Are “outlook” comments in MRFPs required?
At least every six months, communications, product and investments teams gather to produce MRFPs for mutual funds and ETFs.
While it’s unlikely that MRFPs are your most-read documents, it’s important to deliver on what’s required – to keep your current and future investors informed about the issues that affect their investments and to meet your regulatory requirements.
Should you or shouldn’t you include “outlook” comments in your MRFPs? The regulatory language is vague, and it puts the onus squarely on those responsible for producing the MRFPs.
In this article, we refer to “National Instrument 81-106 Investment Fund Continuous Disclosure” (“NI 81-106).
NI 81-106: Language specific to outlook comments
NI 81-106 is a big document. Even though it’s a little intimidating, it’s worth reading a few times. There are two sections that we want to focus on for this article. The first is 2.4 Recent Developments:
“Under the heading ‘Recent Developments’ discuss the development affecting the investment fund, including … known material trends, commitments, events or uncertainties that might reasonably be expected to affect the investment fund.”
The second is a little further down in the document, in INSTRUCTIONS (1):
“Preparing the management discussion necessarily involves some degree of prediction or projection. The discussion must describe anticipated events, decisions, circumstances, opportunities and risks that management considers reasonably likely to materially impact performance. It must also describe management’s vision, strategy and targets.”
So far, we believe the NI 81-106 is clear on the matter: include outlook comments. But the vagueness arrives quickly.
Watch out for promissory language
Immediately after the instructions above, we find this sentence:
“There is no requirement to provide forward-looking information.”
By this, we take it that regulators are referring to performance-specific comments. Your portfolio managers and sub-advisors should not promise performance in their outlook comments, and regulators are well aware of that.
“Forward-looking information,” however, could also encompass anything that refers to the future.
It’s up to you
MRFPs were created in the spirit of keeping Canadians better informed about their investments.
If you include outlook comments in your MRFPs, write about possible events that may affect fund performance and future activity in the fund. For example, a corporate bond fund will be affected by changing interest rates. That might be obvious for people in the investment industry, but may not be quite as obvious for investors.
If you don’t include outlook comments, create a brief business case for why you chose not to do so. If your firm believes there is a business risk to including these kinds of comments, have an explanation as to why. Also, be sure to highlight that your outlook comments won’t deliver on the regulators’ intentions. Keep this on hand in case you’re asked about your choice.
More resources
- Check out our ebook on commentaries, Your commentary prep-book: Get ready for crunch time – in no time
- We share our commentary best practices on our blog, check them out here
- NI 81-106 (page 44 is a good place to start)
- Ontario Securities Commission, Latest instruments, rules and policies
- Canadian Securities Administrators, Letters, statements and other reports
Ext. Marketing can help
We produce thousands of monthly, quarterly, semi-annual and annual commentaries – many of them MRFP commentaries – every year.
Our clients are among the world’s largest and most successful investment firms, and our daily interactions with our clients have given us a unique perspective – and dozens of best practices – for writing, editing, designing and project managing portfolio manager commentaries. We can help you produce better commentaries too.
To start creating better, faster and even cheaper commentaries, contact us today at 416.925.1700, 844.243.1830 or info@ext-marketing.com.
Read more:
https://ext-marketing.com/commentaries-articles/7-time-saving-investment-commentary-tips/
[Insert catchy headline]
Headlines are the first words your audience sees. And, if your headlines don’t catch your audience’s attention, they may be the last words your audience sees.
That’s why it’s so important to create headlines that grab your reader’s attention and act as incentive to read the rest of the piece you have taken the time to write.
The following are a few key tips for writing better headlines.
Keep it aligned with the content
Okay, we’re starting with the practical here. If your article is about your economic growth outlook for emerging markets, it’s probably a good idea to have the words “economic” and “emerging markets” in the title, or at least allude to these concepts in some way.
If your title for this article is “Strawberries and cream make for a proper outlook,” people may read on, but you will quickly lose them and their trust, possibly for good.
Keep it tight
Our motto is “the fewer words, the better.” Instead of writing, “The five best ways to improve your portfolio management process,” try “Improve your portfolio management process today.” The second option has almost half the word count and is way more active.
Our motto is “the fewer words, the better.”
And speaking of active words…
It’s always better to use strong, active words over a more passive tone. Verbs tend to draw in readers a lot more than adjectives and nouns.
Start your “search” engines
We’re not sure we’re saying it right, but these days it’s important to consider using words in your headlines that people are likely to “Google.”
If you’re writing about small-cap investing, include “small-cap investing” in the headline to improve the chance that your piece will be picked up by search engines and, when people punch in “small-cap investing,” hopefully your article will be close to the top of the list!
Avoid industry jargon
Financial professionals tend to use a lot of industry words that aren’t necessarily used or understood by the masses. It’s a good idea to save that jargon for the body copy in your piece, where you will have more room to explain what those jargony words actually mean.
You should also avoid largely unknown acronyms in your headlines.
These are just some of the tips we believe will help you write better headlines to better engage readers. Please weigh in if you have other tips on this topic!
Looking for writing help? Contact us at 416.925.1700, 844.243.1830 or info@ext-marketing.com.
Read more:
Five techniques for more effective self-editing
You’ve finished your first draft of that challenging article, blog post or brochure you’ve been working on for days, maybe even weeks. You’re excited to get it off your plate, whether that means publishing it or submitting it for review.
Not so fast! You may not enjoy editing your own work, but it’s an essential part of the writing process. These five simple, yet effective, self-editing techniques will make your writing cleaner, more concise and easier to read. Plus, they’ll save your editor some work.
1. Break up long sentences
Try to keep your sentences under 30 words, especially when you’re writing for the web. Scan your work for long sentences and, if you find any, try splitting them into two.
Before: It is really difficult to come up with an example of an overly long sentence when you are not used to writing that way, but put your mind to it and we are sure you will come up with something.
After: It is really difficult to come up with an example of an overly long sentence when you are not used to writing that way. But put your mind to it, and we are sure you will come up with something.
2. Delete unnecessary words
Some good examples of this are “in order to,” “really,” “very” and other filler words that don’t add to your sentence. Get into the habit of automatically searching for these words and deleting them. Then, take another look at your document to make sure you haven’t used two or more words when one would do.
Before: It is really difficult to come up with an example of an overly long sentence when you are not used to writing that way. But put your mind to it, and we are sure you will come up with something.
After: It is difficult to come up with an example of a long sentence when you are not used to writing that way. But put your mind to it, and you will come up with something.
3. Use contractions
You want your writing to sound natural and mirror the way you talk. That means occasionally using contractions.
Before: It is difficult to come up with an example of a long sentence when you are not used to writing that way. But put your mind to it, and you will come up with something.
After: It’s difficult to come up with an example of a long sentence when you’re not used to writing that way. But put your mind to it, and you’ll come up with something.
4. Stick with an active voice… most of the time
There are times when you’ll want to use passive voice, but most of the time, active voice is more engaging and easier to read. We published a separate blog post on why active voice rules, how to identify passive voice and when to – occasionally – use it. Go check it out.
5. Keep a dictionary close by
Here’s a not-so-secret secret most professional editors will admit to: they don’t know how to spell every word in the dictionary. What they do know is when to look things up. They also know that spellcheck isn’t always reliable. Keep a dictionary on your desk as you’re editing your own work, and look up anything you’re not sure of.
There’s much more a professional editor can do to make your work more polished and professional. Consider working with one before you publish your next piece.
To find the right editor for you, contact us at 416.925.1700, 844.243.1830 or info@ext-marketing.com.
An introduction to accessible design
Not everyone is talking about accessible design. But they should be. This article provides an introduction to accessible design concepts and links to more information.
The following are just a few of many ideas that will get you thinking about taking on a broader, more thorough accessibility review.
Making print accessible
Accessible design for print is about clear messages – making sure that your readers understand what you’re saying.
Colour
People’s perception of colour can be affected by specific visual ailments, the environment or injury. While colour blindness impacts a certain portion of the population, the contrast between colour hues affects everyone.
It may now be a little passé, but do you remember the blue dress meme? If you haven’t seen it yet, it’s time to review issues such as contrast and colour.
Font
“Big letters” are important but it goes much further than that. In the corporate world today, the majority of accessibility discussions around fonts focus on kerning (the space between letters) and leading (the space between lines), as these have a dramatic impact on print legibility. So, avoid complicated fonts. Choose fonts with recognizable letters and don’t overcrowd your copy,.
Hierarchy
This is a slightly more abstract idea than colour and font. Hierarchy is about the organization and prioritization of content in the overall structure of your document.
When attempting to improve hierarchy, designers often increase header size, add subheads and create bullets (where possible). Hierarchy is incredibly important in web design as well, which we’ll get to next.
Making web design accessible
While the three concepts above also apply to the web, accessible web design is about clear navigation – making sure your visitors can find the information they need. Here are two ideas that are a little more specific to the web.
Logic
Content must be intuitive. Your visitors should be able to predict specific elements, such as navigation, on each page.
Operability
People must be able to access and navigate through content no matter what tools they use to do so, from a mouse to a keyboard, as well as voice recognition.
A note on AODA
When it comes to web design, accessibility goes beyond look and feel. You need to develop your website according to accessibility principles.
Although the Accessibility for Ontarians with Disabilities Act (“AODA”) currently applies to companies with 50 or more employees, we think investment firms of all sizes should think seriously about incorporating AODA principles into their next redesign.
Examples of AODA best practices include:
- Do not add content through Cascading Style Sheet (“CSS”) because it may be inaccessible to screen readers
- Tag PDFs so that they’re accessible to screen readers
- Add ALT attributes to IMG elements in your HTML
Links for more info on accessible design
There’s a lot more to say about accessible design. Check out these sources for all the info you need:
- For more details tips and insights, read RGD Ontario’s Access-ability
- Accessibility for Ontarians with Disabilities Act
- For web development issues, visit W3C
- Global Accessibility Awareness Day
Contact us at 416.925.1700, 844.243.1830 or info@ext-marketing.com to start making your print and web design more accessible.
Read more:
https://ext-marketing.com/commentaries-articles/5-reasons-investment-commentaries-arent-bad/
Five easy ways to create better newsletters
Newsletters are a great way to keep your clients and prospects engaged because they allow you to share stories that educate and inform.
The number one rule for producing great newsletters is to write articles that engage your target audience. Let’s move on to some other ideas that will help you write better newsletters.
1. Focus on a theme
When you’re flushing out your editorial calendar, find some overarching themes that: (1) your clients and prospects will want to know more about and (2) will show that you are a subject matter expert. Focus each and every edition of your newsletter on just one theme.
For example, if your topic is retirement, you can write articles about staying healthy in old age, long-term financial planning, estate issues and financial education for young people.
2. Write killer headlines
This advice is just as true for newsletters as it is for any other marketing or advertising material. Given that everyone’s attention is being pulled in many different directions these days, a strong headline is often the best way to grab the readers’ attention – and convey your one key message.
Everyone’s attention is being pulled in many different directions these days. A strong headline is often the best way to grab the readers’ attention.
3. Add images that will maintain focus
A killer headline paired with an appealing image will help keep your readers’ attention. There’s no set rule for what images work best. Traditionally, images with smiling faces and/or images that take a moment for the reader to “get” tend to work well.
4. Keep it current
There’s an old saying that goes “put the news in the newsletter.” Our clients’ most popular newsletters – the ones that result in great responses and requests for more information – are often tied back to the news of the day.
Current content often means tighter deadlines, but it’s worth it. So make sure you have enough resources available to create this content as needed.
Current content often means tighter deadlines, but it’s worth it.
5. Do the research
Writers should be able to back up what they say in their articles. And, to add value, newsletter publishers should have more data and resources on hand as well. That way, when clients ask for more information, you can keep the conversation going and continue to add value.
To learn more about creating stronger newsletters, contact us at 416.925.1700, 844.243.1830 or info@ext-marketing.com.
Read more:
https://ext-marketing.com/marketing-articles/five-techniques-for-more-effective-self-editing/
When technical terms attack: Avoiding jargon in investment commentaries
Sometimes jargon is useful, and can be used as an efficient way for investment professionals to discuss obscure and complex topics with precision.
More often though, jargon is used as a mental and verbal shortcut. Instead of thinking about what we really mean and using clear and unambiguous language to say it, we use jargon, even when talking to non-specialists – in this case, an average investor.
Instead of thinking about what we really mean and using clear and unambiguous language to say it, we use jargon. It’s a verbal shortcut.
At its worst, the result can be incomprehensible writing.
For example, here are a few jargon terms that often pop up in investment commentaries, along with some ways to avoid using them:
Alpha
Instead of “negative alpha,” it’s easier for the average reader to understand that “the fund underperformed relative to the benchmark.”
Bottom-up
When describing this kind of investment style, try “focusing on a specific company, rather than an industry or economy.” Likewise, don’t assume that your reader will understand “momentum” without explanation.
Fundamentals
Instead of discussing “the company’s strong fundamentals,” try “the strength of the company’s financial statements and management team.”
Headwinds
This term is popular in the investment industry, but try “challenges” instead – or better yet, name the particular challenges you mean. Similarly, instead of “tailwinds,” try a term such as “favourable conditions.”
So are we saying you should never use technical terms in your writing? No, of course not. But think hard about what you’re trying to say and the best way to say it.
Think hard about what you’re trying to say and the best way to say it.
Sometimes only a technical term will do. If that’s the case, define it clearly up front. For example, you will probably have to discuss duration when writing about fixed income funds, so explain that it is a measure of the interest-rate sensitivity of a bond.
Your investment commentaries will be livelier and more readable if you use technical terms sparingly.
Sometimes it takes a few more words to say what you really mean, but getting the point across clearly is worth it.
If you want support for your investment commentaries, contact us at 416.925.1700, 844.243.1830 or info@ext-marketing.com.
Read more:
https://ext-marketing.com/commentaries-articles/prepping-for-mrfp-season-get-your-facts-in-order/
https://ext-marketing.com/commentaries-articles/5-reasons-investment-commentaries-arent-bad/
Daily practices to help you write better
It can take a while for new writers to figure out what does and doesn’t work. Even though every writer is different, we’ve found a few success tips and tricks that are pretty universal. Here are some rituals and daily practices to help you produce better copy:
Rethink your desk setup
The best is a clean desk. The next-best desk is “organized chaos.” Piles of folded paper and coffee cups, however, are a creativity killer for most writers because they distract from the task at hand.
Buy at least one good dictionary
If you’re in Canada, the Oxford Canadian Dictionary is ideal. For U.S. writers, the Merriam-Webster is the way to go. A good thesaurus can come in handy – just make sure that you don’t open it until the editing process.
Take breaks
There’s a whole cohort of copywriters out there – some of the best – who will write for only 33 minutes before getting up and taking a break. They say that it’s the best way to stay fresh for longer. Experiment with this idea and let us know what you think.
Write first
Just like the savings mantra “Pay yourself first,” writers should write for themselves first. Emails can wait. What’s most important is that you get an hour or two of focused, project-based writing done before distractions take over your day.
Carry a note pad/note app
Always be ready to write. Some people keep a Moleskin or waiter’s notepad in their pocket, while other people use note-taking apps (like Google Keep) on their phone. This little adjustment can pay great dividends over the long term.
Gather your facts
Read everything you can beforehand, take notes, highlight key points and anything else you need to do. That way, your writing time is focused on writing, not researching.
Edit before you send
Always take the time to edit your work before sending it out for review. Some writers only need one round of edits, while other will take five passes or more at their copy. If you’re so familiar with the copy that you might miss typos, get someone else to take a look.
What are your writing rituals and daily practices? Let us know on Twitter and LinkedIn
We can help you write better copy. Contact us at 416.925.1700 or info@ext-marketing.com.
6 writing quotes – and how they apply to financial services writing
There’s nothing like a good quote for sharing an insightful and inspiring message. Here are a few classic quotes about writing – and our thoughts on how they apply to financial services writing.
“Good writing is supposed to evoke sensation in the reader – not the fact that it is raining, but the feeling of being rained upon.” –E. L. Doctorow
This is lesson for financial services writers. It’s about evoking emotion and a reminder that writing about saving and investing doesn’t have to be dry. For example, simply saying that it’s important to save for retirement isn’t enough. It’s better to paint a picture about what a comfortable retirement looks like, and explain how your clients can get there.
“To succeed, I do not need to be Shakespeare; I must, though, have a sincere desire to inform.” –Warren Buffett
It’s nice to get a quote from someone who’s not a professional writer per se, although his writing is legendary in the industry. The Oracle of Omaha reminds us that when you’re writing for an audience that may not fully understand what you’re doing, you need to go out of your way to use language that they do understand.
“Either write something worth reading or do something worth writing.” –Benjamin Franklin
We interpret this to mean that your writing, as well as your life, shouldn’t be boring. As more and more millennials become your clients, you will be faced with two options: either learn this lesson the hard way or be prepared and start building stronger relationships using engaging copy.
“Reading and writing, like everything else, improve with practice.” –Margaret Atwood
Don’t give up if you’re struggling with what to write about or how to write it. That struggle may produce some of your best writing.
“I find I have about six bloggable ideas a day. I also find that writing twice as long a post doesn’t increase communication, it usually decreases it. And finally, I found that people get antsy if there are unread posts in their queue.” –Seth Godin
Sometimes shorter is sweeter. In our image-centric world, this message is more true today than ever before. Do you think that Seth’s strategy would work for you? It’s something to think about.
“When I’m writing, I am concentrating almost wholly on concrete detail; the color a room is painted, the way a drop of water rolls off a wet leaf after a rain.” –Donna Tartt
Details matter, just as much in a Pulitzer-Prize-winning novel as they do in a portfolio manager commentary. Your readers deserve it.
Do you have a favourite writing quote? Please share them with us on Twitter or LinkedIn.
Strengthening the writer-editor relationship
Being a good editor involves a lot more than being an expert on grammar and spelling. Good editors work with writers through every step of the writing process.
