Glossary

The practice of maintaining uniform messaging, visuals and tone across all client touchpoints to build trust and recognition.

A clear statement that communicates what clients can expect from the advisor’s service and value proposition.

A firm or individual licensed to buy and sell securities for clients and for their own account.

A plan and process to ensure a firm can continue operations during and after disruptions or unforeseen events.

An individual responsible for driving growth by identifying new client opportunities, partnerships and revenue streams.

The long-term impact and reputation an advisor or firm leaves behind, often associated with client service, values and succession.

The process of determining the economic worth of a business based on factors such as revenue, assets and market position.

A measure of how effectively a marketing or sales campaign achieves its intended goals, such as engagement or conversion.

Limitations in time, resources or personnel that restrict a firm’s ability to take on additional clients or projects.

The process of assessing and aligning available resources with current and future client demands.

A structured approach to career development that outlines potential roles, skills and progression for employees.

Individuals or organizations with influence and credibility within specific networks, and can be valuable for businesses seeking to expand their reach and acquire new clients. 

An organization’s or individual’s ability to effectively prepare for and adapt to new strategies, tools or processes.

The percentage of users who click on a specific link out of the total who view an online ad or email.

The process of attracting and converting prospects into clients through marketing, outreach and referrals.

A planned approach for how and when to engage with clients across various channels.

A structured process for turning prospects into clients through defined steps and engagement strategies.

Statistical data about clients such as age, income, occupation and location which may be used to tailor services and outreach.

The level of interaction, communication and involvement a client has with a firm and its services.

All interactions and perceptions a client has with the advisor and their firm, from initial contact to ongoing service.

The alignment between a client’s needs, values and preferences and the advisor’s services and expertise.

The complete lifecycle of a client’s relationship with a firm, from first contact through ongoing service and support.

The composition of a firm’s client base, segmented by factors like size, profitability or service needs.

The structured process of smoothly transitioning clients out of a firm.

The structured process of integrating new clients into a firm’s services.

The ability of a firm to maintain ongoing relationships with clients over time.

The practice of dividing clients into groups based on shared characteristics to tailor services and communications.

A team member responsible for handling administrative and operational client service tasks within an advisory practice.

A framework that defines the level and type of service provided to different segments of a client base.

The distribution of clients across different financial lifecycle stages, such as accumulation, preservation or distribution. 

A classification system ranking clients by value, complexity or strategic importance to the business.

All interactions a client has with a firm, including meetings, emails, phone calls and digital communications that shape the client relationship and influence satisfaction, trust and engagement.

The planned frequency and timing of interactions with clients to maintain engagement and trust.

The medium through which messages are delivered to clients, such as email, phone, in-person or social media.

The annualized rate of return of an investment over a specified time period, assuming profits are reinvested each year.

A holistic approach to managing a client's financial life, including investments, retirement, estate, tax and insurance planning.

The process of preparing for business disruptions to ensure service to clients continues without interruption.

The percentage of prospects or leads who take a desired action, such as becoming a client.

Guidelines for entering and maintaining consistent, accurate and useful data in a CRM system.

The degree to which individuals or clients share the values, beliefs and behaviors of a firm or team.

A financial institution that holds and safeguards clients' assets and facilitates trading, reporting and compliance for advisors.

A software system used to manage client information, interactions and service workflows.

A short, focused team meeting held daily to align on priorities, share updates and address immediate issues.

A visual interface that displays key metrics and performance indicators to help monitor and manage business performance.

The process of using data analysis and insights to guide strategic and operational business choices.

The phase in financial planning when clients begin to withdraw assets to fund retirement or other needs.

An assessment tool or process used to evaluate business health, performance or client needs.

A leadership role responsible for overseeing the delivery and quality of service provided to clients.

The initial phase of client engagement focused on understanding goals, values, financial circumstances and preferences.

An investment strategy that spreads assets across various sectors or asset classes to reduce risk.

A commitment to fostering a workplace that values different backgrounds, ensures fair treatment and promotes a sense of belonging.

A secure digital repository where important client and firm documents are stored and managed.

A formalized procedure outlining how investment choices are evaluated, approved and tracked for consistency and accountability.

Charitable giving accounts that allow donors to contribute assets, receive tax benefits and recommend grants over time.

A firm’s immediate actions and protocols during unexpected events to protect clients, employees and operations.

A federal law that sets standards for retirement and health benefit plans in private industry to protect participants.

The unique set of benefits and experiences a firm offers to attract, engage and retain employees.

A team-based advisory firm structure where multiple professionals collaborate to serve clients and share business responsibilities.

The total value of a business, including its equity, debt and cash, used to evaluate its worth in mergers or sales.

Ownership interest in a business or asset, or the value of an asset after subtracting liabilities.

Plans that use company stock or stock options to reward employees, aligning their interests with business performance.

The process of allocating a deceased person's assets to heirs and beneficiaries, typically guided by a will or trust.

The preparation of tasks that manage an individual’s asset base in the event of incapacitation or death.

A type of investment fund that is traded on stock exchanges and holds a diversified portfolio of assets.

A planned approach for transitioning out of business ownership, often involving succession, sale or merger.

The transfer of firm ownership to an outside buyer, often used as part of a succession or exit plan.

Mutual fund share class typically used in fee-based advisory accounts, often with no front-end load and lower ongoing fees.

A holistic approach to managing the financial affairs of affluent families, including investments, estate, tax and legacy planning.

A legal and ethical obligation requiring advisors to act in the best interests of their clients at all times.

An approach that integrates personal values and life goals with financial planning to create a more holistic strategy.

Key financial achievements or events that mark progress toward a client’s long-term objectives.

The comprehensive process of evaluating a client’s financial situation and developing strategies to meet future needs.

The estimated capacity for growth or increased value in a client relationship, business or investment.

The process of ensuring financial plans and services meet the needs and values of multiple generations within a client family.

A financial strategy focused on helping clients achieve specific personal and financial objectives.

A measure of how sustainable and consistent a firm’s or investment’s growth is, considering factors like profitability and risk.

An integrated approach to planning that covers investments, taxes, insurance, estate planning and lifestyle goals.

An estimate of how long members of a client household are expected to live, impacting retirement and legacy planning.

An advisor or firm that operates both as a Registered Investment Advisor (RIA) and is affiliated with a broker-dealer, allowing them to offer both fee-based and commission-based services.

A business model combining elements of independent advisory and brokerage services, often under one organizational umbrella.

Potential clients who initiate contact with a firm due to marketing efforts, referrals or brand presence.

A firm that allows financial advisors to operate independently while providing access to investment products and back-office support.

A Registered Investment Advisor firm that operates independently, providing fiduciary, fee-based financial advice.

Tax-advantaged savings accounts that help individuals save for retirement with various contribution and withdrawal rules.

A broker-dealer affiliated with an insurance company, offering both insurance products and investment services.

Financial planning approaches that incorporate insurance products to help manage risk, protect assets and support wealth transfer.

The exchange of information within a firm to align teams, share updates and support a cohesive workplace culture.

A documented commitment between departments within a firm outlining expected service standards and response times.

The transition of business ownership or leadership to existing employees or junior partners within the firm.

A group responsible for overseeing and making key decisions on a firm’s investment strategies and policies.

The professional handling of financial assets through portfolio construction, monitoring and adjustments to meet client goals.

The various financial instruments available to investors, such as stocks, bonds, mutual funds and exchange-traded funds (ETFs).

A set of guiding principles and beliefs that shape how an advisor or firm approaches investing and portfolio construction.

A document outlining a client's investment goals, risk tolerance, time horizon and the guidelines for managing their portfolio.

A collection of financial assets such as stocks, bonds and funds owned by an individual or institution.

A structured approach to selecting, monitoring and managing investments based on a firm’s philosophy and client goals.

A plan for allocating assets in a portfolio to achieve specific financial objectives within an acceptable risk level.

An entry- or mid-level advisor who supports senior advisors with client service, research and financial planning tasks.

A measurable value used to track progress toward business goals and assess performance over time.

The primary advisor responsible for managing client relationships and delivering comprehensive financial advice.

The process of turning a prospect or inquiry into a committed client.

Metrics that signal future trends or outcomes, helping firms anticipate performance and make proactive decisions.

The process of preparing for how a person’s assets and values will be transferred to future generations or causes.

The formal setup of a firm, including its legal entity type and how finances, ownership and liabilities are organized.

The sustained benefits or profitability a client, relationship or investment brings over time.

An individual responsible for creating and executing strategies to promote a firm’s services and build its brand.

A metric that evaluates the return generated from marketing activities relative to their cost.

A large advisory firm structure with multiple specialized teams of advisors, each managing different client segments and supported by shared operational infrastructure.

A professional relationship where a more experienced individual guides and supports the development of a less experienced colleague.

The combination of two firms into one entity.

