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Marketing Communications for Investment Advisors
November 2004

Looking for marketing materials that support your belief in active management of your clients' assets to control risk and optimize performance? Financial Communications Associates has been helping active managers develop marketing materials, newsletters, web sites, presentations and media campaigns for more than a decade.

Among our publications is The Thoughtful Investor, a quarterly newsletter customized by investment advisors for use with their clients. To see the current issue of the newsletter, click on the image below. For more information on our services, call 303-989-5656 or visit www.effectivewords.com.

Thanks for your interest,

Linda Ferentchak

in this issue
  • Buy-and-Hold Advisors Advocate Active Management
  • New Thoughtful Investor Newsletter Available
  • Value of Media Coverage
  • Generating Media Coverage

  • New Thoughtful Investor Newsletter Available


    Thoughtful Investor is a quarterly, NASD reviewed newsletter for use by investment advisors to communicate active management concepts to clients. Personalized with your photograph and contact information, the newsletter helps keep your name and face in front of clients in a format that can easily be shared with others.

    If you already have an in-house newsletter, you can purchase reprint rights to Thoughtful Investor articles for use in your existing client communications, on your web site, in news releases and client letters.

    To review the current issue, click on the image above. Prior issues are available on our web site at www.effectivewords.com. To find out how you can use the Thoughtful Investor in your marketing program, call Linda Ferentchak today at 303-989-5656.


    Value of Media Coverage

    Chip Roame, founder of Tiburon Strategic Advisors, has become a well-known authority in the investment community for his insights into the workings of the broker/dealer and financial advisor industries. Chip credits much of his visibility to issuing regular news releases on the results of his studies to an extensive media list.

    If you've ever received one of Chip's releases, you will find it a lengthy, chart and graphic-studded piece, full of data. I've never actually seen one of Chip's releases used in its entirety in the media, but his studies and Chip himself are widely quoted. By releasing quality information and insight on his area of expertise, Chip established himself as an authority. It's an approach that can work well for other businesses.


    Generating Media Coverage

    Looking for media exposure? Like investing, there are low-risk and high-risk ways you can go about generating media coverage for your firm and your investment philosophies. Below, we've outlined a few directions you might consider to increase the visibility and credibility of your advisory firm. But, before you set out to aggressively court media exposure, take a moment to download a copy of our media training guide (see link to the right). You can never afford to forget that the media love to tear down those they build up.

    Low-Risk, Basic News Coverage
    Many local publications use brief, one to two sentence notices on new office openings, relocations, personnel additions, new accreditations, and industry recognitions. There are often opportunities in trade publications for similar notices. These are a natural to generate low-level visibility for your firm.

    Upping the Ante

    What if you would like to also be known for your investing abilities? Where you go next depends a great deal on your personality. A basic approach is to begin to put out regular quarterly releases on the performance of your investment programs. The catch is that the media really doesn't care how your investors did. Their job is to provide their readers with value, which is why your release on performance actually needs to be a release on investing how-to's with performance thrown in as the credentials to support your comments.

    Will these releases be used as submitted? It's very unlikely. What you want to happen is that the reporter finds in your release something that sparks an idea for a longer story and calls you for more information. The best media coverage is that written and bylined by the reporter. Your goal is to be a trusted source quoted in that article and in subsequent pieces written by the reporter.

    If you are comfortable with and enjoy taking time to visit with reporters -
    1. read your favorite publications,
    2. target a reporter whose work you like,
    3. put together a story idea you think goes well with the types of articles the reporter writes, then
    4. call and pitch your idea.

    If there seems to be interest, ask if the reporter is available to meet with you and discuss it further.

    Submitting Authored Articles
    Interested in having articles appear under your byline? The easiest targets for an authored article are industry publications that commonly use articles by non-staff members, such as Technical Analysis of Stocks and Commodities.

    Local newspapers tend to rely on an established cadre of local and syndicated writers for bylined columns. While it never hurts to ask about submitting an article for the editor's consideration, you are probably better off targeting special editions or supplements. Most publications have an editorial calendar of special topics planned for the upcoming months.

    Would you like to generate media coverage of your firm but you're not quite sure where to start? Give Linda Ferentchak a call today and let's discuss how you can position yourself and your firm as an authority on active investment management.


    Buy-and-Hold Advisors Advocate Active Management

    Harold Evensky, chairman of Evensky, Brown & Katz in Coral Gables, Fla, made an interesting observation at the Financial Advisors Symposium held October 6-8 in Chicago. Explaining his firm's adherence to buy-and- hold investing, Evensky admitted that recent results provided "very little story to tell our clients."

    Evensky's answer and that of many other advocates of buy-and-hold index investing has been to create "core and satellite" portfolios. The 80% portfolio "core" is the same old buy-and-hold asset allocation strategy that dragged portfolio returns down in 2000-2002. The opportunistic 20% is 100% active management, or, as Evensky describes this new aspect of the portfolio, "looking for alpha."

    While many buy-and-hold adherents may be adding an active component to their clients' portfolios to have a better story for clients rather than out of conviction that it will improve returns, there is definitive interest in active management among investors.

    Warnings of single-digit stock market returns over the next 5 to 10 years from the likes of Roger Ibbotson and Warren Buffett have investors worried. All of which adds up to a good time for active managers to get their story heard by the media and investors alike.

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