Protecting the Financial Needs of Senior Investors Important, says SLM Holdings

--(BUSINESS WIRE)--There is a great need for financial services catering to senior citizens. It is anticipated that over the next twenty-five years the number of Americans aged sixty-five years and older will double. Since January 2005, the Financial Industry Regulatory Authority (FINRA) has completed approximately one hundred formal disciplinary actions involving or related to senior citizens.

“Especially as the baby boom generation begins heading into retirement age, it’s vitally important to insure that America’s seniors are being treated fairly by brokers, investment advisors, and other financial service professionals,” says Jason Bishara, CEO of SLM Holdings, Inc., a software company that specializes in Customer Relationship Management (CRM) tools designed to assist businesses in the financial services industry. “Issues of transparency and compliance are especially important when it comes to working with older investors.”

Recently the Securities and Exchange Commission (SEC), the North American Securities Administrators Association (NASAA), and FINRA announced a new initiative as part of securities regulators’ expanded efforts to protect older investors.

According to the announcement, this effort is one part of a national initiative to protect seniors from investment fraud and sales of unsuitable securities. The goal of the initiative is to identify successful practices used by financial services firms when dealing with senior investors as they relate to the following areas: marketing and advertising; account openings; product and account review; ongoing review of the relationship; and appropriateness of products. Additionally, in October FINRA instituted a series of webcasts to help better guide brokers when working with senior investors.

A major reason for the recent initiative was to protect seniors from being sold products that weren’t suitable for them. “It is of the utmost importance for seniors to have products that explicitly state their financial transactions, in case any legal concerns arise,” says Bishara. “One way to monitor interaction between the broker and client is through more comprehensive CRM tools that better manage and record all broker-client interactions.”

Technology such as SLM’s ACT! For Financial Professionals (AFFP) give the broker a comprehensive overview of their clients’ entire financial history. “Knowing your client and creating a record of what you told them is the golden rule of finance,” says Bishara. “CRM tools ensure that brokers are performing necessary due diligence and that older investors are protected.”

To learn more, visit www.slmbiz.com.