They may set an editorial calendar to help writers come up with relevant topics to write about. They reorganize and restructure documents so that a writer’s words flow and make an impact. Good editors also research and fact-check to make sure what a writer says makes sense and doesn’t lead to embarrassment.
All of this requires an open line of communication between writer and editor, as well as a great deal of respect on both ends. Here are five tips to help editors keep the writer-editor relationship strong.
1. Remember who the writer is
Editors might make a lot of changes to a document, but one thing they should never mess with is the writer’s voice. At the end of the editing process, the edited piece should still sound like the author wrote it.
This can be a challenge when working with a writer for the first time, whose voice you’re not yet familiar with. At this stage, you may be required to have a few in-person conversations and multiple rounds of editing to get the tone just right, but always remember whose name will be on the finished piece.
2. Know what you’re being asked to do
Some writers may want you to fix egregious errors only. Others might want substantial help with organization, consistency and style. It can be frustrating to be asked for a light copy edit when you know the piece needs so much more but, in many cases, this isn’t the editor’s call.
Know what’s expected of you before you start editing and deliver exactly what the writer asked for. Otherwise, you’ll have an unhappy writer who isn’t likely to work with you again.
3. Know your writer’s audience
Is the writer producing copy for print or the web? Are they writing for a broad audience or for experts in a certain field? How many people are likely to read the finished piece?
Learn everything you can about your writer’s audience. If you don’t think the writing makes sense for that audience, let your writer know and offer suggestions on how to fix things.
4. Meet your deadlines
This goes without saying. If you think you can’t meet a deadline, let the writer know immediately. But there should a very good reason. Maybe the scope of the project has changed completely or you’ve had a family emergency.
Even with a good reason, consistently missing deadlines is a great way to permanently damage the writer-editor relationship.
5. Communicate, communicate, communicate
Tips one through four mean you’ll need to be in close contact with your writer. Ask lots of questions along the way. For a novice writer, or one you’ve never worked with before, explain the changes you’re making so they make sense to the writer.
The right editor has the skills, expertise and finesse to make anyone’s words shine. Interested in finding the right editor for you?
Interested in finding the right editor for you? Contact Ext. Marketing Inc. today at 416.925.1700 or info@ext-marketing.com.
Good, bad and ugly: The changing rules of grammar
Since the dawn of time – or at least since the first cavemen started chiselling on stone tablets – people have debated what constitutes proper use of language. Fact is, grammar is fluid and as times and trends change, writers adapt the rules – for better or worse. Here are five examples of grammar faux pas that are now generally accepted.
1. Using certain nouns as adjectives
As an example, it used to be that “American” was the adjective and “U.S.” (or “America”) was the noun. However, it’s now accepted to say something like “The U.S. financial system is gaining stability.”
More recently, many people are using “woman” as an adjective – e.g., “This firm has a high percentage of woman portfolio managers.” Of course, “female” is the correct adjective. Even worse, some writers use “woman” and “female” interchangeably as adjectives in the same piece, without rhyme or reason. Double whammy.
2. Splitting infinitives
Teachers used to implore their students never to split infinitives. Then the TV show Star Trek talked of the mission “to boldly go where no man has gone before,” and the split infinitive lost its stigma. Other languages like French and Italian keep their infinitives as one word, so no worries about splitting those.
3. Ending a sentence with a preposition
Purists may cringe when people finish sentences with a preposition, but most anyone else won’t even blink at a sentence such as “That’s a big hole to climb out of.” Sometimes it’s just more pleasing to the ear than to say “That’s a big hole out of which to climb.”
4. Using the plural “their” in relation to singular nouns
Practicality was the impetus behind this morphing grammar rule, as it’s cumbersome to write – and worse to read – a sentence like “When an individual squanders his or her money, he or she will find that tough times will soon beset him or her.”
5. Using certain adjectives, instead of nouns, in a compound adjective
This one’s hard to explain but examples should help. While it’s grammatically correct to say “Canadian company” or “German scientist,” introducing a second preceding adjective changes the rules.
Although common, saying “a Canadian-based company” or “a German-born scientist” is wrong. The company is not “based in Canadian” and the scientist was not “born in German.” Correct usage is “Canada-based company” and “Germany-born scientist.” Not sure why people tend to do this with countries but not cities. For instance, you’ll see “Toronto-based writer” but never “Torontonian-based writer.”
Language can be so much fun!
We can help you write compelling – and accurate – marketing materials. Contact us at 416.925.1700 or info@ext-marketing.com.
Show your translation team a little amour
Recently, we published a blog that explored what makes a great translator. In the Canadian financial services landscape — and, certainly, in other industries as well – strong translators are priceless.
They help a company make its marketing, advertising, regulatory and legal documents available in our other official language, so their company can be more successful doing business with French-speaking clients.
