How Dynamic Investments will Benefit
the Entire Financial Services Industry
In this section of the Web site I will provide just a glimpse at how the use of DIT methods and Dynamic Investments will change and benefit virtually every area of the financial services industry. I show how DIs will change how various types of organizations in the industry can improve both their products / services and their bottom line revenues on Web pages that are below this one in the "For Professionals" navigation menu.
Benefits of DI Use for the Entire Financial Services Industry
Here are just a few of the benefits that will accrue to the financial services industry as a whole when Dynamic Investments become mainstream - and they will sooner then most think.
1. Superior Investment Products - DIs were designed specifically to thrive in today's volatile markets. They employ an intelligent buy and sell methodology in order to hold only investments that are moving up in price while selling or avoiding those that are trending down. By doing so they can consistently produce returns that today's "experts" will say are impossible and with low risk. You saw on the Home Page that the NAOI Core DI, the simplest DI possible, earned an an average annual returns of +26.7% during the decade from the start of 2008 to the end of 2017. You also saw that there are an unlimited number of DIs that can be created for a full spectrum of investing goals on this page. The bottom line is that DIT and DIs enable the financial services industry to offer products that are far superior to the MPT portfolios being offered today.
2. A Significantly Larger Client Base - The NAOI works with hundreds of investors on an annual basis in our education classes. We know that people are afraid to risk their financial futures by purchasing portfolios designed by a financial advisor who is also a salesperson. They also are hesitant to risk their savings in a market they don't understand. DIs take this fear away. When the public learns that DIs can produce 20%+ returns with limited risk and absolute protection from market crashes, they will flow into the market in record numbers. Financial organizations that offer DIs will expand their prospect and client base exponentially.
3. Ease of Creating New Products and Expanding Your Product Line - Creating new ETFs and Mutual Funds is a complicated, time-consuming and expensive process. And the developer is competing against other companies that are creating similar products. DIs are created by simply combining existing ETFs into the NAOI Dynamic Investment Structure. They are easy and inexpensive to create and take very little time. This will enable investment developers and vendors to expand their product lines with powerful new products virtually overnight.
4. Increased Revenues - More and better products, a larger prospect and client base, lower development costs, etc. all translate into increased revenues for organizations that embrace the use of Dynamic Investments and Dynamic Portfolios.
6 Creating Value and Enhancing Balance Sheets - The possibility exists that optimized DIs for specific goals can be see as proprietary assets of the developing organization and licensed to other organizations for sale much the same as index creators license their products for use by mutual fund and ETF creators. This would enable creators of the "best" DIs to include them as assets on their balance sheets.
7. A Simplified Sales and Marketing Process - DIs are standardized consumer products. Once created their design does not change but the ETFs they hold do based on built-in intelligence. Because DIs are not customized to match the risk tolerance of any investor they can be bought and sold from a variety of vendors using catalogs like the one illustrated below. It comes from Chapter 6 of The Amazing Future of Investing book. And because DIs are "products" their performance history can be shown in such catalogs, enabling investors to make informed choices. In almost every way, the introduction of DI products makes the sales and marketing process easier than it is today in an MPT-portfolio based world.
These are benefits that all financial organizations can take advantage of with the introduction and use of Dynamic Investments. Other Web pages in this section of the site show how specific areas will benefit. Hover over the "For Professionals" in the navigation bar to access them.