Kasey Wehrum
08/02/2004
In a perfect world, selecting a money manager or financial consultant would be as easy as placing a “Help Wanted” ad. After providing a list of financial needs and requirements, an investor could simply sit back and wait for the qualified responses to come rolling in. Alas, the world is far from perfect, but the Institute for Private Investors has created a service that may simplify the way its members search for and evaluate financial service providers.
The new service, known as Request for Information (www.memberlink.net), is an online and anonymous tool that matches private investors to the financial professionals who suit their needs. IPI members narrow the field by choosing from four main categories: Long Only Equity & Fixed Income; Alternative Investments; Investment Consultants; and Administrative or Other Advisory. After members fill out a brief form that allows them to pose questions to the prospective advisors, the system sends the request to the appropriate advisor members via the IPI’s Advisor Databank. The system forwards replies by email to the investor, and he or she can choose to follow up or not.
“This is a direct investor-to-service professional link,” says Charlotte Beyer, IPI founder and CEO. By cutting out the usual intermediary, Beyer says Request for Information benefits both the investor and the money manager. “For investors, this is a great way to find an appropriate professional, while staying anonymous until they are ready to take the next step, thus avoiding unwanted sales pitches. For advisors, this is a warm lead that immediately gives them a sense of what the investor is looking for.”
In addition to general service questions, the online format allows investors to customize their search by asking questions specific to their financial situation. According to Beyer, those of us seeking a consultant in the past have had to choose between word-of-mouth recommendations and electronic chat-room formats, both of which could expose us to unwanted sales calls and pitches. “Request for Information is a completely and totally confidential interaction between the investor and the money manager; those are the only two people with access to the information,” she says.