FINANCIAL PLANNING REVIEW最新文献

{"title":"The Value of Holistic Financial Advice","authors":"Shlomo Benartzi","doi":"10.1002/cfp2.1199","DOIUrl":"https://doi.org/10.1002/cfp2.1199","url":null,"abstract":"<p>Financial advice has historically been narrowly focused on investing decisions, which has led to skepticism from researchers and policymakers about its value, both in terms of the net alpha and personalization level of advised portfolios. This article explores the potential value of broader, or holistic, financial advice that also covers savings, debt and insurance decisions, which are relevant to a much broader population, not just those with enough wealth to care about investment alpha. The results show that there's tremendous value in holistic financial advice, which is worth $4384 per year or 7.5% of annual income for the typical household and translates into 2472 bps of the median 401(k) account balance. More importantly, this type of advice can be especially valuable for those with lower income who historically have been underserved. While policymakers have traditionally focused on the costs of financial advice, this research suggests that they should also be concerned about ensuring low and middle-class households have access to valuable holistic guidance, which is becoming increasingly affordable by leveraging AI and other technologies.</p>","PeriodicalId":100529,"journal":{"name":"FINANCIAL PLANNING REVIEW","volume":"8 1","pages":""},"PeriodicalIF":0.0,"publicationDate":"2025-01-29","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1002/cfp2.1199","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143120645","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Investors' Response to Market Volatility and Financial Sophistication","authors":"Ichchha Pandey,&nbsp;Michael A. Guillemette,&nbsp;Sabina Pandey","doi":"10.1002/cfp2.1197","DOIUrl":"https://doi.org/10.1002/cfp2.1197","url":null,"abstract":"<p>Using data from the 2021 National Financial Capability Study (NFCS), this study examines how individual investors' financial sophistication influences their response to the stock market in two scenarios: when the market drops by 20% and when the market increases by 20% for a brief period. The findings indicate that, relative to holding stocks, individual investors with higher levels of financial sophistication are more likely to purchase additional stocks and less likely to sell stocks when they experience a market drop for a brief period. Similarly, the study investigated how individuals react when the stock market rises for a short period and discovered that they are less inclined to buy and sell stocks than to hold them. Additionally, the results of this study provide insight into the case of myopic loss aversion (MLA), a supplementary finding of this paper. In addition to finding investors' optimal choice of buying and selling when the market moves, the present study provides supporting findings regarding the number of information sources used and trading frequency, all of which make a strong case for the influence of financial sophistication on MLA. In light of the recent COVID-19 and the ensuing volatility in the stock market, understanding how financial sophistication influences investors' reactions to the stock market is crucial for researchers, financial professionals, and policymakers.</p>","PeriodicalId":100529,"journal":{"name":"FINANCIAL PLANNING REVIEW","volume":"8 1","pages":""},"PeriodicalIF":0.0,"publicationDate":"2025-01-23","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1002/cfp2.1197","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143118420","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Delaying until it is definitely too late – A theoretical framework for explaining procrastination in estate planning","authors":"Michaela Tanner,&nbsp;Roland Hofmann,&nbsp;Katrin B. Klingsieck","doi":"10.1002/cfp2.1196","DOIUrl":"https://doi.org/10.1002/cfp2.1196","url":null,"abstract":"<p>Procrastination in estate planning poses significant challenges in personal financial planning. Despite recognizing its importance, many individuals delay estate planning, risking unplanned estate distribution and family conflicts. This procrastination, driven by discomfort and perceived ample time, leaves legacy unstructured, failing to meet the testator's wishes and needs. Understanding procrastination in estate planning is crucial as it affects financial security for surviving dependents and the orderly transfer of assets. Procrastination research, although extensive in academic and professional contexts, has not adequately addressed estate planning, leaving a gap in comprehending this behavior within financial decision-making. This article systematically analyzes procrastination in estate planning, presenting a theoretical framework based on the Rubicon Model and incorporating the mood-repair hypothesis and temporal motivation theory. It outlines the estate planning process, identifying phases where procrastination occurs and the possible reasons behind it. The framework explains how negative emotions and discounted future benefits contribute to delays, impacting the timely completion of estate plans. The article highlights the role of financial advisors in helping clients navigate estate planning, offering practical recommendations to improve client engagement and ensure better financial outcomes.</p>","PeriodicalId":100529,"journal":{"name":"FINANCIAL PLANNING REVIEW","volume":"8 1","pages":""},"PeriodicalIF":0.0,"publicationDate":"2025-01-22","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1002/cfp2.1196","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143117918","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Mapping the Terrain: Strategies for Building Effective University Financial Planning Programs","authors":"Ronald Heymann,&nbsp;Oliver Schnusenberg,&nbsp;Inga Timmerman","doi":"10.1002/cfp2.1198","DOIUrl":"https://doi.org/10.1002/cfp2.1198","url":null,"abstract":"<p>This paper explores factors influencing the success of financial planning programs in higher education. It can be used as a guide in the development of a financial planning program. Using a mixed methods approach, the study combines a comprehensive survey of past and present CFP-Board registered program directors and in-depth qualitative insights from the authors' own experiences. The survey encompasses demographics, competition participation, job placement, and perceived administrative support. Key elements of a successful program such as curriculum design, student engagement activities, diversity initiatives, faculty recruitment, and institutional support are discussed. Experiential learning opportunities, outreach efforts for diverse talent, and networking events emerge as critical factors in a successful program. Insights from program directors emphasize the importance of ongoing curriculum development aligned with professional trends, interdisciplinary perspectives, and real-world case studies. Challenges include resource constraints and faculty staffing. The findings offer insights for program directors, faculty, students, administrators, and other professional designation programs to enhance program quality, diversity, and impact, serving the needs of students and the broader community. The findings provide an outline for other professional programs (i.e., CFA or CPA) in how to design, implement, and run a successful program.