestoempowerwomentodrivetheirfinancialfutures.Askyour Lincolnwholesalerfortheinvitationandpresentation. Meetwithyourwomenclients Inadditiontoyourregularlyscheduledmeetingwithyourmarriedclients,offertomeetwiththe womanseparatelyoneonone.Thismayenablesomewomentofeelmorecomfortable talkingabouttheirownfinancialconcernsandneedswithyou.Discusstheirfinancialrisk toleranceandwaystohelppreparethemfortheunexpected.Onewaytodothisistousethe Lincolnbudgetworksheet,BudgetingforYourFinancialFuture:AWomansGuide,withyour clientstohelpidentifyfinancialgoalsandbasicbudgetingconsiderations. 3.Implement Sendapersonalizedfollowuplettertothoseclientsyouhavemetwithtoencouragethemto askquestionsandpossiblysetupanothermeetingwithyou. UsetheLincolnwomensbudgetworksheettofollowupwithanyofyourclientswhohavenot completedit,orsetupameetingtoreviewitwiththosewhohave. ToaccesstheWomenandInvestingmaterial,visittheLPLWomenInvestwebsite,oraskyour Lincolnwholesaler.Reachouttoyourwomenclientstodaytoseethedifferenceitcanmakefor yourbusinesstomorrow.


LincolnFinancialDistributors,Inc.,abroker/dealer,isthewholesaledistributionorganizationofLincoln FinancialGroup.LincolnFinancialGroupisthemarketingnameforLincolnNationalCorporationandits affiliates.Affiliatesareseparatelyresponsiblefortheirownfinancialandcontractualobligations.

LCN12022064500 2/12Z01 Ordercode:LFDWIARC001