Financial Advisors Can Boost Business by Helping Entrepreneurs Balance Professional and Personal Wealth, According to New Pershing Guidebook - Yahoo Finance Financial Advisors Can Boost Business by Helping Entrepreneurs Balance Professional and Personal Wealth, According to New Pershing Guidebook - Yahoo Finance

Wednesday, May 23, 2012

Financial Advisors Can Boost Business by Helping Entrepreneurs Balance Professional and Personal Wealth, According to New Pershing Guidebook - Yahoo Finance

Financial Advisors Can Boost Business by Helping Entrepreneurs Balance Professional and Personal Wealth, According to New Pershing Guidebook - Yahoo Finance

JERSEY CITY, N.J., May 16, 2012 /PRNewswire/ -- Pershing LLC, a BNY Mellon company, today announced the release of Building a Business with Business Owners, a new guidebook that focuses on how  financial advisors can meet the increasingly specialized personal and business needs of entrepreneurs.  Because business owners' personal and professional lives are so strongly intertwined, Pershing concludes, advisors have a tremendous opportunity to grow their businesses by helping entrepreneurs untangle their often complex financial situations.

"Offering specialized services to high-net-worth business owners represents an attractive, and potentially lucrative, market opportunity for financial advisors," said Kim Dellarocca, director, Pershing. "Increasingly, we are seeing advisors consulting with entrepreneurs on issues such as cash-flow management, capital allocation and borrowing – value-added services and advice that generalist financial advisors cannot match."

According to Pershing, a growing number of advisors are developing niche business expertise to supplement their traditional offerings, differentiate themselves and drive growth, as industry competition intensifies and pressures on margins escalates. For advisors, taking advantage of this trend presents some serious challenges, including freeing up resources to gain the necessary knowledge and developing new compensation arrangements for clients with low levels of investable assets.

Pershing recommends that advisory firms with limited marketing resources focus on achieving deep penetration in a narrowly defined target market, with no more than five potential market segments yielding optimal results. In the new guidebook, Pershing also warns that because many business owners and entrepreneurs direct the bulk of their personal savings into their business rather than money management accounts, advisors who charge clients a percentage of assets under management run the risk of under-compensation. Instead, advisors should consider premium fee arrangements to offset the added expense of working with entrepreneurs.

"For business owners," Dellarocca added, "signing on for these specialized services can be enticing, and can make them more efficient. But entrepreneur clients may need to be convinced that the advisors they select are true experts in their businesses, are not overpromising, and can work effectively with existing service providers."

According to the guidebook, key areas where entrepreneurs can benefit from specialized advisory services include:

  • Cash Flow and Financing: Supporting and sustaining both business and personal spending needs, as well as structuring financing for start-up and expansion.
  • Risk Protection: Insight into insurance products, hedging strategies and legal assistance.
  • Benefit Programs: Group health or 401(k) plans, non-qualified retirement plans and insurance benefits.
  • Wealth Management: Integrating personal financial planning and business planning, especially in the areas of tax efficiency, liquidity, estate planning, and wealth transfer.
  • Business Planning: Aligning business strategy with personal life and financial goals, encompassing tax planning, succession planning, business valuation, equity transfer and business succession.

To obtain a copy of Pershing's Building a Business with Business Owners, visit

Pershing LLC, a BNY Mellon Company, is a leading global provider of financial business solutions to more than 1,500 institutional and retail financial organizations and independent registered investment advisors who collectively represent approximately 5.5 million active investors. Located in 23 offices worldwide, Pershing and its affiliates are committed to delivering dependable operational support, robust trading services, flexible technology, an expansive array of investment solutions, practice management support and service excellence. Pershing is a member of every major U.S. securities exchange and its international affiliates are members of the Deutsche Börse, Irish Stock Exchange, the London Stock Exchange and the Australian Stock Exchange. Pershing LLC is a BNY Mellon company. Additional information is available at

BNY Mellon (BK) is a global financial services company focused on helping clients manage and service their financial assets, operating in 36 countries and serving more than 100 markets. BNY Mellon is a leading provider of financial services for institutions, corporations and high-net-worth individuals, offering superior investment management and investment services through a worldwide client-focused team. It has $26.6 trillion in assets under custody and administration and $1.3 trillion in assets under management, services $11.9 trillion in outstanding debt and processes global payments averaging $1.4 trillion per day. BNY Mellon is the corporate brand of The Bank of New York Mellon Corporation. Additional information is available on or follow us on Twitter@BNYMellon.