Once you have a team of great translators, you’ll want them to stay. Whether you oversee a translation team or work with translators on certain projects, here are a few tips for keeping them happy and productive.
Get the translators involved early on
Translation isn’t just about converting English words into French.
There’s an art to making existing marketing or advertising copy work equally well (or even better) in another language, to flow seamlessly and be impactful for the reader. To do this, the translators need to be briefed along with the writers and designers, so they understand the concepts, key messages, target audience, products and so on.
Give them time to come up with adaptations
Let’s face it, we’ve all been in brainstorming meetings where we come up with a fantastic name for a product or a catchy tagline. As we’re busy high-fiving each other, someone needs to think about whether this name or tagline works in French. Quite often it doesn’t, so the translation team needs to put on their creative caps and adapt the term in French.
As we’re busy high-fiving each other, someone needs to think about whether this name or tagline works in French.
Commit to keeping things on par
By this, we mean that whenever there are any changes to English copy, charts, tables, etc., this must be communicated fully and in a timely fashion to the translators.
“Version control” can be a nightmare for any marketer, but imagine how much worse it is when you’re trying feverishly to keep pace with last-minute English changes so you can maintain accurate, up-to-date French collateral. Which takes us to our final tip…
Don’t squeeze your translators for time
Projects almost always run into snags, causing tasks to be delayed and timelines to compress. Well, guess who usually bears the worst of it? That’s right … your translation team, which is usually at the back end of most projects and sees their translation time shrink fast.
Instead, be more disciplined and diligent about keeping everyone on schedule. If things derail, try to extend the end deadline or shave some time off other tasks so the translation team doesn’t suffer.
If things derail, try to extend the end deadline or shave some time off other tasks so the translation team doesn’t suffer.
Not only will you get better French output, but your English materials might also improve.
After all, one thing we know is that translators are great at catching mistakes, inconsistencies and unclear writing in English documents. They’re a fresh set of eyes that can help immensely with quality control – if you give them the time they need!
To find out more about how to make the most of your translation team, contact Ext. Marketing Inc. today at 416.925.1700 or info@ext-marketing.com.
Jargony phrases – and ways to keep them out of your commentaries
We all tend to use some jargon in conversation. But it’s best to keep that jargon – including highly technical terms – out of your commentaries.
If you’re having trouble finding the right words to describe financial concepts without using jargon, don’t fret. We’ve got investor-friendly alternatives that you can use.
Here are seven economic- and investment-related phrases that we find in commentaries all the time – along with some useful substitutes.
1. Headwinds and tailwinds
There’s an easy fix for these two troublemakers: replace headwinds with challenges (or negative conditions) and tailwinds with opportunities (or positive conditions).
2. Risk investments
We prefer to hedge the language and add an example.
Instead of saying “Investors moved their money out of risk investments…”, we write “Investors grew increasingly risk averse during the period, and moved their money out of what are generally perceived as ‘riskier’ investments.”
The solution is a bit more verbose, but it spells out exactly what happened.
3. Attractive valuation
This one may be obvious, even for a retail audience, but it has been questioned by one or two compliance officers. You can change it to: “Given our expectations for the company’s growth, its share price appears reasonable at this time.”
4. Easy monetary policy
It’s probably best to avoid getting into the complicated details of monetary policy. We often write something like, “The central bank maintained its low interest rate to encourage economic growth.”
5. Rates remained range bound
We say: “Interest rates didn’t move much during the period, and traded in a tight range of between 1.00% and 1.10%.”
6. The belly of the curve
“Mid-term bonds” is a little more investor friendly.
7. Tenor (as in “short-tenor loans” or “the loan has a tenor of two years”)
Tenor really means “time until a loan is repaid.” A loan might be issued with a five-year term to maturity, but after two years it has a three-year tenor. If you believe tenor isn’t appropriate for a retail audience, you can use “time until a loan is repaid.”
By simplifying your commentary language you may have to add a few words here and there, but we think it’s worth the effort to keep your retail clients – and your compliance team – happy.
Let us know if you have other examples of investment terms or jargon that you’d like help simplifying. Contact us at 416.925.1700 or info@ext-marketing.com.
The only writing and editing resources you’ll ever need
Even though there are thousands of writing and editing resources to choose from, you don’t need a bookcase filled with them to be a great communicator in the financial services industry.
If you can spell, have a broad vocabulary and know the core rules of grammar, you’ll be ahead of the crowd. And if you have a few style tricks up your sleeve, even better.
To make your life easier, we’ve narrowed down the list of writing and editing resources to just seven.
