Thursday, July 3, 2008

THE MAIN & WALL STORY.....Life, Money & the Pursuit of IT ~ Modular-Finance in Motion™...

T's All About ALPHA...
Some get "it"
Some don't ...
And some will get trapped in the past.
It's that simple

What is ALPHA?
Simply stated, it's what you bring to the table, add to the mix, your value proposition, your value added. Whether you're in business, sales, manage people or money, play sports, write or create for a living or simply invited to a party, if you don't add value, you are vulnerable to the competitive forces of nature -  being replaced, outsourced or put on the B-List. It's a competitive world - you need to add value, you need to find your ALPHA. It's that simple!
It's also true of your financial future. The 21st century presents a different set of challenges from those our parents faced. People are living longer and in most instances the government and corporate safety net is gone. "The Great Risk Shift" has put the financial burden squarely on the shoulders of the individual. People are now fully responsible for their own financial futures. Your ALPHA determines your paycheck and all of us are now portfolio managers for our retirement assets, whether we like it or not. How well you do at that job can make a world of difference as well. The value added in the end is up to you. It's all about Alpha, It's that simple.
However, when it comes to planning and investing, the truth is that many of the large financial institutions are trapped by their past success in selling investment products and are now simply unable or unwilling to change their approach to provide the type of service this new market demands. Like the American car industry in the 1980's - the financial services industry, to a large extent, has become focused entirely on its own game plan and not on the experience of the consumer. They may use their ad agency and a focus group to come up with a new way to re-brand their business, but when you follow the money, it's business as usual. In the 21st century, any company or industry that does not manage its business backward from the consumer experience will go out of business. The financial services industry is no different. Some will make it, some will not and some will get trapped in the past. Why would anyone today aspire to own a mutual fund or managed account if it doesn't provide a decent return or buy a structured product they don't understand? This new market requires an out-come driven approach that requires expertise - unbiased expertise - to deliver a client-focused process and an outcome-driven solution. It takes a different structure, focus and skill set to address this need. We're not in Kansas anymore. People need ALPHA, It's that simple.
     To compound the problemthe world of finance is changing. The events of 2008 have changed the game. Many books have been written, our story is one of a new corporate architecture, culture and way of thinking to meet the challenges of the 21st century.