STOCKS NEWS SINGAPORE-Oil prices down but oil, gas still attractive - Reuters UK

Thu May 24, 2012 2:56am BST

Although oil prices have come off highs, current levels are still elevated and capital spending in the oil and gas industry will continue, OCBC Investment Research said.

"Renewed concern about the euro zone has resulted in increasing uncertainty in the markets, contributing to a correction in oil prices," OCBC said in a report.

But it said oil prices at current levels are more sustainable for a global economic recovery, benefiting oil and gas players including rigbuilder Keppel Corp.

Keppel posted a 141 percent rise in its January-March net profit to S$750.8 million ($586.8 million), which came in above OCBC's expectations, while smaller rival Sembcorp Marine's first quarter net profit of S$113 million was below its estimates.

OCBC remains overweight on the oil and gas sector and said Keppel and offshore marine company Ezion Holdings Ltd were its top picks. It has buy ratings for both companies with a target price of S$13.38 for Keppel and S$1.13 for Ezion.

Shares of Keppel were up 0.3 percent at S$10.04 and have gained about 8 percent since the start of the year. Ezion shares were 2 percent higher at S$0.76 and have jumped 15 percent since the start of the year.

For related story click

0939 (0139 GMT)

(Reporting by Charmian Kok in Singapore;


8:51 STOCKS NEWS SINGAPORE-Index futures up 0.1 pct

Singapore index futures was up 0.1 percent, indicating a weak start for the benchmark Straits Times Index.

Asian shares were steady but remained vulnerable on Thursday amid signs European leaders were unable to deliver meaningful measures to resolve the region's deepening debt crisis.

0850 (0250 GMT)

(Reporting by Charmian Kok in Singapore; ($1 = 1.2796 Singapore dollars)

Stocks Drop 1% Amid EU Woes, Led by Energy - CNBC

Stocks clawed back from steep losses to finish narrowly mixed Wednesday following several reports on the euro zone that helped soothe fears over the region's debt crisis.

Italian Prime Minister Mario Monti and French President Francois Hollande agreed to consider all measures to boost European economic growth, including eurobonds, according to a report.

Meanwhile, traders speculated that European Central Banks may be making plans to backstop the euro zone should the crisis worsen.

“The commentary around the euro zone remains bearish,” said Kenny Polcari, managing director at ICAP Equities. “Central banks will eventually come together and throw more money at the issue.”

The Dow Jones Industrial Average slipped 6.66 points, or 0.05 percent, to close at 12,496.15, after being down more than 190 points at its session low. H-P [HPQ  Loading...      ()   ] and Intel [INTC  Loading...      ()   ] led the laggars, while BofA [BAC  Loading...      ()   ] rallied.

The S&P 500 added 2.23 points, or 0.17 percent, to end at 1,318.86. The Nasdaq rose 11.04 points, or 0.39 percent, to finish at 2,850.12. The CBOE Volatility Index, widely considered the best gauge of fear in the market, closed near 22.

Among the key S&P sectors, utilities ended lower, while materials ended higher.

All three major averages had been sharply lower for most of the session amid jitters over a possible Greek exit from the euro zone and ahead of an informal EU summit in Brussels. Even some European officials said euro zone countries will have to prepare a contingency plan if Greece eventually leaves.

“This is a market that’s nervous over the deteriorating situation in Greece and Europe and waiting for a policy response that can assuage fears,” said Quincy Krosby, market strategist at Prudential Financial.

The euro fell below $1.26, hitting its lowest against the dollar since July 2010. European stocks fell sharply, reversing a two-session recovery rally. The German 30-year bund yield tumbled below 2 percent for the first time ever.

And oil prices slumped to seven-month lows with U.S. light, sweet crude settling below $90 a barrel.

Investors were rattled in the previous session after Greece's former Prime Minister Lucas Papademos said the risk of Greece leaving the euro is real, and that an exit would have "catastrophic" economic consequences for Greece and the rest of the euro zone. However, he later clarified to CNBC that no exit preparations were underway.

Facebook [FB  Loading...      ()   ]ended higher, recovering some losses from the last two trading sessions. Needham initiated coverage of the firm with a "buy" rating and a $40 price target. (Read More: Morgan Stanley Under Review Over Handling of Facebook)

Meanwhile, the NYSE [NYX  Loading...      ()   ] is courting a stock listing from Facebook, according to reports, following a disappointing IPO on rival Nasdaq's [NDAQ  Loading...      ()   ] trading platform last week. The NYSE denied the report, while the Nasdaq and Facebook declined to comment.

Dell [DELL  Loading...      ()   ] plunged after the IT giant forecast disappointing second-quarter revenue as U.S. and European corporate tech spending weakens and consumer personal computer sales continue to shrink. At least nine brokerages slashed their price target on the firm. Other tech companies traded lower, including Microsoft [MSFT  Loading...      ()   ], AMD [AMD  Loading...      ()   ] and Juniper Networks [JNPR  Loading...      ()   ].

Rival Hewlett-Packard [HPQ  Loading...      ()   ] is scheduled to post after the closing bell tonight. The Dow component is also expected to announce steep layoffs during its earnings report.

Toll Brothers [TOL  Loading...      ()   ] rallied after the luxury homebuilder posted earnings that beat expectations and reported a strong jump in new orders, thanks to a strong spring selling season.

Guess [GES  Loading...      ()   ] jumped after the clothing maker reported a quarterly profit that beat market expectations. And PetSmart [PETM  Loading...      ()   ] surged after the pet products retailer posted a better-than-expected quarterly profit and raised its full-year outlook. At least nine brokerages boosted their price target on the firm.

Ford [F  Loading...      ()   ] received its second "investment grade" credit rating, allowing the second-largest U.S. automaker to reclaim its Blue Oval insignia and other assets it mortgaged in 2006 to fund its turnaround plan.

Meanwhile, Ariba [ARBA  Loading...      ()   ] eked out a small gain after European software company SAP [SAP  Loading...      ()   ] said it plans to buy the company in a deal valued around $4.3 billion, the latest sideswipe against rival Oracle [ORCL  Loading...      ()   ] in the fast-growing Internet-based computing market.

On the economic front, new home sales rose 3.3 percent to a seasonally adjusted 343,000-unit annual rate in April, according to the Commerce Department, beating expectations for a 335,000-unit reading.

Treasurys prices held near session highs after the government auctioned $35 billion in 5-year notes at a high yield of 0.748 and bid-to-cover of 2.99.

—By CNBC’s JeeYeon Park (Follow JeeYeon on Twitter: @JeeYeonParkCNBC)

Coming Up This Week:

THURSDAY: Durable goods orders, jobless claims, 7-yr note auction, BlackRock shareholders mtg, Goldman Sachs shareholders mtg, McDonald's shareholders mtg; Earnings from Costco, Tiffany
FRIDAY: Consumer sentiment, USDA food prices outlook

More From

Greeeeek! Europe in financial turmoil – Euro exit fears for Greece rocket, Germans snub rescue and shares plunge - The Sun

EU officials urged countries to come up with emergency plans for an Athens departure.

Stock markets fell after Germany’s central bank said a Greek exit would be “manageable”.

Greek PM Lucas Papademos fuelled the chaos by saying: “The risk of Greece leaving the euro is real.”

Within hours the FTSE had plunged by 2.5 per cent. Stock markets dropped sharply in France, Germany and Italy too.

The battered euro slumped to its lowest level against the dollar in nearly two years.

EU leaders held a crisis summit in Brussels last night where David Cameron pleaded with Germany to save the euro. The PM urged German Chancellor Angela Merkel to bankroll a new rescue package and stop “contagion” sweeping the Continent.

But she snubbed him by flatly rejecting proposals for new eurobonds to prop up the single currency.

Arriving in Brussels last night, Mrs Merkel stated eurobonds — which are collective debts to allow struggling nations to borrow more cheaply — were not the solution and even claimed they would be illegal.

“The treaties do not allow member states to take over the debt of other members,” she said. In the Commons earlier, Mr Cameron had said Europe’s leaders must act.

“I don’t believe we can afford to allow this issue to be endlessly fudged or put off,” he said.

The crisis also exposed tensions between the PM and Nick Clegg.

Mr Cameron warned Greece can either press on with cuts or quit the euro.

But in a speech in Berlin today, the Deputy PM will say that “no rational person” could talk up the prospect of Greece’s departure — and claimed a Greek euro exit could cause “unpredictable, irrevocable damage.”

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