Core themes or concepts that form the foundation of a firm’s communication strategy and brand messaging.

A financial advisory firm designed to serve multiple generations within client families. Also, a practice that includes multiple generations of advisors. 

Assets passed down and managed across several family generations, often requiring specialized planning and governance.

Broker-dealers that operate on a national or regional scale, offering advisors infrastructure, compliance and product access.

The number of new clients acquired minus those lost over a specific time period.

A metric used to gauge client satisfaction and loyalty by asking how likely they are to recommend the firm.

A comprehensive approach to managing and growing an individual’s total assets minus liabilities.

The percentage of recipients who open a specific email, used to assess the effectiveness of marketing communications.

The framework defining how a firm delivers services, including roles, processes and technology systems.

The person responsible for managing the administrative and logistical functions that support the firm’s day-to-day activities.

The formal system of roles, responsibilities and reporting relationships within a business.

The structure that defines who owns the firm, including equity distribution among partners or shareholders.

Employee leave that is compensated, including vacation, personal and sick days.

Programs and resources designed to help retirement plan participants understand their benefits and make informed decisions.

Data points that track how actively retirement plan participants interact with educational tools, communications and plan features.

Rewards given to employees based on the achievement of specific performance goals or metrics.

Compensation tied to an individual’s or team’s results, often used to motivate and reward high performance.

Guidance provided to clients on how to structure and implement charitable giving strategies effectively.

The process of comparing a retirement plan’s features, costs and performance to industry standards or peers.

The transition process of moving a retirement plan from one provider or platform to another.

Expert advice on structuring a retirement plan to meet the sponsor’s goals and participant needs.

Metrics that assess the effectiveness and overall performance of a retirement plan, such as participation rates and savings levels.

An employer or organization that offers and oversees a retirement plan for its employees or members.

The process of selecting and overseeing a collection of investments to meet a client's financial objectives.

The process of creating the best possible investment mix to maximize returns for a given level of risk.

Adjusting the asset allocation in a portfolio to maintain the desired risk level and investment strategy over time.

A professional who handles the daily operations, staffing and administration of a financial advisory firm.

Initiating contact with clients or prospects to provide value or address needs before issues arise.

A budget allocated to employees for training, certifications and educational opportunities to enhance their skills.

The process of identifying and engaging potential clients to grow a financial advisory business.

A tax-free direct transfer of funds from an IRA to a qualified charity (up to a certain amount annually), available to individuals aged 70 ½ years or older.

An investment option used in retirement plans when participants do not make a specific investment choice, that limits a plan sponsor's fiduciary risk if certain requirements are met.

Potential clients who meet predefined criteria and show interest or readiness to engage with advisory services.

A continuous process of acknowledging employee achievements and providing constructive feedback to encourage growth.

A monetary or non-monetary reward given to employees in recognition of their performance or contributions.

Trusted professionals or organizations who refer clients to an advisor, often in complementary fields like law or accounting.

An estimate of how likely a client or contact is to refer new business to the advisory firm.

The percentage of new clients acquired through referrals over a specific time period.

A firm or individual registered with the SEC or state authorities to provide fiduciary investment advice for a fee.

A professional responsible for maintaining and enhancing client relationships through personalized service and communication.

A formal document issued by an organization to solicit bids from service providers for a specific project or need.

The minimum amount retirees must withdraw annually from certain retirement accounts, generally starting at a certain age (currently 73).

A form of equity compensation where company shares are granted to employees with conditions such as vesting periods.

The process of creating a strategy to convert savings and assets into a reliable income stream during retirement.

The setup and introduction of a new retirement plan for an organization, including documentation, education and participant enrollment.

A professional who oversees the relationship between a firm and its retirement plan clients, ensuring service quality and plan performance.

A specialist focused on designing, managing and consulting on employer-sponsored retirement plans.

The process of preparing for financial independence in retirement by setting goals and building income strategies.

The total income generated by a business from its services or products before expenses are deducted.

An increase in a firm's income over time, often used as a key indicator of business success.

A compensation arrangement where part of the revenue from products or services is shared among stakeholders or partners.

The identification, analysis and mitigation of financial risks to protect client portfolios and business operations.

Clear understanding of job responsibilities, expectations and boundaries within a team or organization.

A regular review of key performance indicators and metrics used to track progress toward business goals.

A measure of how well a website or content ranks in search engine results to drive organic traffic.

An experienced financial professional who leads client relationships and often mentors junior team members.