</p>","PeriodicalId":100529,"journal":{"name":"FINANCIAL PLANNING REVIEW","volume":"8 1","pages":""},"PeriodicalIF":0.0,"publicationDate":"2025-01-22","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1002/cfp2.1198","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143118027","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"From the Executive Editor","authors":"Stephen M. Horan","doi":"10.1002/cfp2.1195","DOIUrl":"https://doi.org/10.1002/cfp2.1195","url":null,"abstract":"&lt;p&gt;The &lt;i&gt;Financial Planning Review&lt;/i&gt; (FPR) is entering its next phase of development. &lt;i&gt;The Review&lt;/i&gt; is returning to an open-access publication format. Authors will no longer be required to pay article publication charges for their research to be read, and readers will no longer be required to pay subscription fees to read it. In truth, the shift to open access is returning to FPR's roots because the Review was originally launched as an open access journal in 2018 as is common for many new journal titles. The expectation at the time was that it would adopt a traditional subscription model as it matured. And mature, it did.&lt;/p&gt;&lt;p&gt;Two things became apparent in the interim. First, CFP Board of Standards became increasingly convinced that the journal's impact would be greater under an open-access model. CFP Board is committed to building this nascent profession in a way that serves financial planning clients and society at large, and an open-access model helps further that mission. Second, the publishing industry is shifting toward open-access models. Most journals are still retaining conventional subscription models, so FPR is in the minority, but the trend is clear.&lt;/p&gt;&lt;p&gt;Finally, it is only proper to recognize the commitment of CFP Board of Standards in this effort. Publishing and managing a top-quality peer-reviewed journal is resource intensive. In the absence of subscription revenue, the resources must come from somewhere. CFP Board has taken it upon themselves to step up to the plate for the benefit of the profession. We are indebted to their commitment to this vision. And, I am personally grateful for their support.&lt;/p&gt;&lt;p&gt;This combined issue primarily addresses the client, focusing on their financial decision-making, well-being, trust, and money attitudes. Sonya Lutter emphasizes the importance of using a systemic approach in financial planning. This approach considers how individuals' financial decisions are influenced by their experiences and the broader systems they are part of. Some of the key influences she identifies are interconnectedness, homeostasis, and differentiation of self, and she illustrates these ideas with a case study, showing how systemic thinking can lead to better client outcomes by addressing underlying issues and improving communication. It highlights the importance of financial planners adopting a holistic view that considers clients' broader life contexts and uses tools like genograms to understand family dynamics, ultimately leading to more effective and empathetic financial planning.&lt;/p&gt;&lt;p&gt;Edmund Khashadourian and Adele L. Harrison evaluate the Consumer Financial Protection Bureau's (CFPB) Financial Well-Being Scale by comparing it with household financial ratios. They develop a model called the Equilibrium Model of the Household (EMH) to categorize financial well-being into four stages: financially distressed, fragile, stable, and flourishing. The CFPB scale aligns well with these categories, supporting its ","PeriodicalId":100529,"journal":{"name":"FINANCIAL PLANNING REVIEW","volume":"7 3-4","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-12-19","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1002/cfp2.1195","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143252887","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Perceptions or behavior? An evaluation of CFPB's financial well-being scale using household financial ratios","authors":"Edmund Khashadourian,&nbsp;Adele L. Harrison","doi":"10.1002/cfp2.1194","DOIUrl":"https://doi.org/10.1002/cfp2.1194","url":null,"abstract":"<p>This article creates a typology to assess four categories of financial well-being based on a combination of household financial ratios. Most financial well-being scales are based on subjective measures (i.e., perceptions), as objective markers have not reliably encapsulated financial well-being. We define a conceptual model, the equilibrium model of the household (EMH), and use discriminant analysis to extract categories of financial well-being. The continuum of these categories is financially distressed (lowest), financially fragile, financially stable, and financially flourishing (highest). Our results demonstrate these categories are consistent with the Consumer Financial Protection Bureau's (CFPB) Financial Well-Being Scale, a subjective scale. Higher CFPB scores were associated with higher category ranks. Our results provide additional evidence to support construct validity of the CFPB scale and may offer more actionability to the CFPB scores because specific financial outcomes/behaviors associated with our categories of financial well-being correspond to ranges of the CFPB scale. However, we argue that the claim whereby the CFPB scale measures a concept beyond traditional financial measures is imprecise and may even reflect the existence of noise in the CFPB's data, raising questions about its reliability.</p>","PeriodicalId":100529,"journal":{"name":"FINANCIAL PLANNING REVIEW","volume":"7 3-4","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-11-12","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://onlinelibrary.wiley.com/doi/epdf/10.1002/cfp2.1194","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143252572","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Applying a systemic approach for better outcomes","authors":"Sonya Lutter","doi":"10.1002/cfp2.1193","DOIUrl":"https://doi.org/10.1002/cfp2.1193","url":null,"abstract":"<p>This paper demonstrates the added value of utilizing a systemic approach to financial planning, which includes understanding how individuals make financial decisions and how these decisions are influenced by their experiences and the broader systems in which they exist. Systems theory is too broad of a topic to cover in one paper. The scope of this paper is to describe the key systems' concepts of interconnectedness, the whole is greater than the sum of its parts, homeostasis, and differentiation of self that have direct applications to financial planning. A case study illustrates how these concepts and tools, such as the genogram and shifting the conversation from content to process, can be utilized in financial planning. Through therapeutic communication (e.g., listening actively and recognizing the hidden cues in a client's communication), financial planners can uncover and address systemic issues impacting the financial planning process. Financial planners will learn key concepts of systems theory, gain tools for how to incorporate systems' concepts into practice, and be prepared to take an active role in the next evolution of financial planning.</p>","PeriodicalId":100529,"journal":{"name":"FINANCIAL PLANNING REVIEW","volume":"7 3-4","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-10-29","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143253458","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Clock-out: What explains “Quiet Quitting” in financial services?","authors":"Rebecca Henderson,&nbsp;Jennifer Lehman,&nbsp;Aman Sunder","doi":"10.1002/cfp2.1192","DOIUrl":"https://doi.org/10.1002/cfp2.1192","url":null,"abstract":"<p>This study investigates the impact of job demands and resources, employee engagement, burnout, satisfaction, and human capital on the Quiet Quitting (QQ) phenomenon among financial planners using a convenience sample of College for Financial Planning alumni. It also investigates whether gender differences exist in the factors that explain QQ. The random convenience sample had gender differences in roles, salaries, and QQ, favoring men more than women and aligned with the financial planning profession's gender diversity issues. Results reveal the factors that explain QQ in financial planning. However, women did not exhibit any differences from men regarding the factors.</p>","PeriodicalId":100529,"journal":{"name":"FINANCIAL PLANNING REVIEW","volume":"7 3-4","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-10-17","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143252848","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"An empirical exploration of the drivers of trust in consumer financial services","authors":"Jason M. Pattit,&nbsp;Katherina G. Pattit","doi":"10.1002/cfp2.1190","DOIUrl":"https://doi.org/10.1002/cfp2.1190","url":null,"abstract":"<p>Studies on trust in financial institutions are scattered across the literature and the results are often inconsistent, highlighting the need for additional investigation. Thus, relying on 1697 responses to a self-administered online questionnaire from consumers aged 18 or older in the U.S., we empirically examined several of these inconsistencies. Specifically, we explored how trust differs between seven types of financial services providers and between “customers” and “familiar non-customers” for each provider type. We also investigated how sociodemographic characteristics, generalized trust, previous experience, and the behavior and characteristics of financial services providers impact trust in different types of providers for “customers” versus “familiar non-customers.” Our results show that trust ratings differ across providers and between “customers” and “familiar non-customer” for the same provider type. Our results also show that there are distinct drivers of trust for “familiar non-customers” and “customers.” Indicators of reputation are important drivers of trust for “familiar non-customers,” especially for online-only financial companies. Shared values, interest protection, and personalized service are important drivers of trust for “customers,” especially for investment/brokerage firms, national banks, and credit unions. Taken together, these findings can help researchers and practitioners to better design marketing strategies geared toward building, maintaining, and repairing trust.</p>","PeriodicalId":100529,"journal":{"name":"FINANCIAL PLANNING REVIEW","volume":"7 3-4","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-08-28","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143253569","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Correlates of money attitudes among Portuguese people","authors":"Joana Neto,&nbsp;Félix Neto,&nbsp;Adrian Furnham","doi":"10.1002/cfp2.1189","DOIUrl":"https://doi.org/10.1002/cfp2.1189","url":null,"abstract":"<p>This study examined the psychometric features of the New Money Attitudes Questionnaire (NMAQ) in a Portuguese population and the relations between money attitudes, participant demographics, well-being, and personality factors. The sample comprised 241 participants aged between 18 and 66 years. They completed the NMAQ and measures of financial well-being, loneliness, and personality. The results of a CFA displayed a good fit for the five-factor model of the NMAQ, and adequate reliability. Men scored significantly higher than women in Power and Status, and women scored significantly higher than men in Mindful and Responsible. The effect of age on money attitudes was not significant. Participants with lower educational levels scored significantly greater than those with higher educational level in Power and Status and Financial Literacy Worries. Well-being and personality factors explained a significant amount of variance regarding money attitudes.</p>","PeriodicalId":100529,"journal":{"name":"FINANCIAL PLANNING REVIEW","volume":"7 3-4","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-08-14","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143252609","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}