Dictionaries
You only need two dictionaries to make sure your spelling is correct:
1. Canadian Oxford Dictionary: the #1 dictionary for Canadians
2. The Merriam-Webster Dictionary: good if you’re writing for a U.S. audience
Thesauruses
If you’re looking for another word but it’s just out of reach, grab one of these thesauruses instead:
3. Concise Oxford Thesaurus: an Ext. Marketing Inc. favourite
4. Roget’s International Thesaurus: it can’t hurt to have a second thesaurus, can it?
Style guides
Things get dicey in the world of style guides and to say there are differences of opinion is an understatement. It’s also important to note that when you start picking and choosing from these resources, you’ll have to make your own in-house style guide.
5. The Canadian Press Stylebook: this is what Canadian newspapers use
6. The Chicago Manual of Style: a more literary alternative to the above and very important for writing in the U.S.
7. Editing Canadian English: an extremely useful resource from the Editors’ Association of Canada
Although there are plenty of other style resources, from The Elements of Style to Eats, Shoots & Leaves, the books mentioned above are more than enough to ensure clear and consistent communications.
For more writing and editing advice, please contact us at info@ext-marketing.com or 416.925.1700.
Are you making these mistakes in your writing? Part 3
Our previous “writing mistakes” posts dealt with solely with homophones and near homophones – Part 1 and Part 2. To keep things interesting, we’ve expanded our reach to include words that have confusing usage.
If you’re interested in sharpening your writing tools, then take a look at these five mistakes:
Bimonthly vs. semi-monthly
Both “bimonthly” and “semi-monthly” mean twice a month – but bimonthly also means every two months. Your best bet is to avoid the terms all together and use “twice a month” or “every two months” in their place.
Comprise vs. compose
“Comprise” means include and consist of: Does your portfolio comprise stocks and bonds? “Compose” means to make up: Equities compose your entire portfolio.
Dependant vs. dependent
“Dependant” is a noun that means one who relies on another: Do you have any dependants? “Dependent” is an adjective that means depending on: Some investors do not like being dependent on advisors.
Fewer vs. less
“Fewer” refers to individual units, while “less” refers to bulk measures: Therefore: There will be fewer shocks to the market this quarter; People will enter retirement with less money.
Nation vs. country
“Nation” primarily refers to a country’s people: The nation faces ongoing political uncertainty. “Country” refers to a territory with its own government: Gross national product is growing in that country.
That’s all the writing mistakes we’ll cover for now. Happy writing!
If you want writing and editing advice, contact us today at info@ext-marketing.com or 416.925.1700.
Are you making these mistakes in your writing? Part 2
As we said before, spellcheck and autocorrect aren’t going to save you if you’re making these mistakes. They may even make the mistakes for you! Here are five more common errors that you can expel from your writing today.
If you missed Part 1, in which we explained affect vs. effect, complement vs. compliment, council vs. counsel and more, click here.
Disclaimer: these are simplified definitions that are most useful for financial services professionals. If you’re writing the next War and Peace, you can dig a little deeper into the sometimes complex uses of these words.
Its vs. it’s
“Its” is the possessive pronoun of “it”: Its mandate is to preserve capital; The Fed is acting as if its purpose is to control the economy. Meanwhile, “it’s” is a contraction of “it is”: It’s going to be a nice day; It’s interesting that people are so confident, given the current market volatility.
Premier vs. premiere
“Premier” is an adjective that means first in status: The company’s goal is to be the premier provider of (insert product or service). “Premiere,” which can be a noun or a verb, is the first performance or showing of something: The movie premiere drew a large audience.
Principal vs. principle
“Principal” means of the highest importance and the original sum invested: Our principal concern; The GIC protects the saver’s principal. “Principle” is a noun that means fundamental truth: We believe in the following investment principles.
Precede vs. proceed
“Precede” means to go before, while “proceed” means to go forward. Therefore: The save-the-date email precedes the invitation; The securities commission will proceed with the investigation.
Who vs. whom
“Who” is the subject of a verb: Please tell us who was selected. “Whom” is the object: Can you tell me whom she selected?
Check back soon for Part 3 as we continue our exploration of common writing errors.
If you want writing and editing advice, contact us today at info@ext-marketing.com or 416.925.1700.
Are you making these mistakes in your writing? Part I
Spellcheck isn’t going to save you if you’re making these mistakes. And autocorrect might make an inappropriate change without you knowing it. Here are five common errors that you can banish from your writing today.
Please note: these are simplified definitions that are most useful for financial services professionals. If you’re writing the next Moby Dick, you can dig a little deeper into the sometimes complex uses of these words.