A detailed visual or map that outlines the specific processes, roles and client interactions in service delivery.

The planned frequency and timing of client service activities throughout the year.

The execution of promised services to clients in alignment with defined standards and expectations.

A documented agreement that outlines the expected level of service between a provider and client or between internal teams.

A visual tool that defines which services are delivered to different client segments based on tiers or profiles.

A broad framework that describes how a firm structures and organizes its services, including the overall approach, service offerings, delivery methods and client engagement strategy.

The specific types and levels of support a client requires based on their goals, preferences and financial complexity.

The average time it takes to complete a client service request from initiation to resolution.

A structured approach to delivering different levels of service based on client segmentation or value.

A measure of how satisfied clients are with the quality and consistency of services received.

A firm structure where advisors operate independently with little collaboration or shared processes.

A financial advisory firm operated by a single advisor who manages all aspects of the business and client service.

The platforms or methods used to attract talent or leads, such as job boards, referrals or networking events.

Documented, step-by-step instructions designed to ensure consistency and quality in recurring business processes.

A clear understanding and alignment around a firm’s goals, direction and priorities.

The degree to which a new initiative, client or partnership aligns with a firm’s mission and long-term objectives.

Philanthropic efforts aligned with personal or business values, often integrated into broader financial or legacy plans.

A key action or initiative that can significantly influence business outcomes or growth when activated.

The process of defining a firm’s direction, setting goals and determining the actions needed to achieve them.

A planned shift in business operations or leadership to support long-term goals and continuity.

Periodic communications that inform stakeholders of progress, changes or developments in a firm’s strategy.

Assigning tasks based on team members’ individual strengths to maximize performance and engagement.

A documented strategy for transferring leadership or ownership.

The state of being prepared for a leadership or ownership transition, including trained successors and documented processes.

The potential disruption or decline in business performance due to the absence of a clear or prepared successor.

The extent to which a designated future leader is prepared to assume responsibilities and maintain business continuity.

The ability of a business to grow at a consistent, manageable rate without overextending resources or compromising quality.

A strategic planning tool that evaluates internal capabilities and external factors to shape business direction and integration plans.

The percentage of time a system or platform is operational and available for use, indicating reliability.

The process of identifying, attracting and hiring qualified candidates to meet organizational needs.

Ongoing efforts to support employee development, engagement and career progression.

A pool of potential candidates being developed or evaluated to fill future roles within a firm.

A simple tracking tool used to record quantitative data such as tasks completed, calls made or services delivered.

The reassignment of responsibilities among team members to optimize efficiency or adjust for staffing changes.

Strategies aimed at minimizing tax liabilities while complying with current laws and regulations.

The analysis and organization of a financial situation to help maximize tax efficiency and reduce future tax burdens.

Designing income streams in retirement or distribution phases to help minimize tax impact while meeting cash flow needs.

Approaches to investing that aim to reduce the impact of taxes on returns, such as asset location and tax-advantaged accounts.

Selling investments at a loss to offset gains and reduce taxable income.

Designated team members who represent and promote the firm's culture, values or initiatives internally and externally.

A tool used to outline and track training, growth opportunities and skill-building activities for team members.

A cohesive group of professionals united by shared goals, strong commitment and mutual trust.

The ability of a team to adapt to challenges, recover from setbacks and maintain performance under stress.

The process of identifying and leveraging each team member’s unique abilities to enhance collaboration and results.

Using technology and streamlined workflows to improve efficiency, scalability and client service delivery.

Digital platforms that allow clients to securely access their financial information, documents and communications with the firm.

Predefined limits or benchmarks that trigger actions or decisions, such as service levels or investment minimums.

A structured schedule outlining key milestones and dates for transferring business ownership or responsibilities.

The degree to which clients or team members effectively begin using and integrating new tools or systems.

An estimate of the monetary worth of a business or asset based on financial metrics and market conditions.

The capacity for a business’s value to increase over time due to growth, efficiency or strategic positioning.

The benefit or utility delivered to clients through services, advice and overall experience.

Key factors that significantly contribute to the growth, profitability and attractiveness of a business.

A clear statement explaining the unique benefits a firm offers to clients that differentiates it from competitors.

The portion of a client’s total investable assets that are managed by a specific advisor or firm.

The process of passing assets from one generation to another through estate planning, gifting or inheritance.

A large, full-service brokerage firm that offers investment, advisory and banking services, often with national reach.

Inefficiencies or obstacles in business processes that slow down operations or reduce service quality.