By David Edey

(September 12 – 08:45 ET) – On day two of the Financial Planning Association convention in Boston online trading and the Internet were hot topics.

Online trading has grown at a rapid pace since the first online trade occurred just six years ago. While some in the financial planning industry might feel that this is a threat to their business it may actually offer up opportunities.

According to Chip Roame, managing principal of the California-based Tiburon Strategic Advisors with 10 million online brokerage accounts in the United States totalling US$1 trillion, most online trades are done by trading fiends.

The average asset-holding period of an account at Daytek is 28 days where the average account size is US$1,900. Portfolio turnover is rapid. At Schwab and Daytek, the average customer account turns over 12.3 times and 1.7 times, respectively.

Statistics reveal that investors with more than $250,000 in their accounts are more concerned about personal attention. Roame recommends that financial planners seek out opportunities that the Web provides, such as doing background research, e-mailing correspondence to clients and setting up a Web site, complete with client statements and online planning. He believes that the Web will be an integral part to the financial planning process in the future.

The Internet was also the theme of the keynote speech given by noted investment strategist Harry Dent. Dent sees this decade as the time when the Internet will become part of the daily life of consumers.

He says the consumer revolution hasn’t even begun. Up until now the Internet has only been part of a business revolution, and even businesses do not yet have any idea how big an impact it is going to have.

Dent says the Internet is not yet consumer friendly it is now only about data. As soon as there is a broad application for the Internet in the home it will establish a consumer base.

Dent adds that advisors should focus themselves on becoming CFOs for families. The wave of financial planners and their expertise will continue to grow.

The financial planning industry is the best profession to be in right now he says. Demographics is what is driving the economy, not Alan Greenspan. So expect the bull market to continue for another eight or nine years.

Dent forecasts a Dow of 35,000, and by the end of this boom the Nasdaq will be at 30,000 and will become the dominant index.

The Success 2000 Forum concludes today.