inStream moves to for-pay model as it expands financial planning platform

New tools include improved daily alerts and Wade Pfau's 'safe savings rate' function

Jan 6, 2014 @ 12:01 am

By Joyce Hanson

Executives at inStream Solutions said Monday that they are moving to a for-pay business model for the formerly free financial planning platform as they improve and expand the wealth management tools on offer to financial advisers.

Updates to inStream's tools include improved daily alerts when clients require attention, “mind mapping” software for adviser-client interactions and a “safe savings rate” function from Wade Pfau, a professor of retirement income at the American College of Financial Services who also serves as inStream's chief financial planning scientist on a project basis.

The company will offer the platform to its 2,000 users at an annual rate of $1,000. New inStream users will be charged $1,200, with volume-based discounts.

The price will include all additional releases, a number of which are due out in the coming months, according to inStream founder and chief executive Alex Murguia.

The second release will include a sustainable withdrawal rate function, he said.

“The first release is a … sea change of what will be available to advisers in the world of financial planning,” Mr. Murguia said. “The big news is that we're moving from vision to execution.”

inStream had its beginnings two years ago two years ago when Mr. Murguia was a principal at McLean Asset Management Corp. and looking to improve the firm's own wealth management platform.

The original tool was offered for free to other advisers as he sought beta testers to use the platform and provide feedback. As inStream grew in popularity, it separated from McLean and became a firm in its own right.

Integration partners working with inStream include Orion Advisor Services, Redtail Technology and TD Ameritrade Inc.

Before announcing the price change publicly, inStream in October notified users of its plans to start charging for the platform, Mr. Murguia said.

0
Comments

What do you think?

View comments

Recommended for you

Sponsored financial news

Featured video

INTV

Why broker-dealers are on a roll

Deputy editor Bob Hordt and senior columnist Bruce Kelly discuss last year's bounce-back for IBDs.

Latest news & opinion

Top 10 IBDs ranked by revenue

These independent broker dealers generated the most revenues in 2017.

8 podcasts advisers listen to when they aren't working

Listening to podcasts for the fun of it.

UBS continues to cut loans to recruits, while increasing compensation to brokers

The wirehouse reduced recruitment loans 20% and increased bonus loans 68% in the first quarter.

Things are looking up: IBDs soared in 2017

With revenue up, interest rates rising and regulation easing, IBDs are soaring.

SEC advice rule may give RIAs leg up over broker-dealers

Experts say advisers will be able to point to their role as fiduciaries as a differentiator in the advice market.

X

Hi! Glad you're here and we hope you like all the great work we do here at InvestmentNews. But what we do is expensive and is funded in part by our sponsors. So won't you show our sponsors a little love by whitelisting investmentnews.com? It'll help us continue to serve you.

Yes, show me how to whitelist investmentnews.com

Ad blocker detected. Please whitelist us or give premium a try.

X

Subscribe and Save 60%

Premium Access
Print + Digital

Learn more
Subscribe to Print