Affect vs. effect
“Affect” means to influence, and it is (almost) always a verb: Volatility will not affect the portfolio manager’s decisions. “Effect” means a result: The effect was disastrous.
Complement vs. compliment
“Complement” is to complete something: The Global Bond Fund can complement your portfolio. “Compliment” means to give praise: After learning these word rules, your coworkers will compliment you on your great writing.
Council vs. counsel
“Council” is a noun that means an assembly of people: Your city council. “Counsel” is the act of exchanging ideas and giving advice: A financial advisor can counsel you on wealth issues.
Dual vs. duel
“Dual” means composed of two parts: The mutual fund has dual benefits. “Duel” is combat between two people: The two children duel over the inheritance.
Ensure vs. insure
“Ensure” means to make sure, while “insure” refers to providing insurance. Therefore: You invest to ensure a comfortable retirement, while you insure to protect your loved ones.
Bonus tip: “assure” doesn’t mean to insure even though “Assurance” is still around in some company names.
Click here for Part 2, in which we explain its vs. it’s, principal vs. principle and much more!
If you want writing and editing advice, contact us today at info@ext-marketing.com or 416.925.1700.
CIA style guide secrets revealed!
ICYMI: The Central Intelligence Agency (CIA) released their style guide to the public a while back and it is filled with goodies.
Several blogs have already examined the CIA Style Manual and Writers Guide for Intelligence Publications in detail, but we want to bring it to the attention of the financial services industry.
Why is a style guide important?
Let’s start with a quote. The CIA puts an emphasis on being direct, and the following paragraph is the foreword:
“Good intelligence depends in large measure on clear, concise writing. The information CIA gathers and the analysis it produces mean little if we cannot convey them effectively. The Directorate of Intelligence and the Agency as a whole have always understood that. Both have been home, from their earliest days, to people who enjoy writing and excel at it.” The CIA Style Manual and Writers Guide for Intelligence Publications
The financial services industry isn’t much different. Our content, from what we share on Twitter to the brochures and whitepapers we produce, is founded on research. And that research is highly technical.
As financial services marketers, it is our duty to guarantee that readers understand the data because we’re talking about their financial future. As a result, style guides are essential to our communications with clients and stakeholders.
What about you?
Does your firm have a style guide? If so, many new terms have popped up in recent years so maybe it’s time to revisit it. For example, is it CRM2, CRM-2, CRMII or CRM II? Have you socialized it recently?
If your firm doesn’t yet have a style guide, we think it’s time you make it a priority.
“This guide is designed to be helpful and convenient, sensible in organization, and logical in content. It contains, among other changes, a revised list of accepted acronyms and new tips on word usage. The world is not static. Nor is the language we employ to assess it.” The CIA Style Manual and Writers Guide for Intelligence Publications
If CIA writers – whose work is likely read by relatively few people – follow a style guide, so should you. As a financial services marketer, you owe it to your readers (investors in one way or another) to deliver sharp copy that’s consistent and engaging.
Let us help you create your firm’s new style guide. Contact us at 416.925.1700 or info@ext-marketing.com.
A proofreading checklist for commentary writers
If you write monthly, quarterly, semi-annual or annual commentaries for use in marketing tools, MRFPs, fund sheets or newsletters, this post is for you. It’s a proofreading checklist tailored for all us financial services commentary writers.
As we’ve written before, there’s nothing better than having your work reviewed by a professional editor or proofreader (like those at Ext. Marketing Inc.). But we also know that’s not always possible. So keep this checklist on your desk and catch any sneaky errors that may have slipped by you.
Copy
- Do a thorough spellcheck (and double-check whether it’s supposed to be in Canadian or U.S. spelling
- Check grammar for consistency (in document and across all commentaries)
- Check that sentences read correctly and paragraphs make sense from a structural standpoint
- Verify reporting period
- Confirm data in tables is correct
- Verify benchmarks, fund names and portfolio managers/advisors
- Confirm that performance numbers are correct and in the right currency
- Verify addresses, phone numbers and any other important contact information, if necessary
- Keep a running style guide. If you decide to use an upper case “F” on “Fund,” for example, write it down in your style guide so you never forget that rule
Layout
- Circle obvious widows and orphans (widows are single words that dangle alone at the end of a paragraph, orphans happen at the beginning of a page)
- Check text and paragraph alignment, removing frequent word breaks
- Verify the fonts used are correct
- Make sure any publication names are italicized and headings are bolded properly
- Verify colours (or gray scale) are correct and consistent
- Check overall alignment of all elements, including tables and graphs
Writing commentaries is a lot of work – editing them shouldn’t be. With just a few extra minutes – and this list by your side – your commentaries will be cleaner and easier to read!