Future Proof Conference: Day 1 Insights
I’m at the Future Proof Conference in Huntington Beach this week with my colleagues and best work friends, Jared and Bryan.
Future Proof is where financial professionals come together to discuss markets, technology, and strategies that help firms like ours serve clients better.
It’s three packed days of learning sessions, vendors, and conversations, a year’s worth of due diligence into one event.
Here are a few takeaways from Day 1.
Should Alternatives Be in Portfolios
Alternatives are investments that are not stocks and bonds.
They can
Diversify Portfolios
They tend to behave differently from public stocks and bonds.
Potential for Steadier Returns
Some offer consistent income with less volatility than stocks.
Access to Unique Opportunities
Certain tax mitigation strategies or investing in sports franchises are only available through alternatives.
These strategies are increasingly available to individual investors through improved structures (like interval funds) and, slowly, lower fees.
But the bar to include these strategies should be high. Some questions to consider:
Does it solve a real problem?
Are the fees justified?
Does the manager have a reliable track record?
All these questions need to be answered before adding these strategies to a portfolio.
How to Win the Talent Game
The shortage of financial advisors is real. There is a projected shortfall of 100,000 advisors over the next decade, which makes attracting and retaining talent a true competitive advantage.
Here are some best practices shared from the session:
Show the Path to Growth
Existing and potential team members want clear expectations of their roles and visibility of what the future holds for them at the firm.
Culture Matters
Define it, live it, and keep teams connected across offices. Weekly cadences and thoughtful training beat vague mission statements.
Build the Bench Early
Internships, CFP programs at local universities, and employee referrals beat cold recruiting. Give interns real projects, exposure to client-approved meetings, and a capstone presentation.
M&A is Not a Magic Fix
Acquisitions can add talent, but without a strong culture, they often disappoint.
Barry Ritholtz: How Not to Invest
Barry recently wrote How Not to Invest after decades of watching investors fail to outsmart the markets.
This idea comes from Charlie Munger, who said
It's remarkable how much of a long-term advantage people like us have gotten by trying to be consistently not stupid, instead of trying to be very intelligent.
Here are a few highlights from his session:
The Forecasting Trap
From pandemics to tariffs, no one predicts the future consistently. Diversified portfolios can help with market unpredictability and mitigate major stock declines.
Information hygiene.
Curate trusted sources. The news and social media sell us candy, and we shouldn’t take “candy from strangers.”
The “Fun-Money” sleeve
If you like stock-picking, take a small piece of your portfolio to do this. A small sleeve keeps it fun while protecting the rest of your portfolio.
Inflation in Context
Cash handles short-term needs and provides long-term investment solutions. Long-term wealth comes from productive assets and compounding.
This book is on my nightstand, and I plan to read and review it soon.
AI Demos
AI was mentioned in almost every conversation, and the day concluded with six live AI demos.
The tools aim to make the data gathering, entry, and meeting prep more efficient, freeing time for client conversations.
After seeing these demos, I can see why many entry-level jobs are being reduced or eliminated.
Final Thoughts
That was a wrap on Day 1. I’ll be sharing more takeaways as the week goes on.
Keep learning. Keep growing. Keep going.
Now here’s what I’ve been reading, listening, and watching:
Becoming Dr. Seuss: Theodor Geisel and the Making of an American Imagination by Brian Jay Jones on Founders podcast
Routines and Orgies: The Life of Peter Cundill, Financial Genius, Philosopher, and Philanthropist by Christopher Risso-Gill on Founders podcast
The 5 Types of Wealth by Sahil Bloom
Children’s book (I have a 5-year old): Oh, The Places You’ll Go! by Dr. Seuss
Here’s what I’ve been writing:
