Janney Montgomery Scott is integrating
financial planning software from Advicent as part of its DOL fiduciary rule compliance solution for its 750 advisers.
The Philadelphia-based brokerage, which has $70 billion in assets, will integrate the technology firm's Naviplan software to expand the breadth of asset, liability, insurance and other information collected by advisers and considered in comprehensive planning for clients.
Advisers increasingly need to initiate more holistic planning with clients as the Department of Labor rule begins to take effect April 10, requiring all retirement advice be provided in clients' best interests, as opposed to the lower suitability standard. The rule, which some conjecture could be delayed or significantly changed by President-elect Donald Trump, is forcing changes in what advisers need to know about clients' whole financial picture and how they record and consider such details in their recommendations.
(More: Congressman introducing bill delaying DOL fiduciary rule)
"Financial planning is the core element of fiduciary advising," said Martin Schamis, Janney's head of wealth planning.
Janney will need to put in place additional tools looking at investment management, plan analytics and other aspects of the planning process to comply with the DOL rule, he said.
Advicent's Naviplan software will replace a mix of financial planning tools Janney currently offers from Envestnet's Finance Logix and Cheshire Software. It will also power Janney's retirement income evaluator tool that advisers use with clients and prospects to offer a quick look into someone's retirement preparedness, Mr. Schamis said. He said Janney reviewed 41 financial planning systems, including 21 digital advice platforms, over the past 14 months before it selected Advicent.
(More: DOL encourages investors to ask advisers if they are fiduciaries)
The new planning technologies will integrate with the account aggregation tools that Janney announced in April
that it is using from Quovo.
Janney is an independent unit of Penn Mutual Life Insurance Co.
