According to AdvisorTweets, Financial Industry Regulatory Authority Inc. (FINRA) says the delay is needed to reconcile comments from their membership.

As reported in DBJ Associates, the industry is taking a closer look at social media as sales literature because advisors and investors want to have a hand choosing the communications forms they prefer. “The cost of not communicating to advisors and clients through their preferred vehicles (social media) does not make a lot of long-term business sense.” Mr. Johnston said recently.

You can download your copies of Proposed New FINRA rules and Comment on Notice here.

Mutual fund marketers want to use social media

FINRA has no intention of addressing  the social media question directly.  In fact, the term “social media” appears nowhere in both the text of the new rule, nor Regulatory Notice 09-55, the comment notice.

The notice invites interested readers to call Joseph P. Savage, Vice President and Counsel, Investment Companies Regulation, at (240) 386-4534; or Thomas A. Pappas, Vice President and Director, Advertising Regulation, at (240) 386-4553 and state opinions.

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Last year, as imploding credit markets roiled the economy, mutual fund organizations throughout the country took stock of their revenue prospects.

It was clear that a change or two was in the wind at Denver’s Old Mutual Investment Partners, too. For Chief Executive Officer, D. Bruce Johnston, one more change was clear: He wanted to do something different.

From thought leadership to measuring results

Two major influences fueled his thinking: The prolific blogging activity of his friend, the best-selling author of The Ultimate Client Experience, Scott McKain and the promise of social media metrics and analytics in measuring the success of advisor value-added programs. After serving as a C-level executive at Conseco Funds, Garthmore Funds, Sentinel Funds and Old Mutual, he wanted to take a closer look at the role of social media in transforming business strategies in general and mutual fund distribution in particular.

Bruce shifted his family to Tuttle, Oklahoma where he started networking, interviewing industry thought leaders and practicing the social media arts. In short order, his blog, DBJ Associates became a rising source of reliable social media information for the relatively slow-to-adapt financial services industry.

He also completed a program to provide vigorous, aggressive third-party blogging support to an RIA who wished to attract interest in tax planning themes during the dog days of summer.

Bruce continued, “Social media in the form of social networks, online communities or blogs will become more and more a routine part of marketing, sales and distribution. That’s where the future is headed.”

According to Kasina and Horsesmouth, it’s official.

Financial advisers find American Funds’ adviser-only site the best, two-to-one, over nearest rival Pimco/Allianz.

Can creative, marketing and managerial professionals learn something from this achievement?
Web designer Zach Hedges of Actualize Media thinks so.

Why American Funds’ Adviser Center is the one to beat

“A solid social media strategy begins with a well-crafted web site. Believe it or not, the first thing that is right about this site is that the tagline provides a clear message: this site is about the advisor,” Zach said. “There are many sites out there where the ‘you’ is used for both customers and advisors.”

“The second strength is the intuitive navigation that step-by-step takes the adviser through the qualifying process. Well-organized and friendly to business-building, clearly marked prompts and suggestions keep the adviser from becoming overwhelmed.

“The hyperlinks provide transitions to statements like ‘let me show you what I mean’ which leads to further client qualification and a personalized hypothetical. Very cool.

“Third, the site shows you where to find more resources and support — in a way that leads to cross-selling opportunities.

“Attractive and conservative, the site seems designed for people on the move. Fonts are big and bold. The brand is American, red, white and blue all the way. This site just keeps on giving.”